CBO Report on Work Reduction from Affordable Care Act

Floor Speech

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Mr. THOMPSON of Pennsylvania. Mr. Speaker, I rise to detail a report from the Congressional Budget Office that was released this month, which says the Affordable Care Act will lead to a reduction in work hours equivalent to 2 million jobs over the next decade.

The key reason for the work reduction, according to the CBO, is healthcare subsidies which are tied to income, which will raise effective tax rates for Americans and will create a disincentive for people who are seeking promotions or new, higher paying jobs.

The report also points to tax increases and penalties as a reason for the work reduction, including the employer mandate, which imposes penalties on those companies with more than 50 employees that do not provide insurance.

The House and the Senate recently passed legislation that would repeal key parts of the Affordable Care Act, including the employer mandate. Unfortunately, President Obama has pledged to veto it.

We can't allow these job losses to become a reality. This is why I will continue to work with my colleagues to make commonsense changes that will improve our Nation's healthcare system and will revitalize economic growth and jobs.

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