I probably get asked this at least five or six times a week, if not daily. Why is there $47 billion in cash sitting on the “side line” that businesses don’t wish to spend…WAKE UP AMERICA! …the solution to the problem is pretty simple…
There are 7.5 million business establishments in the United States and they average 16 employees… we’re a nation of small businesses. In 2009, the average business owner in the United States made $259,000… that’s the average business… 3.75 million of them made more than 3.75 million; most of them made less…
For the most part, these business establishments offered healthcare to their employees. So now the government comes along and, if Obamacare survives, guarantees that my insurance rates will go up for my employees… don’t give me that garbage that my rates won’t change…they will…the day before yesterday, we were informed that the health insurance for our company… and we have a PEO so we are lumped in with 75,000 other people.. was going to go up 15% next year… after raising 20% last year.
If our present political administration stays in office, we have been told that the top half of those business owners… the ones earning above $259,000 are going to have their taxes increased… I’m not sure how much but I know they’re going to go up pretty drastically…
So here’s the deal…I’m scared… healthcare costs are going to go up for the 30 people in our company and my taxes are going to go up… and I don’t know by how much on either account… our controller is trying to get a better insurance program but it’s going to be hard because the average age of a person in our company is 54 years old… we are boomers…
Am I going to hire people?… maybe, but I’m going to be really, really, really careful about it… I’m not willing to take risks because the economics of my company are very uncertain…
If we change administrations in November, I’ll feel a lot better… until then, I’m going to be really careful… I won’t expand very much and I think just like the vast majority of those 7.5 million business owners…
As the threat of skyrocketing healthcare costs, regulation costs and taxes are in front of me, I’m reluctant to hire and expand… pretty simple…
The reason this is important for you to know is that, if you are a candidate and you are interviewing with the average business manager or owner in the United States this is exactly the way he or she is thinking… if you are going to be a valuable employee for them you need to convince them that you are a sure bet… that you are a perfect candidate… then you’re going to make them money and save them money and you’re going to do it very quickly… so the next time you go to an interview you know what that hiring authority is thinking and feeling… it’s pretty simple… and it’s pretty ugly…
Got it?
