While the Bureau of Labor Statistics’ jobs report this week contained mostly good news, our economic statistics have been shaky over the past few months. A major downward revision to economic gowth has a report showing that the economy contracted by almost 3% last quarter.
It’s possible that Obamacare is holding back the economy. Jared Meyer, policy analyst at Economics 21, wrote about how Obamacare’s hurting economic growth:
The Employer Mandate. The Act originally required businesses with over 49 full-time equivalent employees to offer insurance that met government requirements by January 1, 2014, but President Obama has delayed the mandate. Once implemented, if employers decide not to offer coverage, they will face fines of $2,000 per worker (the first 30 workers are exempt). This penalty is effectively over $3,000 since it is not tax deductible. Going from 49 to 50 workers will cost a business an additional $60,000.