Side Effects: Fewer Flippin’ Hamburgers at White Castle

Kathryn Nix / May 17, 2010

Yesterday we saw how Obamacare is leading large employers to contemplate dropping their coverage of employees.  Today we learn it will cripple businesses’ ability to create jobs for entry level workers.

Thanks to Obamacare, low-skilled job seekers will find it even harder to find work.  And low-income areas will find it even more difficult to attract new businesses.  That’s the lesson drawn from a new analysis by White Castle, the iconic hamburger chain.

Numbers crunchers there looked at how Obamacare provisions would affect the company’s bottom line.  Of particular interest were provisions that hit employers with a $3,000 per employee penalty—even if they offer health insurance—for workers whose household income is low enough and they get subsidized health coverage through a government-run insurance exchange. (more…)