◼ Small business owners, who have been waiting for the court’s decision on Obamacare before making decisions on hiring and investment now say the decision raises more questions than it answers.-CNBC
The Supreme Court ruled that the government can require that most Americans have health insurance, and require that individuals pay a penalty for not having insurance, which, according to Chief Justice John Roberts, “may reasonably be characterized as a tax.”
“This decision sustains the uncertainty they currently have,” says Steve Caldeira, president and CEO of the International Franchise Association. “The impending costs of health care do not give business owners confidence to open that extra store or to hire more people and create the economic output our country needs.”
Jim Amos, CEO and chairman of Tasti D-Lite, a frozen yogurt franchise that operates in 14 states as well as globally, is certain of one thing: The ruling will hinder growth in the franchise space. “It’s going to force franchisees to shift workers to part-time to avoid the 50-employee threshold,” he said. “It will keep new owners and new openings on the sideline.”
...Employers are going to now essentially be taxed for every employee, said Barry Sloane, CEO of Newtek, a small-business lender and business service provider. “I think what just occurred was that the older population just got a wealth transfer from younger, healthier people that otherwise would not have paid for health care. It’s unlikely that this will make it less expensive for everyone.”
