ObamaCare Could Destroy 5.2 Million Jobs

I live in Hawaii where if you work 20 hours a week or more, your employer is required by law to offer a basic health care package.  This particular law is destroying small businesses in the state, and causing certain industries and employers to hire only part time workers.  I know from personal experience that this law is the lynch pin in numerous businesses here either lurching toward bankruptcy or completely going under.

The Heritage Foundation has done a study of the “pay or play” provisions in the healthcare bill and has found that it will most likely destroy 5.2 Million jobs and cost employers $49 Billion dollars.

Because I live here, and my boss is already under this type of provision, I know that the Heritage Foundation’s findings are pretty close to the mark.

By Logistics Monster


  • The other thing to consider is the number of people in the medical field that will become unemployed if this mess passes. First you have what I believe will be tens of thousands of doctors who will simply roll up their shingle and retire/leave the US/quit practicing medicine. Then you have all the office staff that will lose their jobs as a result. Around here, for every doctor I see, there are generally 3-4 staffers supporting him/her.

    Sure, there will be millions of government jobs created to create the biggest bureaucracy in history, but government jobs don’t add to the tax base – they are paid from it. Added government jobs actually have a negative overall impact on the system.

    Now add in all the people that live from paycheck to paycheck. They have no health insurance because they can’t afford it. Suddenly you force hundreds of dollars a month in mandatory health care on them, and they are better off not working and getting their health care, food and shelter for free from the government. So they quit their $35,000/year job because it doesn’t pay them to work, and with health care being mandatory they will no longer be able to eat. These people used to be the Middle Class; now they are the Working Poor. They know they can never hope to be rich or keep their heads above water, so why even bother? They will join the welfare rolls in droves because they’ve been left no choice. And as the “worker bees” leave the work force, employers will be unable to find “cheap” labor in the US, so even more jobs will flow off shore, decimating the economy even more. Those that were willing to work will lose their jobs because employers will be unable to staff up – and their entire operation will end up in China or India or Brazil or Russia. Now you see what little remaining manufacturing and industry that is still in the US leave, and more businesses close so more unemployment. Now there’s even less pie to go around, so the people with a little left stop spending, which forces even more businesses to close – the downward spiral never stops!

    There can be no health care reform without tort reform. Telling doctors they need to treat 50 million more angry, “entitled” Americans with no more resources and no protection from lawsuits just won’t work. What is it that makes this so hard for leftards to understand?

  • GG – if by some heinous mistake this crap gets pushed through, I will finally become an expat and move out of America because you have just laid out what we all know is coming. The complete and utter destruction of America as we know it.

    What is it that makes this so hard for leftards to understand?

    The moonbats are completely driven by instant gratification with no thought process to the future. Look at SS, Medicare, Medicaid, etc. Everytime they propose one of these entitlement programs – they never look past that day into the future….and I also think they can’t add with anything but a red crayon…

  • Practical Madman -

    GG- your, as usual, are right again. I hear many doctors call the talk shows on the radio saying they will quit before they let a bureaucrat come between them and their patients. They went into medicine to help people, and they will refuse to deny that help because some ass in DC tells them it is not economically beneficial.

    DT- I wish I could join you. I wish I had someplace to go. I am stuck here and I will do my absolute best to fight what is coming. Viva la resistance!

  • GG… you just described an accelerated version of what I have been calling the “labor price death spiral.” Globalist corporations have, for the last several years, been chasing cheap labor overseas as a way to reduce cost in the pursuit of ever-increasing profit margins. I have nothing against profit. I do have a wee bit of a problem with this concept that profits always have to be increasing without end… which is part of the problem with Wall Street these days… they are never satisfied.

    So… they chase this cheap labor… and so do their competitors. In order to compete on price, they have to cut costs even more to keep the same ever-increasing profit margins. As a result, they cut staff and costs so much, they start losing customers because they can’t perform on contracts or their customer satisfaction is so bad… hence the “labor price death spiral.”

    So, now we have this imposed health care thing. All it does is accelerate this whole process because of even more costs. What is worse, as you point out, is this will destroy small and medium size businesses… the very same businesses that create 70%+ of the jobs in this country. All doctor offices, doctor groups, and small clinics are small to medium size businesses. So, we have fewer jobs in the corporate sector and fewer jobs in the Small-Medium Business (SMB) sector.

    As you say, people will just give up and go on welfare if they see there is no path to prosperity. With so many people on the dole and so few productive people paying into the system, I have yet to figure out what makes the left think that there is some endless supply of money from the few that are remaining or that there will be another country willing to finance through debt a country of people who can no longer produce anything. The few productive people will just leave, as Diamond indicated. They will go John Galt.

    So Ayn Rand was not far off in Atlas Shrugged. I wondering if the next thing we will be hearing is Directive 10-289 from Obama.

  • Leaping Spark -

    Patriots once again I must remind you that this is not about healthcare, it is about the government take over of the sixth largest revenue source in America, Comrade Obonzo could give a damn about healthcare or jobs lost. Obama is trying to collapse the economy of America to facilitate the Communist take over of America. Stalin, Hitler, and Chevez all successfully took over their countries, and they were not half as good at lying as Obonzo. Look past the healthcare debate, while we angiush over healthcare he is sneaking bill after bill written by the Appolo Alliance into the house chambers. These bills deal with amnesty for illegal aliens, gun control, reparations, control of the internet, freedom of speech, and God only knows what else.

    We are living Obama: The Rise of Evil in America. While his Alinsky sycophants keep us misdirected he is stealing the country out from under us without firing a shot.

    We are dealing with a person who is more evil and twisted then Stalin, Hitler, Chavez, Hussien and Mao TSE Tsung put together.

    Live free or die!

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