Why the lack of job growth? Recovery Stalled After Obamacare Passed

It just keeps getting better

Mass layoffs are coming back

Putting pressure on an already lousy job market, the mass layoff is making a comeback. In the past week, Cisco, Lockheed Martin and Borders announced a combined 23,000 in job cuts. (See: Another Retailer Bites the Dust: Borders Doomed by Amazon Deal, Davidowitz Says)

Those announcements follow 41,432 in planned cuts in June, up 11.6% from May and 5.3% vs. a year earlier, according to Challenger, Gray & Christmas.

Govt. jobs being cut and even cuts at Goldman Sachs...

Meanwhile, state and local governments have cut 142,000 jobs this year, The WSJ reports, and Wall Street is braced for another round of cutbacks. This week, Goldman Sachs announced plans to let go 1000 fixed-income traders.

finance.yahoo.com...

reply to post by jibeho

Remember Clintoncare?? His administration, his wife's legislative package, his name. Ditto for Obama

Yeah, I understand naming a healthcare plan for someone who developed that plan. This ain't Obama's plan. He was single-payer all the way.

This should be called Congressacare. Simpler to say, as you say.

reply to post by jibeho


Does anyone here own a business? A brick and mortar business with employees; and everything else that goes with it?

I’ll give my real knowledge insight to this current situation. Why are business not hiring as much you ask? There is an uncertainty. What does this uncertainty consist of ? Health care, and new taxes in that exact order. 1099’s were going complicate it, but the house did away with that. That is not the big expense. Combine new taxes and health care, now that is a big expense for a small business. Planning is a must for all , and planning in the short term outlook is 3 years, 7 years is long term. Most business are implementing that 3 year plan now to set themselves up for the health care expenses and new taxes coming down the pipe. ( Most CPA’s advising this now ) In short, business are saving up the cash by not hiring and trimming operations to meet these new laws and taxes. Anyone that owns a business can foresee that our current government is going to raise taxes in order to pay for this health care, where else is this money going to come from. Another point I would like to make, taxing the rich or anyone that makes over 250K. Most small to mid size business make that much ,and their not rich either. Some of that cash will go back into the business in the form of a personal investment. ( i.e. after this crisis is over, if at all or maybe the doors will close.) Other factors, some other form of new taxes in the wind like taxing inventory in addition to what might be offered next year, mountains of regulations in every way, and competing with China labor, International sales took a big hit and dropped off the charts, USA sales slowing ans on the decline. combine the world economic situation and the add this health care and new taxes...it all adds up. big cuts have to be made. Banks our trying to lend cash, but no smart to do business wants to take on debt for many reasons right now, I can attest to that. The economy is not going to recover anytime soon, hence, business are cutting back now and for the next three years at minimum, if you don't your out of business or will be before then. As for now you could think of the entire USA economy in one big hiring freeze for the next 3 years.

what most people don't understand is that it takes a while to reposition a company with large new expenses, you do this by future planning, it wont be overnight or anytime soon. Business will start now and make whatever cuts that have to be made in order to meet these new expenses in 3 to 5 years. where talking a big chunk of revenue that at one time went back in to the business as an investment. ( its the law,, not an optional expense. of course it has ripple effects though out the economy.) If you drain all your company revenue over the next year trying to keep employees when you have falling sales worldwide and upcoming health care expenses along with new taxes, well you go out of business trying.

From the OP

Obamacare discourages hiring

My answer.

The new sign is up on the door. "No Applications being accepted!"
I don't need a link to anything, the sign is official as of 3 month ago. That's reality.

reply to post by jibeho


So a law that does not go into effect until 2014 is why we have been steadily losing Jobs for 10 years?
That sounds pretty solid.

New regulations came online and they are using nowadays any lame arsed excused to deny people employment.