White Castle Exec: Obamacare Provision Would Cut Our Income in Half

What do you bet the fast food chains affected by obamacare won't get a bailout? I'm beginning to see a pattern, those things that obama wants to save he provides a bailout, those he doesn't he drives out of business. White Castle is just the beginning. You can count on stories like this continuing to come out. If we don't demand, in one way or another, that this entire exercise be repealed we are going to be in so much trouble as a Country. Just watch, you haven't even seen high unemployment yet. Many small companies are going to shut down rather than pay the fines associated with obamacare. It really makes no sense to be in business if you can't make a profit. Of course, obama has already deemed profit to be a bad thing. He seems to be ok with the profit he made on book sales though. He made over $5 million last year, not bad for a guy who has a salary of $400,000 a year. 

BY Jeffrey H. Anderson - Weekly Standard

Forget about open-heart surgery or cutting-edge cancer treatments. Under Obamacare, you might have a hard time finding a hamburger. A statement released by White Castle, the Ohio-based burger chain, highlights how damaging Obamacare would be to small businesses and to Americans' job prospects.

White Castle reports that a single provision of Obamacare would cut its net income in half -- and then some. Jamie Richardson, a White Castle executive, says, "We’ve been working on this internally from a number of different perspectives. One [provision] that has [us] the most concerned is the $3,000 penalty that kicks in when an employee’s portion of a premium exceeds 9.5% of Household Income." Richardson elaborates, "In present form, this provision alone would lead to approximate increased costs equal to over 55% of what we earn annually in net income (based on [our] past 4-year average). Effectively cutting our net income in half would have [a] devastating impact on the business -- cutting future expansion and more job creation at least in half. Sadly, it makes it difficult to justify growing where jobs are needed most -- in lower income areas." And that's all from just a single provision in a 2,700-page act.

The Obama administration's economic policy seems to involve dividing businesses into two categories: too big to fail, and too little to matter.

No wonder Ohioans support repeal of Obamacare by 19 percentage points (57 to 38 percent).