More government mandates equal less employment

That’s right. The more mandates and regulations you impose on businesses the less people they employee. I know there are people out there that would disagree with this statement but, I would be willing to bet that most of them do not own/operate businesses. Small businesses are hit especially hard.

 

Many people do not understand that employee benefits (whether offered or mandated) add a substantial amount to a companies payroll costs. This, in turn, directs more of a companies profit to pay the benefits which affects the companies ability to expand it’s business because of a decrease in cash flow. Some say “just raise your prices”. Well that may seem easy but in today’s economy people and businesses are watching their cash flow closer than ever. All businesses would like to give their employee’s the same pay and benefits enjoyed by those who are paid by tax dollars. Government just raises you taxes to pay for pay raises and increased benefits. They have no competition like the private sector does.

This is not a statement of jealousy or contempt. It is fact. Government at every level needs to start realizing that the more they tax, the less everyone has (including companies). Federal employees on average make 30% more than their counterparts that work in the private sector. Federal employees continue to receive generous pay and benefit increases while the rest of us make due with what we have. Is this fair? Legacy costs for taxpayer paid employees continues to rise. Many taxpayer paid employees can retire at 55 (police, fire, teachers, corrections) and they will continue to receive their benefits at current levels until age 65 when they become eligible for Medicare. Is this fair to the rest of us that have to continue to work well beyond that time. Non taxpayer paid employees work just as hard. It is time for all governments from local to federal to stop looking at ways to create more financial hardship on us and look at ways to start bringing more equity to all Americans not just those who earn their living from taxpayer dollars.

Let me know your thoughts.