In case you still haven’t figured out why Obamacare is bad for you

Some people still seem to think Obamacare means free healthcare for everyone – well, it doesn’t. Even with his plan to steal money from taxpayers to give the proletariat a discount on insurance, it’s not going to work.

It does, however, mean a lot of other things but I’ll only speak to a couple of major ones that impact your life. Here is one example. The largest theater chain in the country is cutting the hours of all of its non-salaried employees to 30 hours a week or less because of Obamacare. The article explains pretty well why they (and pretty much all employers with 50 employees and some smaller ones) will be forced to cut employee hours.

Obamacare forces employers to provide health insurance to employees who work 32 hours a week. This generally costs about $500 a month or so these days (Many things can affect the price, and a family plan will be much more) That’s just for a minimal plan to meet the requirements of the law. Then they tax companies who give their employes really good plans! Idiots! So if your employer gives its employees good insurance they can either cut the benefits or pay even more than they are already paying for the same coverage.

Let’s take an example with simple numbers.

A) Employees get paid $10/hour, This costs the employer $12.50 hour with taxes (Simple rounding numbers remember). To keep it simple shift leads don’t get a raise, but they get insurance benefits
B) Managers get paid $800/week ($1000/week cost)
C) Insurance costs $125/week

Today they have 50 hourly employees working and average of 35 hours, 6 shift leads working and average of 45 hours and 3 managers who are salaried. So the weekly cost is $21,875 for hourly employees, $3600 for shift leads (includes overtime and insurance), and $3,375 for managers. Total = $28,850

Let’s say Obamacare is implemented and they don’t change anything. Because Obamacare seems to be raising the cost of insurance about 25% for minimal coverage, so Insurance will cost $156.25/week (This still won’t cover families of course). So here are the new figures: $2,9687.50 (35% of cost is insurance) for hourly employees, $3,787.50 for shift leads (includes overtime and insurance), and $3,468.75 for managers. Total = $36,943.75,

This means they would have to pay and extra $8,093.75 a week. Where are they supposed to get that money? Just pull it out of their butt? What are their options? Here’s a likely one:

Cut all of the hourly employees to 30 hours and cut the over time of the shift leads – this will cut the costs to $26,156.25. So they save $2,693.25! Wow – unfortunately here are a few related results:

1. The hourly workers are getting paid $50 a week less with no way of making it up. Shift leads make $75 a week less.
2. The company is $281.25 over budget on healthcare expenses so they need to take 2 people off of the insurance, Thus 2 shift leads have to be demoted, which means they get cut to 30 hours (Losing $175 a week in pay AND their insurance benefits – causing them to quit of course).
3. Now the company has to try to provide the same level of service with 15% fewer employees. Since this isn’t possible they probably need to try to hire 11 employees, but their budget doesn’t allow it. So, to cover those hours they can either find people who will work for minimum wage – $7.25/hour or cut everyone to $9.25/hour. Hmmm. What will they choose? Either way is a slippery slope for the remaining employees.
4. Getting a promotion in the company just became harder too – since they just cut 33% of the entry-level positions, and it costs the company almost 100% more to give someone a promotion. (Hmmm, is that employee really worth twice what we are paying them?) And they don’t even get an hourly rate increase – they just get to work 33% more.
5. Oh, I forgot to mention. Obama is making you have insurance, so if you don’t get it at work you have to buy it or pay a fee to the government (I don’t get the logic either). So now the hourly employees make $50 a week less and have to come up with $500 a month for insurance. They only work 30 hours a week so they take home less than $1,100 a month. Of course, they can’t afford to do that, so they just pay the $2,000 fee tax fee tax (Obama’s attorneys argued both sides of that issue – so I’m not sure which it is) and continue to go without insurance. The first year is only about $2,000, but the fee/tax increases every year until it’s cheaper to buy insurance.

In the end, I’m sure Obama and his advisors thought this was going to help more people get jobs by forcing employers to hire more people to get the same amount of work done. (The Socialist in Europe have been trying this strategy for decades. It doesn’t work. It just lowers the standard of living and makes companies less profitable and less able to give good customer service.) In reality, people are just forced to work 2 part-time jobs instead of full time, which is a major pain.

Anyone who doesn’t think Obama is trying to destroy our economy and pull us down to the level of Europe (or lower) has their stinkin’ head in the quicksand of Cruces!

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