The Department of the Treasury and the Internal Revenue Service released new guidance that is “designed to expand the use of income annuities in 401(k) plans.”
House Speaker John Boehner, R-Ohio, said Tuesday that the Congressional Budget Office report on Obamacare confirms GOP predictions that the new law will worsen the economy.
The CBO reported today that the new health care law will cause a drop in full-time equivalent workers by about 2 million people in 2017, falling even further to 2.5 million in 2024.
"For years, Republicans have said that the president's health care law creates uncertainty for small businesses, hurts take-home pay, and makes it harder to invest in new workers," Boehner said in a statement. "The middle class is getting squeezed in this economy, and this CBO report confirms that Obamacare is making it worse."
According to CBO Director Doug Elmendorf, the reduced numbers will stem from a new attitude about employment. Fewer people will be motivated to work full time because health care is available on the newly created health care exchanges.
Full-time employment numbers will also drop as a result of the health care law's taxes, Elmendorf said.
Employers will be less inclined to hire full time workers for whom they must either provide health insurance or pay a penalty.
The White House refuted the GOP criticism, claiming that 8.1 million jobs have been created since March 2010, when Obamacare was signed into law.
White House spokesman Jay Carney said in a statement that any workforce shift from full time to part time is the result of personal choice, "like retiring on time rather than working into their elderly years or choosing to spend more time with their families."
Carney added, "At the beginning of this year, we noted that as part of this new day in health care, Americans would no longer be trapped in a job just to provide coverage for their families, and would have the opportunity to pursue their dreams. This CBO report bears that out, and the Republican plan to repeal the ACA would strip those hard-working Americans of that opportunity."