A rose is a rose is a rose…

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There’s been a whole lot of hoopla about a CBO (Congressional Budget Office)  report.  The one that announced that 2.3 million Americans might opt to stop working over the next ten years.  Because PPACA (Patient Protection and Affordable Care Act- aka Obamacare) has given then something these folks didn’t have before.

You see, until the passage of Obamacare many folks kept working because they feared they would lose their health care if they stopped workihg.  And, getting insurance on the “open market” has proven to be more closed than opened over the years.

Let us not forget that many companies also do not provide sick leave.  Oh, some of the big ones do- but not a great deal of the the small- to medium-sized ones. And, when someone gets sick, pregnant, has an aged parent needing care- those employees don’t get any time off.  They either get docked pay or get fired.  How many people am I talking about?  About 40 million of them- or 38% of the entire workforce.

So, it shouldn’t be surprising that many employees- 2.3 million of the to be exact by 2021- may be willing to forgo full-time employment- to insure they can care for their parents, their children, or get pregnant- or write a book or paint a picture. Or, the fact that obtained in yesterday’s economy- that a 64 year old person kept working full-time because s/he could not get any private health insurance- and was too young for Medicare.  But, in today’s world, s/he can get insurance.

Yes, many of a certain ilk claim Obamacare will decimate the workforce.  Of course, they would never consider making it a law that all companies provide sick leave or be subject to the Family and Medical Leave Act.  Because that would make sense- and maybe those 2.3 million who need such benefits would not quit or work part time.

Those 2.3 million folks who will be working part time in 2021 will be the equivalent of 800,000 full-time employees.  But, since these are elective reductions in employment, it still does mean that the unemployment rate will be lower.  Because employers are not taking away jobs- they still need to fill those 800K positions.  And, that will keep the employment levels higher.

In the meantime, healthcare coverage for Americans is increasing.  86% of them are covered now- which is 4% higher than was true last year.   Within three years, that coverage level should top 92%.  Exactly the goal behind the passage of the law.

And, maybe making life better for all Americans as a result.

 

 

 

 

 

 

 

 

 

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4 thoughts on “A rose is a rose is a rose…”

  1. I’m confused its a better America because people aren’t working and paying their own way in life. They are receiving free (for them) health care. While the dumb yucks with jobs (me) are trying to provide for my family and everyone else’s too. Something I’ve learned long ago there is nothing free in this world. Somebody is paying for it. Those are the Americans that I think are great.
    Shawn recently posted..It’s all in the Follow Up

    1. I swear I answered this already, Shawn. If not, I am so sorry.
      Why did you assume that folks are not working? That’s NOT what the report said- it said they would work PART-TIME! Because they have family obligations (sick parent, sick child, babies at home). Because if they work FULL-TIME, either the person does not get the proper care, or their entire pay check is sucked up to pay for their care. Consider these real cases…
      One parent works and makes real wages (I won’t give the real numbers- let’s say $ 70K.) The other spouse is making $ 40K. But, he chose the employer that gives health care for his family. (The other job provides none.) So, after taxes, he makes about $30K. And, day care for their child is $ 21.2K a year. (They live in a city and that is the going rate.) So, to get health care, he is only making about $ 9K. That healthcare- under the old system- would have cost him $ 750 a month, so it had real value. But, now, he can get health care on the open market for $ 500 a month. So, he can either work part time and make $20 to $ 25K a year, and share care with a neighbor for his child and her child. Net gain to him- time with his kid, more personal care for his kid, and slightly more disposable income. That’s bad for the economy?????
      Or, the 64 year old guy who wanted to work part-time and spend time with his grandchildren. But, healthcare would cost him $ 1200 a month. And, part-time work would only net him (after taxes) $ 1800 a month, or $ 600 for rent and everything else. So, he worked full-time, made $ 50K, and got health care. Now, he can buy health insurance for $ 422 a month, and asked his boss for a Monday or Friday off a week (and gave up his health insurance). That’s bad for whom????

  2. When I was running the kitchens back in my work for pay type job, at least half of the ladies working there, worked for the health insurance for their families. It was a big push because while they were getting the insurance, they were also paying someone else to take care of their children after school, before school, day care etc which really meant that they worked for the health insurance and nothing else. With the new laws perhaps they can forgo the day care and afford to care for their own children. That might not be such a bad idea. Those that want to work and farm out the kids can continue to do so, and those that want to raise their own children can do so.
    Chef William recently posted..Jalapeno Poppers And Chicken Enchilada Casserole

    1. I believe you just provided one of the key points, Chef William. I have several clients whose spouse works – and their net pay just about covers the cost of day care- but each employer (husband’s and wife’s) will only cover the employee and one child for insurance… Their both working means all four of the family members are covered…
      But, with the newer provisions that now obtain (PPACA), it may make sense to buy one’s own insurance and have the lesser paid individual work part-time. (I actually just arranged for two families to do just that- where a mom covers the five kids [between both families] in the morning and the dad (he was the lesser paid individual of the second couple) covers the five kids in the afternoon. And, now the part time wages actually add to the family coffers!
      Whatever it takes to have satisfied clients!

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