Barack Obama is happy to talk about the intention of his landmark legislation, but seems a lot more reticent to discuss the implication. Adding millions of new forced insurance policies that businesses have not budgeted and cannot afford, Obamacare is poised to hit America's middle and lower classes.
Darden Restaurants, an Orlando-based company representing a wide array of restaurants from Olive Garden to Red Lobster, is in the midst of a disconcerting experiment. They are taking 4 of their home markets and cutting their employees' hours to 29 or below. Why?
The Affordable Care Act.
Obamacare dictates any business employing a worker for 30 or more hours a week must either provide healthcare or else. With no plan, no money, and only more regulation coming down the pipes from the Federal Government, companies are being forced to make difficult choices when it comes to that 29 hour line.
We saw this coming. When this kind of cost and regulation is imposed on businesses that are already hard-hit by the economic mess we are in, the only recourse is to cut, slash, shrink, or close your doors. That means less jobs, lower wages, and less capital for those businesses to expand our economy.
The price of one worker that must turn to a healthcare exchange as a result of Obamacare, is a $3,000 fine. Put that into the scope of Darden's almost 2,000 restaurants nationwide, and business in America is going to have some SERIOUS work to do or bills to pay in the future. This kind of forceful regulation will not only hit big companies, my friends. Small businesses are even LESS able to afford this kind of financial burden.
When a business as large as Darden gets really into this nightmare of a pass at healthcare reform, the fact becomes clear that there is no way to keep costs down as far as they need to be. These problems will migrate up the coast to Virginia as well, folks. Our small business community sits in the crosshairs of these regulations.
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VA GOP Caucus