Obamacare is in the news again as the unelected bureaucrats implement new rules and regulations.
Insurance companies are now going to be required to cover more services than initially proposed. Of course this is all designed to put them on the path to insolvency so single payer can be implemented.
Just to make sure companies do as they’re told, the government is making it easy for employees to snitch on employers whose coverage they don’t believe is adequate. Is it any wonder more and more employers are cutting the hours of part time workers so they don’t have to offer health insurance in the first place? They’re giving “job sharing” a whole new meaning.
Here’s a trend you’ll be reading more about: part-time “job sharing,” not only within firms but across different businesses.
It’s already happening across the country at fast-food restaurants, as employers try to avoid being punished by the Affordable Care Act. In some cases we’ve heard about, a local McDonalds has hired employees to operate the cash register or flip burgers for 20 hours a week and then the workers head to the nearby Burger King or Wendy’s to log another 20 hours. Other employees take the opposite shifts.
Welcome to the strange new world of small-business hiring under ObamaCare. The law requires firms with 50 or more “full-time equivalent workers” to offer health plans to employees who work more than 30 hours a week. (The law says “equivalent” because two 15 hour a week workers equal one full-time worker.) Employers that pass the 50-employee threshold and don’t offer insurance face a $2,000 penalty for each uncovered worker beyond 30 employees. So by hiring the 50th worker, the firm pays a penalty on the previous 20 as well.
These employment cliffs are especially perverse economic incentives. (Read More)
Perverse economic incentives are about the only economic incentives the Democrats know how to dream up, except of course when they’re funding their friends, cronies and contributors with taxpayer dollars. Strange new world, indeed.
Oh, I almost forgot, there’s also the looming doctor shortage. Florida Governor Rick Scott might regret his decision to go along with Obamacare’s Medicaid expansion when there aren’t enough physicians to provide care.
Update: Linked by The Other McCain – thanks!