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Small businesses will use private contractors in lieu of employees under Obamacare.

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msallied Donating Member (1000+ posts) Send PM | Profile | Ignore Wed Sep-09-09 09:05 PM
Original message
Small businesses will use private contractors in lieu of employees under Obamacare.
Per a right-wing friend of mine. What the hell is he talking about? Anyone know?
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heraldsquare Donating Member (12 posts) Send PM | Profile | Ignore Wed Sep-09-09 09:07 PM
Response to Original message
1. Your RW friend is about 15 years behind the times.
companies have been doing that more and more for a while.
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msallied Donating Member (1000+ posts) Send PM | Profile | Ignore Wed Sep-09-09 09:34 PM
Response to Reply #1
4. That's what I've been thinking.
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Dappleganger Donating Member (1000+ posts) Send PM | Profile | Ignore Wed Sep-09-09 09:41 PM
Response to Reply #1
8. Exactly!
This is why my husband is working for 30% less pay and no benefits for the same type of job. Fuck them. Fuck them all.
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sandnsea Donating Member (1000+ posts) Send PM | Profile | Ignore Wed Sep-09-09 09:08 PM
Response to Original message
2. To avoid responsibility
They'll say their employees are private contractors. But unlike with social security, the private contractor will be facing a fine if he doesn't have medical insurance, so won't be so happy to go along with that.

We could end up finding enough money come into social security that we can stop talking about it being broke.
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peace13 Donating Member (1000+ posts) Send PM | Profile | Ignore Wed Sep-09-09 09:13 PM
Response to Original message
3. The small businesses that are still standing are just hanging on.
Obama just said that small business could use the government option. We have been in business for 25 years and to tell it like it is, our health care benefit is the next thing to go. I think that your friend will be disappointed.
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FrenchieCat Donating Member (1000+ posts) Send PM | Profile | Ignore Wed Sep-09-09 09:35 PM
Response to Original message
5. 95% of Small businesses will be exempt under America's TeddyCare!
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TxRider Donating Member (1000+ posts) Send PM | Profile | Ignore Wed Sep-09-09 09:37 PM
Response to Reply #5
6. I hope I'm one of the 95%, how do you tell?
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FrenchieCat Donating Member (1000+ posts) Send PM | Profile | Ignore Wed Sep-09-09 09:44 PM
Response to Reply #6
9. Most likely there are small business with NO employees......
I'm assuming it would be based on Industry, net income and the number of employees on payroll.
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TxRider Donating Member (1000+ posts) Send PM | Profile | Ignore Wed Sep-09-09 09:52 PM
Response to Reply #9
12. Well I have a dozen salaried employees
I pay 100% health care as well, including dental but any additional costs will change that or lose me employees.

I saw a 500k employee total salary figure, and I'm well over that.
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grantcart Donating Member (1000+ posts) Send PM | Profile | Ignore Wed Sep-09-09 09:39 PM
Response to Original message
7. in some cases small businesses use a central administrative company
to hire their employees and they lease them back.

This allows the small company not to have a HR department and all of the benefits are established by the larger employee leasing company that can pay smaller premiums due to economies of scale.


This has been an option for some time. Some like it some don't.
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msallied Donating Member (1000+ posts) Send PM | Profile | Ignore Wed Sep-09-09 09:47 PM
Response to Reply #7
11. Well, my husband is a fulltime employee at a major Fortune 500.
And they haven't hired full-timers in years. All new workers there are contracted through Kelley Services. When I worked there, I was too. And that was 10 years ago. So really, I didn't understand his point about how "Obamacare" would cause this to happen, if it's already happened.
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Thrill Donating Member (1000+ posts) Send PM | Profile | Ignore Wed Sep-09-09 09:45 PM
Response to Original message
10. Thats dumb. Small Businesses are the ones who need it the most
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