Obamacare’s effective minimum wage hike will cost jobs in 2015
Will President Barack Obama be discouraged if his plan to raise the minimum wage to $10.10 per hour doesn’t pass the House? Probably not — Obamacare is already effectively raising the minimum wage to $10.30.
Obamacare’s employer mandate, which requires businesses to provide health coverage to full-time workers, raises the cost of employing a single person by $2.24 per hour. Job cuts and small business-downsizing can be expected, according to a significant new report by the Heritage Foundation’s James Sherk and Patrick Tyrrell.
This effective minimum wage hike is strictly enforced under Obamacare. Small businesses of at least 50 employees will have to pay hefty fines for each worker not insured — fines that essentially add up to the cost of providing all workers insurance.