A couple days ago, a reporter asked Jay Carney if Obama had any plans to address the fact that Obamacare is resulting in fewer full-time jobs being created as well as the conversion of existing full-time jobs to part-time jobs. Carney response was that the reporter’s premise was “belied by the facts” and that “the data is very clear” that Obamacare is in fact not reducing full-time employment:
In reality, of course, the exact opposite of what Carney is saying is true. I don’t know what data he’s citing here, but I suspect he extracted it from the database located deep in his lower intestine. We’ve done multiple posts on businesses cutting their employees’ hours to avoid the onerous Obamacare taxes and penalties. Obamacare has even resulted in exciting new terms entering the nation’s lexicon such as “29ers” and “49ers”. Further, there are numerous instances of local governments, normally a bastion of tax-payer financed largess, being forced to reduce full-time employees to below 30 hours per week due to Obamacare. Last month Investor’s Business Daily compiled a lengthy list of local governments who are in the process of taking this action. Here are a few examples:
Dearborn, Mich.: “If we had to provide health care and other benefits to all of our employees, the burden on the city would be tremendous,” said Mayor John O’Reilly, explaining why the city is cutting its more than 700 part-time and seasonal workers down to 28 hours a week. “The city is like any private or public employer having to adjust to changes in the law.”
Indiana: “What I’m seeing across the state is school districts, unfortunately, having to reduce the hours that they are having some of their folks work, primarily so they don’t have to worry about the (ObamaCare) penalties, or they don’t have to provide them health insurance, which would be very, very costly,” said Dennis Costerison, executive director of the Indiana Association of School Business Officials. Ft. Wayne Community Schools, for example, are cutting yours for nearly three-quarters of its part-time aides.
Omaha, Neb.: “The biggest problem is everyone said that ObamaCare is only going to help cut costs. Nothing could be further from the truth,” said Mike Kennedy , who serves on the board of Millard Public Schools, just outside the city, and figures ObamaCare will raise its costs by $400,000. A neighboring school district is reducing hours for up to 281 part-time employees to avoid $2.5 million in new costs, which will result in pay cuts of up to $3,300.
Long Beach, Calif.: “We are in the same boat as many employers,” said Tom Modica, Long Beach’s director of government affairs. “We need to maintain the programs and service levels we have now.” So the city is going to cut hours for 200 part-time workers so it doesn’t have to pay $2 million to provide health benefits.
Salt Lake City: “With new provisions in the Affordable Care Act, there was going to be a significant burden upon Granite School District and our taxpayers to offset the cost of benefits,” said spokesman Ben Horsley. He says covering the district’s part-time workers would cost about $14 million, and so about 1,000 will have their hours cut to 29 a week.
I suppose one could make the argument that some of this is anecdotal but the June’s jobs report, which indicated a drop in full-time jobs while the number of part-time workers reached a record high of over 28 million, is certainly not anecdotal. There is nothing surprising about this. The fact is that people who understand the economy in general, and how and why jobs are created in particular, saw this coming years ago. The government can’t drastically raise the cost of hiring workers and expect businesses interested in surviving to shrug it off. Carney’s absurd assertion is “belied” by Obama’s unlawful decision to ignore a provision in a federal statute he signed by illegally delaying the employer mandate until after the 2014 mid-term elections. This is all the evidence we need to know that Obamacare’s critics were right all along: Obamacare is a job killer. Finally, via the Free Beacon, here’s more evidence that Obamacare is death for those seeking full-time jobs: