Remember during the State of the Union address when Obama declared Americans deserve a raise? Turns out that Americans are getting a $70 million pay cut thanks to Obama and ObamaCARE. The pay cut isn’t going to affect those evil rich people. It’s affects are purely on the middle class and poor Americans. The ObamaCARE pay cut information comes from last week’s CBO report that stated 2.3 million Americans will be working thanks to ObamaCARE. The media of course didn’t bother covering the $70 pay cut Americans will get because of ObamaCARE. News about the ObamaCARE pay cut comes from former George W. Bush speechwriter Marc Thiessen, not NBC, CBS, ABC, CNN, PBS or the New York Times. Here is yet another thing for the GOP to campaign on this fall about ObamaCARE. I wonder if they will be smart enough to pick this up.
That is the overlooked nugget in the new Congressional Budget Office report detailing the economic costs of Obamacare. While much attention has been paid to the report’s finding that Obamacare will reduce employment by as much as 2.5 million workers, buried on page 117 (Appendix C) is this bombshell: “CBO estimates that the ACA will cause a reduction of roughly 1 percent in aggregate labor compensation over the 2017-2024 period, compared with what it would have been otherwise.”
Translation: Obamacare means a 1 percent pay cut for American workers.
How much does that come to? Since wages and salaries were about $6.85 trillion in 2012 and are expected to exceed $7 trillion in 2013 and 2014, a 1 percent reduction in compensation is going to cost American workers at least $70 billion a year in lost wages.
It gets worse. Most of that $70 billion in lost wages will come from the paychecks of working-class Americans — those who can afford it least. That’s because Obamacare is a tax on work that will affect lower- and middle-income workers who depend on government subsidies for health coverage. The subsidies Obamacare provides depend on income.