Monday, August 09, 2010

Why business isn't hiring

Michael P. Fleisher, president of Bogen Communications Inc. in Ramsey, N.J., explains how much it costs, adding up the various taxes and fees, to employ an average worker, call her Sally, in New Jersey:
When you add it all up, it costs $74,000 to put $44,000 in Sally's pocket and to give her $12,000 in benefits. Bottom line: Governments impose a 33% surtax on Sally's job each year.
He concludes:
A life in business is filled with uncertainties, but I can be quite sure that every time I hire someone my obligations to the government go up. From where I sit, the government's message is unmistakable: Creating a new job carries a punishing price. [Emph. added]
RTWT for the details.

Pres. Obama's economic initiatives, particularly Obamacare, seem aimed at making the costs of employing a worker not merely higher but also more uncertain and, hence, risky.

PREVIOUSLY on the subject of Obamanomics and how it differs from economics:
Dodd-Frank finance "reform" bill stops bond market cold
Why unemployment insurance must be extended (illustrated)
Obamanomics still failing, Washington Post discovers
Russia goes supply-side
Study: Liberals are economically illiterate
Obama's health care and economic policies explained
Obama modeling US economy after Europe's
Irresponsibility pays!
Obamanomics prolonging the recession
US Aaa bond rating threatened by Obama's budget says Moody's
Obamanomics illustrated II
How Dems are prolonging the recession
How Obamanomics destroys jobs
Obamanomics illustrated
Deficits: Obama goes where no man has gone before (illustration)
How to raise the standard of living
Obama's anti-intellectual economic theory
Obamanomics and the test of science
Obamacare may raise insurance costs by 54%
Harvard economist explains why Obamacare will raise premiums
HHS says Obamacare will cause costs to go up and cause employers to drop coverage

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