There Is No Evidence for the GOP Myth That Health Reform Hurts Jobs
The Republicans do not have any evidence demonstrating that health reform hurts job growth. To the contrary, as shown below, there has been month after month of private sector job growth since health reform was enacted. It is repealing health reform that would hurt job creation.
Under Democratic Policies, Including Health Reform, There Has Been Strong Private Sector Job Growth This Past Year
In 2010, there have been 12 straight months of private sector job growth. Under the Obama Administration, overall this past year, we have created a total of 1.3 million new private sector jobs. And, since enactment of health reform in March 2010, we have created a total of 1.1 million new private sector jobs.
In Sharp Contrast, Under the 8 Years of Republican Policies of President Bush, We Lost Private Sector Jobs
During the 8 years of the Bush Administration, under Republican economic policies, 673,000 private sector jobs were lost. In other words, there were 673,000 fewer private sector jobs when Bush left office than when he was inaugurated in 2001.
Health Reform Has Been Good for the Health Care Industry
Among the 1.1 million new private sector jobs created since March, many of these jobs have been in the health care industry. Indeed, overall, since March, an additional 207,000 jobs have been created in the health care sector.
Health Reform Is Already Helping Businesses Create New Jobs
There are already in effect two key provisions in health reform that are helping businesses meet their health coverage costs - thereby freeing up money to hire more workers. These two provisions, described below, are: tax credits to help small businesses provide health coverage and the new Early Retiree Reinsurance Program.
Health Reform Is Already Delivering Savings to Small Businesses with A New Tax Credit - Lowering Their Costs and Freeing Up Money to Expand Their Businesses
Health reform has established tax credits for small businesses, effective in January 2010, to help them offer employee health insurance coverage - if they choose to do so. Between now and 2013, reform offers tax credits of up to 35 percent of employer premium contributions (rising to 50 percent in 2014).
More and More Small Businesses Are Signing Up for Health Reform's Tax Credit
As the Los Angeles Times (12/27/10) reported:
Major insurers around the country are reporting that a growing number of small businesses are signing up to give their workers health benefits… An important selling point has been a tax credit that the nation's new health care law provides to companies with fewer than 25 employees and moderate-to-low pay scales to help offset the cost of providing benefits.
According to a survey by the Kaiser Family Foundation, the percentage of employers with between three and nine employees offering health coverage has risen from 46% in 2009 to 59% in 2010 - in part due to the reform's new tax credit.
Health Reform Is Also Already Delivering Savings to Thousands of Employers With Early Retirees - Lowering Their Costs and Freeing Up Money to Expand Their Businesses
Health reform also created the Early Retiree Reinsurance Program -- providing financial assistance for employer health plans offered to early retirees. This initiative is providing premium relief for employers and helping them afford to continue this critical coverage for early retirees and their families. Already, there are 4,748 employers across the country that are participating in the program - with many of them large employers with thousands of early retirees each.
Finally, A Study Finds That Health Reform Will Create Up to 4 Million Jobs Over the Next 10 Years - Repeal Would Prevent This Job Creation
A study by Harvard Economics Professor David Cutler and USC Health Policy Professor Neeraj Sood, published by the Center on American Progress, concludes that the health reform law will create as many as 4 million jobs over the next decade by lowering costs - including lowering costs for businesses - and making investments in the health care workforce. The reform law includes numerous cost-containment measures to slow the rate of growth of health care spending. Small businesses in particular are helped through Health Insurance Exchanges that allow them to pool resources to lower costs as well as tax credits to make it more affordable to offer their employees health coverage. These cost-reduction provisions free up money that otherwise would be spent on health care and allow companies to spend it hiring more workers. In addition, reform makes key investments in the health care workforce - supporting more young Americans to go into the health care workforce, particularly into primary care. Those benefits disappear, as well as the jobs created along with them, if the law is repealed.
,
