Print this Page The Prescription Pad
Federal Reserve Governors: ObamaCare is Killing Job Creation
In the midst of the failed launch of healthcare.gov, the online portion of ObamaCare, the Federal Reserve’s release last week of the October Beige Book reminded everyone that the problems of ObamaCare go far beyond malfunctioning websites and premium increases. More important than computer glitches, the report shows the law is hurting job creation:
As this and the excerpts below show, ObamaCare is working overtime to slow hiring, stop job creation and accelerate economic uncertainty.“Employers in several Districts cited the unknown effects of the Affordable Care Act as reasons for planned layoffs and reluctance to hire more staff.”
"…[M]any were uneasy about fiscal issues and implications of the Affordable Care Act on their businesses." (Manufacturing Sector)
"Many of our contacts are concerned about the implementation of the Affordable Care Act and the effect it will have on their total labor cost." (Retail Sector)
"Many contacts also commented on reluctance to expand due to uncertainty surrounding the Affordable Care Act; some employers cut hours or employees."
"Staffing services firms noted flat demand overall since the last report but saw an unexpected decline in direct hires. One contact saw a few signed contracts designed to circumvent the Affordable Care Act (ACA) by utilizing a temporary employee full time, then hiring that person on a permanent but part-time basis once the ACA goes into effect." (Nonfinancial Services Sector)
"A number of contacts voiced concern about the uncertainty surrounding future employer and employee healthcare costs. In addition, several reported changing their health insurance enrollment periods this year in order to match the deadlines of the Affordable Care Act."
"Overall, most bankers remained optimistic, although they expressed uncertainty on behalf of their business customers and for themselves over the implications of both the Affordable Care Act and a prolonged government shutdown." (Financial Services Sector)