Sunday’s article in the Washington Examiner on the health care laws coming into effect this week note that individuals and small businesses are more likely to be affected by the changes coming down the pipe.
According to the Kaiser Family Foundation, one-fifth of people who get insurance coverage through their employer work at small businesses (50 employees or fewer).
That’s a lot of people nationwide who may be worrying about how their employer will handle the changes. Janene Jackson, vice president of government affairs for the D.C. Chamber of Commerce, said small businesses typically have a smaller profit margin than major corporations and for some, cost-cutting measures may be more extreme.
“[Layoffs] really becomes a possibility depending on the profitably of the business,” she said. “If there is wiggle room in your profit margins you may be able to absorb the increase.”
FYI, small businesses can qualify for tax credits of up to 35 percent of the premium cost. Jackson said that will help mitigate the blow.
