Bloomberg News Shows That Obamacare Is Not A Job-Killer As Republicans Claim

I’ve discussed many times, most recently yesterday, how the conservative arguments against the Affordable Care Act don’t hold up. Their predictions of doom have also consistently failed to come about. Bloomberg News looked at the effect of Obamacare on corporate profits, finding only a small effect, debunking the conservative claims that Obamacare is a job killer. It also helps that one of the benefits of the Affordable Care Act has a lower increase in premiums than has been seen in the past:

The biggest entitlement legislation in a generation is causing barely a ripple in corporate America.

The Patient Protection and Affordable Care Act — otherwise known as Obamacare — is putting such a small dent in the profits of U.S. companies that many refer to its impact as “not material” or “not significant,” according to a Bloomberg review of conference-call transcripts and interviews with major U.S. employers.

That’s even after a provision went into effect this year requiring companies with 50 or more full-time workers to provide coverage, and after more workers are choosing to enroll in existing company coverage because of another requirement that all Americans get insured.

“It’s just part of doing business,” said Bob Shearer, chief financial officer of VF Corp., which owns the North Face and Vans apparel brands. “Obamacare has added costs, but not so much that we felt we had to talk about it specifically.”

The collective shrug from the nation’s biggest employers undermines the arguments of Republicans, who call the law a job-killer as they seek its repeal.

While U.S. health-care costs continued to rise faster than inflation in the five years since the law was passed, their rate of growth has slowed. Employers spent an average of $11,204 per worker for health benefits in 2014, up 4.6 percent from a year earlier, according to Mercer LLC. That growth rate was 6.1 percent or more each year from 1998 to 2011.

Enrollment in insurance policies purchased on the exchanges has also beaten expectations. The Hill reports, “The administration announced on Tuesday that 11.4 million people had signed up ahead of Sunday’s deadline, a figure that puts the administration on track to beat its goal of 9.1 million enrollees. Republicans have been largely silent on the numbers.”

Taken together, these two reports are further evidence that the Affordable Care Act is helping to both increase the number of people insured and restrain health care costs.

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