This month, the Obama administration announced that it would be delaying the mandate that forces companies to join the Obamacare program by one year, but that hasn’t stopped small- and medium-sized businesses from taking necessary precautions to become exempt under the healthcare reform law.
A new poll by the United States Chamber of Commerce found that 74 percent of small businesses are still going through with the measures to fire workers, reduce hours of full-time staff or shift many of its full-time staffers to part-time shifts.
Here are specific details from the survey: small businesses believe the new law would negatively affect their employees, 27 percent confirm they will cut hours, 24 percent will reduce hiring practices and 23 percent will replace full-time staff members with part-time workers.
Additional results show 77 percent thinking the economy is on the wrong track, 61 percent do not have plans to hire next year and concerns over regulations have increased to 42 percent. When it comes to political issues, a strong majority (at least 80 percent) want the government to address entitlement spending, tax code reform, the immigration system and Environmental Protection Agency (EPA) regulations.
“Excessive regulation is having a crippling effect on job growth among small businesses, as our latest small business survey makes clear,” said Rob Engstrom, the Chamber’s senior vice president and national political director, in a statement. “In fact, the only thing that scares small businesses more than the current business climate is what Washington bureaucrats will do next. Today’s tough economic climate demands leadership on today’s big issues.”
President Obama’s healthcare reform initiative includes full-time work being declared as 30 hours and businesses that have a minimum of 50 full-time workers would be required to either provide healthcare or pay a fine. However, the small business study discovered that many companies are still not prepared for the new law and some of the survey respondents do not even understand the requirements.
“The impact of the health care law on small business gets worse with every day that passes,” Engstrom added. “As we approach the 2014 elections, we will hold members of Congress accountable for votes on policies that paralyze growth and job creation. And health care will be a defining issue for the business community.”
Economic Collapse News has reported extensively about the negative consequences that will come from the Affordable Care Act, including the numerous tax increases that will be a hindrance to all Americans from small businesses to middle-class workers to even union members.
One of the primary concerns over Obamacare is that it has the power to turn the U.S. into a part-time jobs nation. Reports and studies – as well as company announcements – have consistently shown that businesses are scaling back, including restaurants and fast-food establishments, which have been one of the most successful sectors in recent years for job growth.
The online poll was conducted between Jun. 21 and Jul. 8 with 1,304 small business executives.