There sure seems to be a lot of uncertainty with all these new regulations regarding employment law these days. Many small businesses are overwhelmed with the rules, accounting, tax laws, and they are worried about lawsuits, government fines, and getting into trouble with the State, Federal Government over withholding, health care, and god forbid if they ask the wrong question when doing the employment interview.
It seems small businesses do not have all the information they need on ObamaCare or its requirements and expect they will need to pay a lawyer or accountant to set all that up for them, which will cost them $1500 to $2500 or more. Since they are uncertain and in the dark, they simply haven't hired anyone at all. That's bad news for job growth, and since 75% of our jobs in the private sector come from small business, this is one of the biggest dilemmas.
There was an interesting article recently in MarketWatch Online News which was titled "Diary of a Recession Baby" which was posted on April 27, 2011 by Ruth Mantell which noted; "As companies remain wary about hiring in this tough economy, more are turning to temp workers. Using temps and other so-called "contingent workers" can help risk-averse firms save on benefit costs, and it's easier to sever the employment relationship."
This is one strategy small businesses have been forced into since they are having problems navigating through the maze of employment law regulations, and really they don't have any choice. If they are expanding and need labor they either have to learn all these new complex rules and regulations, and all about the phase ins for ObamaCare or they can't hire anyone without fear of being put in jail, fined, or arrested, which could lead to the demise of their business.
The case law due to all the employment lawsuits has also grown astronomically over the past decade, and it was even bad before that. No small business man or woman can know all that, and the rules and regulations seem to keep changing, so they either have to hire professionals in suits such as lawyers and accountants, and/or hire staff to do all the incessant paper work and lawyers to defend them against lawsuits or they need to go through a temporary agency for their employment needs. Looks like the temporary agency venue is winning for now. Please consider all this.