Tuesday, March 12, 2013

Work Disincentive

Obamacare can be blamed for laziness and a lack of ambition. Why work harder in hopes of getting a raise or promotion when you are better off in a low paying job?

Years ago I worked with a very talented individual who worked very hard at being average. When weekly sales reports came out he checked them to make sure he was in the middle.

If his sales pushed him into the top producers class he would literally not work the next week so his monthly sales totals would be in the middle.

His philosophy was, if you are a top producer management expects you to continue and when you can no longer produce at a high level you are fired. Similarly, if you can't produce you also lose your job.

The safest place was . . . in the middle.

Now comes Obamacare that will, intentionally or otherwise, provide disincentives for hard work and advancement.

People will pass up higher-paying jobs so they can keep receiving subsidies under President Obama's healthcare law, the conservative Heritage Foundation argued Monday.
"Obamacare ultimately discourages low income individuals from trying to move into higher paying jobs on the margin," the conservative group said in a report Monday.
When they get a raise or promotion, they will have to start paying for health insurance, or at least paying a bigger portion of the premium.
This may be a good thing for employers who can now get by with paying people less than they are worth . . . thanks to Obamacare.
"Under the Affordable Care Act’s system of subsidies, as an individual makes more money, they are rewarded by losing subsidies," Heritage said. "This creates a calculation that each person must make—whether or not to strive to increase their personal household income through working more or getting a better job, or choosing to stay in a similar place in life in order to keep the benefits."
Laziness rules!
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