Affordable Care Act: Anything but Affordable Essay example

3085 WordsSep 23, 201313 Pages
Affordable Care Act: Anything but Affordable The Affordable Care Act is a piece of legislation that aims to extend healthcare coverage to millions of Americans. This bill has divided the nation and in some circles discussions end in bitter arguments. Those that support the bill feel it is the nation’s moral duty to grant everybody coverage, and many of those that oppose the bill are alarmed at the fiscal implications it brings. The Affordable Care Act was summarized by Avik Roy as follows: Some will be signed up for Medicaid and consigned to a lifetime of poor health care. Some will gain access to the subsidized exchanges, but will find it harder to gain employment as a result. And those who already have insurance, and are being…show more content…
Metz is also considering passing on the cost to the consumer. In January, after the changes are in effect John plans to implement a new surcharge (“Forbes: Papa John’s”) (Ray, “Tipping Point Over Healthcare”). Not only will some firms be turning full-time employees into part-time, but other firms that are close to the 50 employee limit may look to reduce their number of staff to below 50 in order to gain exemption from the law. “Financially, the best course of action for some businesses is to fire people. If you’re a business with 50 to 60 people that faces penalties, you undoubtedly will evaluate if automation, a change in logistics, a cut in hours or service, and other changes in business practices will result in a greater net profit” (“Obamacare Will Crush Small Businesses”). The penalties companies will face are intended to motivate them to offer suitable health insurance to their employees, Bob Mcdevitt, union President of Local 54 of UNITE-HERE said, “The average cost of health insurance for my members is $6,000 per year. If the company pulled out that cost would be reduced to $2,000 and that’s supposed to be a penalty? A basic economic principle is if you can walk away from those kinds of legacy costs, it’s very enticing for any employer” (Miller, “Businesses Fearful”). I asked a
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