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Employers Refusing to Hire, Diminishing

Posted on September 22, 2012 by admin

The first thing that most citizens remember about Obamacare was the confusion it caused. No one knew what the term meant, what it entailed. They had even less of a clue as to its consequences. However, like the most delicate antiquity at auction, the truth was slowly unveiled, and people began to imagine the implications. One popular problem to point out was the probable decrease in jobs the healthcare plan created. By forcing companies to pay for insurance if they had a certain number of employees, a bloodbath was basically inevitable – or so many believed.

As the months passed, employers were polled about their feelings towards the program. They were asked about their approval, quizzed as to how they would respond once the system was put into place. The majority claimed they would not hire any new employees in the coming year.

The majority, according to this Sageworks study, was just above 65 percent. However, just as the fickle winds blow, a year’s time has ushered in a notable change of heart. The financial analysis company’s most recent study indicates that now 54 percent of these employers have the same reply. Although they have not hired new employees, neither have they downsized.

These aren’t the only statistics that show a change in opinion.

Another telling percentage was that which concerned those employers who planned to make a significant cut to their payroll. In a year, they reduced from 14 percent to 13 percent. Admittedly, such a change is not nearly as impressive as previously mentioned sway in opinion. But the following is: while only 13 percent of employers planned to increase their payroll a year ago, Sageworks’ latest poll shows that nearly 19 percent are all aboard the expansion train. Thus, the initial threat of a halt in business seems to be dying down.

Obamacare, though years in development and months in full-swing, is still a touchy subject, even a scary one for some, time has proven, people shouldn’t be afraid by it. Fear of the unknown is a human trademark, of course, but the way these American companies are reacting to the already-established healthcare program is a good sign. It is very telling of how optimistic the public should feel. The diminishing fear and growing confidence of businesses as it pertains to their financial feasibility – even within the constraints of the healthcare law – is cause for faith.

The road ahead might still be difficult for potential employees everywhere, jagged and uneven, but promise and prospect are still very real. As employer opinion continues to veer away from cynicism and pessimism, so too should yours. As long as the expansionists keep on outnumbering the downsizers and if those who are stingy with openings continue to decrease in number, the American economy will be strong for the health care system.