Monday, December 30, 2013

Am I the only one who finds this interesting?

I say this sarcastically because I'm sure this is straight out of the socialist handbook. What got my attention?

When ObamaCare started, I found it interesting they made an exemption for companies with fewer than 50 employees. If you had 50 employees or less you were not forced to provide coverage under ObamaCare. "Why 50 employees?" I wondered. What an odd number. Why not 75 or 100, or even 150?

Then I read this article about France which basically also has the same rule thresh hold. It is titled "Why France Has So Many 49-Employee Companies", and I urge you to read it. Because if ObamaCare stays, I wonder how long until CEOS here start adopting the same practice here. They clearly are already adapting by making people part time. But eventually this will really hurt production. Part time workers have no skin in the game.

"Here’s a curious fact about the French economy: The country has 2.4 times as many companies with 49 employees as with 50. What difference does one employee make? Plenty, according to the French labor code. Once a company has at least 50 employees inside France, management must create three worker councils, introduce profit sharing, and submit restructuring plans to the councils if the company decides to fire workers for economic reasons.

French businesspeople often skirt these restraints by creating new companies rather than expanding existing ones. “I can’t tell you how many times when I was Minister I’d meet an entrepreneur who would tell me about his companies,” Thierry Breton, chief executive officer of consulting firm Atos and Minister of Finance from 2005 to 2007, said at a Paris conference on April 4. “I’d ask, ‘Why companies?’ He’d say, ‘Oh, I have several so that I can keep [the workforce] under 50.’ We have to review our labor code.”

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