Image 01 Image 03

Obamacare harms colleges, jobs and wages

Obamacare harms colleges, jobs and wages

The University of Virginia expects to incur a $7 million bill from Obamacare’s employer penalties, said Susan Carkeek, the University’s vice president and chief human resources officer. “We’re expecting fairly significant cost implications from the Affordable Care Act that pass on new penalties and charges, fees to employers – probably in the order of $7 million a year,” she explained in a recent interview.

Community colleges across the nation are slashing employee hours to avoid costly Obamacare mandates. For example, “Pennsylvania’s Community College of Allegheny County (CCAC) is slashing the hours of 400 adjunct instructors, support staff, and part-time instructors to dodge paying for Obamacare.” Youngstown State University is also “trimming staff hours to avoid Obamacare’s fiscal burden.”

Other universities are also cutting employee hours, which is “a double whammy” for instructors, who are “facing a legal requirement [under the new law] to get health care and if the college is reducing our hours, we don’t have the money to pay for it,” said an adjunct biology professor.

Many employers are now cutting full-time workers and replacing them with part-time workers (which helps conceal high unemployment) in order to avoid Obamacare mandates that apply to full-time employees, a phenomenon chronicled at the Huffington Post and on Fox News. Obamacare is causing layoffs in the medical device industry, and will wipe out many jobs. Even liberal Democrats in the Senate, such as Al Franken, are admitting the medical-device tax contained in Obamacare will wipe out many jobs. In a statement in December, “Sen. Al Franken called it a ‘job-killing tax’” that will “impair American competitiveness in the medical device field.”

Obamacare will also reduce employment by approximately 800,000 through work disincentives and bizarre income-cliffs. Earlier, restaurant chain CEO Andrew Puzder explained how the 2010 health care law is preventing jobs from being created in the restaurant industry, and resulting in layoffs in other industries. John Stossel reported on how Obamacare is stopping businesses from hiring.

Obamacare is also increasing the number of unnecessary medical tests, driving up medical billings, and wasting doctors’ time. The Dean of Harvard Medical School, Jeffrey Flier, said that Obamacare will reduce life-saving medical innovation.

Had enough?


Hans Bader, Esq., is Senior Attorney and Counsel for Special Projects for the Competitive Enterprise Institute, and also writes at the blog.


Donations tax deductible
to the full extent allowed by law.



I had enough on Dec 1 2008.
everything we said would happen is happening.
sucks 🙁

2nd Ammendment Mother | March 20, 2013 at 7:27 pm

Just curious how the Mandate will hit kids on work study programs? and Grad Assistants? Mostly because one of my kids is currently taking advantage of being a Grad Ass to pay her tuition bills.

Many health care administrators were all-in on Obamacare because they saw $$$$$ but it will come back and bite them in the ass.

So, what’s the problem? The colleges can just raise tuition & fees, and pass the cost along to the students.

Then, since the student’s loan debt will be so high, Obama can just forgive all their loans.

And we all live happily everafter. /libspeak

Cloward-Pivencare is going exactly as fantasized, and it will be successful beyond any American communist’s wildest dreams if we don’t dump the failed, corrupt fools that are hogging the GOP leadership.

nordic_prince | March 20, 2013 at 8:50 pm

Yup. Rumors abound at my local cc with regards to exactly how Obamacare is going to affect us adjuncts – a number of us teach at multiple cc’s so there is a lot of note-comparing going on. We haven’t received official word yet, but word on the street is that our hours will be strictly limited to the 10 credit hours as in the contract, probably eliminating any possibility of picking up an overload class (which option we currently enjoy, up to 13 credit hours total per semester). New adjunct would have to be hired to handle any increase in enrollment. Muddying the waters is the question as to exactly what teaching load would constitute “part-time” – one figure I’ve heard adds an additional two hours per week for every hour in class, but I have no idea where this figure was grabbed from, nor if it is reasonable.

We have yet to see how everything is going to shake out, but any way, it ain’t gonna be pretty ~

This is the Sequester the liberals weren’t expecting. Somehow they will blame Obamacare’s failure on Republicans.

9thDistrictNeighbor | March 20, 2013 at 9:19 pm

No one can convince me that this isn’t a manufactured crisis designed to lead us down the primrose path toward the holy grail of the left—single payer.

Never let a crisis go to waste!!

I bet a high percentage of these folks voted for Obama in 2008 and 2012. They are getting what they asked for. Why any sympathy?

BannedbytheGuardian | March 20, 2013 at 11:06 pm

What does the Esq…stand for?

Now we know why Progressives always referred to the term “ObamaCare” as a pejorative.

What a web the gang from Chicago has woven onto the public, industry and taxpayers.

NOTHING the guv’ment does is efficient, fair or productive.

O’bammyCare should negate any chance of real economic recovery any time soon…

    arnonerik in reply to GrumpyOne. | March 21, 2013 at 1:03 am

    This is not just some gangster from Chicago thing. This is about collapsing our currency and our economy.
    Then, in the ensuing chaos, caused by riots and looting with many deaths, (which not be allowed to go to waste), the people will demand that the government restore order. the Elite will gladly comply! Welcome to the New World Order.

2nd Ammendment Mother | March 21, 2013 at 10:20 am

Go easy on the nightmares – I just got around to the Second installment of Atlas Shrugged last night.

Being a production person, I tend to watch movies from the POV of process, equipment, logistics and such. Just two of my questions:

Why did they make it in California with mandatory union rules? With the exception of some location specific scenes, it could easily have been done in a right to work state.

Why did they give Fisker (a government subsidized entity) a plug?

Obamacare harms health care. It does not address the cause of progressive inflation. It ignores it. It increases revenue (e.g. taxation), but does not increase supply to meet the additional demand.

Working all as designed. As “evil businesses” cut back on work hours to avoid all the penalties, “progressives” will take to the airwaves to proclaim: “see, evil corporations and fat-cat CEOs with golden parachutes and gold plated private healthcare plans can’t be trusted to be left in charge of something so important: our people’s healthcare. We need to take evil multi-glob-national cheater fatcast out of the equation altogether!”

And as it was designed all along, voila: single-payer government run healthcare.

Employers won’t fight having that ever-ballooning line-item taken off their balance sheets. No one will be around to fight it.

And once you have the government running ~75% of the economy (between Federal, State and Local governments, we’re already looking at ~50% of our current economy), we have a socio-economic situation that the actual self-proclaimed Communists couldn’t have even DREAMED of only 10-20 years ago.

Working PERFECTLY as designed.

[…] pay a 65% marginal tax rate on any new income I might generate from starting a small business.) This article has a nice summary of what Obamacare means for many colleges and many small businesses: sharply […]

[…] Obamacare harms colleges, jobs and wages ( […]

[…] high, with Dodd-Frank placing heavy burdens on the financial industry and the implementation of Obamacare threatening jobs and health coverage for millions of people across the country. Unemployment is still very high, and the labor force […]