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We first turned to the Congressional Budget Office report. The CBO is a nonpartisan agency that provides economic analyses to members of Congress on how legislation will impact the federal budget and the economy as a whole. In August 2010, it published a new outlook that considered the jobs impact of the new health care law.
The Republican report is right that the CBO has determined that the law will reduce "the amount of labor used in the economy," but the GOP report leaves out many important qualifiers. The CBO report actually says:
"The Congressional Budget Office (CBO) estimates that the legislation, on net, will reduce the amount of labor used in the economy by a small amount—roughly half a percent—primarily by reducing the amount of labor that workers choose to supply. That net effect reflects changes in incentives in the labor market that operate in both directions: Some provisions of the legislation will discourage people from working more hours or entering the workforce, and other provisions will encourage them to work more. Moreover, many people will be unaffected by those provisions and will face the same incentives regarding work as they do under current law."
Basically, the CBO is saying that some people right now are working mostly to keep their health insurance. Once they have other options -- to enroll in Medicaid, or to qualify for tax breaks to buy insurance from a health exchange -- they might choose to work less. The CBO describes this as a "small segment" of the population. And, because the CBO is describing reduced hours rather than lost jobs, it never uses the 650,000 number that the Republican document cites. The Republican extrapolated that number from the CBO's estimate of one-half percent of the labor supply. Finally, we should point out that a person who voluntarily chooses to work less is not having their job "killed" by federal legislation.
Originally posted by Wolf321
A family member of mine who works for a health care facility was recently concerned about losing her job. They had a meeting and were told that because of the new Health Care Law, they would be laying off some people. In the end, my relative kept their position, but about 1/3 of the workers were laid of. The number of patients under their care remained the same. So fewer people to care for the same number of patients equals lower quality of patient care.