There are many ways that the current healthcare legislation will make things potentially difficult for small businesses. Business owners with 50 employees are more will be required to purchase insurance plans for 100% of their employees or have to pay a penalty. This can be detrimental to businesses that are trying to continue their growth and development.
MORE STRESS FOR EMPLOYERS
Employers not have to decide the number of employees they’re going to have based on their need to follow through on health care regulations. This can cause them to look into companies like Steers Insurance Limited and other such options for potential coverage. The problem with this is that many employers do not have enough money to support paying for the plan. This can mean negative effects on the performance of employees.
MORE WORK FOR SMALLER COMPANY EMPLOYEES
Employers who are afraid that they do not have enough money to pay for with the health care plan might put more pressure on the employees they do have to work longer hours. This can be detrimental to the performance of people who are pushing themselves beyond what they can handle in terms of the intensity of work they are performing. This can lead to tension in the workplace and a lower level of productivity overall.
People who have not had Health Insurance for a long time may be more likely to seek medical treatment for chronic issues. This means that employers may see their employees becoming more productive because they are feeling better and able to get the treatment they need. These individuals will be more productive during the workday because they are feeling of 100% and more focused on being productive when they are at the workplace. This can be beneficial to employers who are trying to expand their company.
SMALLER POTENTIAL EMPLOYMENT OPTIONS
An entrepreneur who has chosen to keep their company small and not offer health insurance benefits may find that they are getting less applications for employment than in previous years. Individuals who are concerned about keeping their insurance might be more inclined to stay with larger companies who can provide for their benefits. This means the quality of employees available may be less than in previous years.
CUSTOMERS SPENDING LESS MONEY
Business owners may find that their customers are spending a significant amount less money this year than they were last year. This is because if they do not work for an organization that provides them with health insurance they may be having to pay out of pocket for their medical care. This means that they have less disposable income than previously anticipated and therefore may be unable to enjoy the luxury that they previously did.
Overall the current healthcare legislation has both positive and negative aspects for consideration for small business owners. The responsibilities of having to pay for insurance for all employees are often too much for people to handle and it is a setting the availability of jobs in quite a few instances. Finding the right balance of compliance with the law and financial sustainability has been challenging for many entrepreneurs.