Obamacare is forcing small businesses overseas.
Sen. Ted Cruz, R-Texas, during September 24 speech on Senate floor:
"I would ask you to take each of those small business owners and multiply it by the millions of small business owners across this country. The millions of small business owners who aren't growing, the millions of small business owners who are forcing their employees, forcibly reducing their hours to 29 hours a week, the millions of small business owners who are considering moving operations overseas or have already because of Obamacare."
"I would like to point out to you that if it weren't for Obamacare every small business that has an opportunity to expand right now and that isn't expanding because of Obamacare that is a job you are not able to get. If you want to know why the job economy is so bad, why there are so few jobs, why we have got the lowest workforce participation in decades in the United States? Well, small businesses generate two thirds of all new jobs in the economy and small businesses have been hammered under Obamacare unlike ever before."
The employer mandate, which requires firms to start providing insurance in , pertains only to companies with at least 50 full-time workers.
As of 2010, there were roughly 5.7 million small businesses, defined as those with fewer than 500 workers. Some 97% of them have fewer than 50 employees. That means Obamacare's employer mandate applies only to 3% of America's small businesses. That's about 200,000 companies.
The data shows that only a tiny sliver of the nation's small businesses face the new rules - and even fewer face any changes. Of the country's 6.5 million workplaces, only 1% must actually start providing insurance [in 2015].
CNNMoney: The overblown Obamacare myth about small business
(***NOTE: This article predates the delay of the employer mandate; In July, the White House announced that it would delay the employer mandate until 2015)
False. There is no doubt that Obamacare has had some impact on small business hiring. But Cruz wildly overstates the case.
Yes, but doesn't everyone know that wild-eyed hysteria based on gross misrepresentations and blatant hyperbole are is the foundation of good governmental decision-making?
Fact: GOPers/Teatrolls hate American companies hiring foreigners unless they're the ones doing the hiring.
"If you want to know why the job economy is so bad, why there are so few jobs, why we have got the lowest workforce participation in decades in the United States? "
Then look at middle-class salary trends over the past 40 years and compare them to the salary trends for management/executive and CEO-level employees. Then, look at the trending graphs for the wealth gap. Then, understand that supply side economics is a LIE and that the biggest thing hampering economic growth and job creation in this country is the redistribution of wealth upwards and the DEMAND VACUUM that it has created. The virtuous cycle has been mercilessly crucified by the right's push for plutocracy over the past half century. THAT is what lies at core of the entire problem.
Yet another GOP talking point that is a lie. Thanks CNN for finally pointing out some of these.
FACT! - Obamacare doesn't force small businesses to go overseas!
What else is new , the GOP has been lieing and trying to scare people sence day one to protect their corporate cronies. Cruz Rubio and lee are out in their next election along with the rest of their teaparty zombies!!!!!
First of all, Cruz did not overstate this. And second of all, I never read on CNN that Obama "wildly overstates" anything! And he does – all the time – from his podiums – with his mouth to the microphone. Total double standard.
CNN, give us your definition of what a "small business" is.
Why would a plumber relocate overseas. Aren't his customers here? Use some common sense people. My husband's small business is staying put and now he can get health insurance as he has a pre-existing condition and hasn't even been able to get a policy quote.
"Cruz did not overstate this."
Riiiight, "MILLIONS!!!!!!" when there's only about 200,000 that fall into the category of being subject to the ACA mandate in the first place. Nope...no overstatement there.
And where do those foreign workers get their health care? Their GUVMENT.
OMG liberals!! the bottom line of the article "There is no doubt that Obamacare has had some impact on small business hiring" so even if one business went over seas doesn't that make this TRUE? Weather or not he embellished or not is not relevant. If a food or drink or activity gave one person out of a million a fatal disease, they would still say that "this product may cause whatever" and it would be a true statement! Go ahead, keep making excuses for this con-man in the white house. Keep drinking the kool-aid. You need to actually research, and view the other side of the argument for yourselves. THIS BILL IS BAD!! There are better ways to fix this.
This is silly news. I have a small business–it is right here in USA. I KNOW ALL ARE HERE.
Hey freedom ,I'd take CNN word over a teaparty fool any day ,GOP moron!!!!!
Among other conclusions, one obvious one is that Senator Cruz is not very bright. He and some others on the far right need to urgently heed Governor Jindal's warning about not being the stupid party. In several ways, Governor Jindal represents the rational right.
It also makes me wonder - issues such as healthcare, climate change, etc. are extremely complex. People on the extreme right AND the extreme left have great difficulty acknowleding logical flaws in their own arguments – and many seem to boil down complex issues into simply yes and no's. All goes back to the notion that both extremes attract mentally challeged people that can't deal with too much complexity.
Brian - you say there are better ways to fix this bill. Then why are Republicans only talking about repealing the bill? Where are their suggestions to improve the bill? All we hear about is getting rid of it. Further, by your logic, if one person is helped by the ACA, then they can claim that it is beneficial. Well, millions of people are being helped by this bill. It is a good bill. It could be a better bill, but Republicans have to want to help. Shoot, even if they said "get rid of the ACA in favor of this omnibus bill that would achieve the same ends better" that would be progress. But they can't even bring themselves to do that, because Republicans don't have a clue how to do that.
So spare us the kool-aid comments - you're just drinking a different flavor.
"Weather or not he embellished or not is not relevant. "
It's entirely relevant. Or do you base all of your household purchasing on WHETHER a product has a 1 in 6,000,000 failure rate?
Front page of the Detroit News says:
Healthcare rates lower than expected under the ACA. (That's Obamacare for the not so swift)
Companies shortening work hours in the States is the major impact. Just look at the unemployment figures for teenagers that need work. Most Americans even if they do despise Obamacare find work arounds for off shoring employment.
Two for two. The GOP is shown to be a bunch of feckless liars on the ACA.
Small business sends jobs overseas. LOL.
Ted Cruz's assertion would be a funny joke (bada boom), if he wasn't serious & might even believe it (doubt it)! If a Small Biz w/50 employees can't afford Obamacare, who in the world would believe they have the capital to move their operations over seas! Small businesses are often mom & pop shops that serve their neighborhoods! I can't imagine even Cruz believes this blatant lie! Good try, though, dude!!
the fact that the GOP are trying so hard to stop it convinces me its a great bill. When was the last time the GOP was looking out for anyone but themselves?
What "forces" businesses overseas is shareholder greed. Those fractions of a percent of profit margin is the root cause. It has nothing to do with competition because companies have moved offshore in their years of highest profits.
It's just greed and whining about having to pay for health insurance for your employees is a clear indicator of this.
Small companies, like large corporations, have to be socially responsible. If you look at all SuperFund sites in America, most of them are NOT owned by large corporations.
I'm tired of the small business whine spewed forth by the GOP. The fact is, small businesses are not the ones who benefit from lower taxes and subsidies. The big corporations get 97% of the pie.
Businesses large and small have been offshoring jobs since before "Obamacare" was even heard of. I know – mine went to China in 2007 and I know of a ton of them that went to Mexico after NAFTA went into effect. That's one of the primary reason for the unemployment rate these days, those jobs leaving and not coming back. Obamacare had ZERO to do with it. GREED was the reason.
GOPers have made cheaper and more frequent. American job moves to other countries were less under Obama than under GWD. But how many business-friendly countries in the world today do not operate healthcare system for their poor. If there is anything thats frustrating jobs in US, its either legislative gridlocks or sequestration, or both, among other instalments by the GOPERS.