Business Owners Mixed On Health Care Ruling The Supreme Court's ruling upholding the federal health care law was met with a variety of reactions from business groups and owners. Some said the decision would help them grow, but others said the ruling would make them more hesitant to hire.
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Business Owners Mixed On Health Care Ruling

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Business Owners Mixed On Health Care Ruling

Business Owners Mixed On Health Care Ruling

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Let's hear now what the health-care ruling means for the economy. The decision to uphold the law - including the provision requiring individuals to buy insurance - has some far-reaching implications for businesses. NPR's Yuki Noguchi reports on the mixed reactions, especially in the small-business community.

YUKI NOGUCHI, BYLINE: From Dan Danner's point of view, the 5-4 decision was unambiguously bad for business.

DAN DANNER: Obviously, we're incredibly disappointed in the outcome.

NOGUCHI: Danner is the CEO of National Federation of Independent Business, a business lobby that helped bankroll the suit, to the tune of millions of dollars. He vowed to continue fighting.

DANNER: For us as an organization, we're going to continue to push to repeal the health-care bill, and start over with what we think are better reforms that help small business and lower their cost.

NOGUCHI: The legislation will give some small businesses tax incentives to pay for employee health care. Starting in 2014, those with 50 or more employees will be required to provide it. [POST-BROADCAST CORRECTION: Starting in 2014, businesses with 50 or more employees will be required to either pay for employee health-care coverage, or pay a fine.] That's bad news for businesses like Perfect Printing in Moorestown, New Jersey. Joe Olivo is its president. Olivo says he now has 48 employees, for whom he pays some health-care coverage. But he's intensely aware of crossing that 50-person threshold and will think very hard before hiring more people, so he can avoid hitting government requirements that he says will raise his health-care costs.

JOE OLIVO: It's really going to slow down how much I wish to grow because I'm going to have to put a lot of my resources - and hold it, in the expectation that I may have unexpected expenses at any given point in time, over the next two to four years.

NOGUCHI: In Delafield, Wisconsin, small-business owner James Stoffer had a very different reaction to the court's decision.

JAMES STOFFER: I jumped up and down and hollered, and acted like I was 10 years old.

NOGUCHI: Stoffer owns a frozen custard restaurant that's open during the warm months. His main concern is paying for health care for himself and his wife. Stoffer, who happens to be a former health insurance agent, says he believes the law will help keep his premiums down in the long term. That, he says, means he will be able to devote more of his personal resources to the business.

STOFFER: I might even grow it to the point where we have more than one business, and where we might take it to a year-round status. I could expand the dining room, expand our menu. I could hire adults instead of teenage - high school kids.

NOGUCHI: He says before yesterday's decision, he worried that he and his wife might, at any point, be rejected by insurers.

STOFFER: You're basically standing on the sidelines, watching everybody else get guaranteed-issue health care. And I've always felt like a second-class citizen because of that. But now, I'm going to join the rest of the community.

NOGUCHI: There was a mixed reaction in the stock markets. Insurers like WellPoint and Aetna, which will see big changes in their business model, saw their stocks decline. But it was a good day for hospital operators, including HCA and Community Health Systems, which will spend less caring for uninsured patients. But for many large companies already providing health insurance to employees, yesterday was a ho-hum kind of day. Bill Kramer is director of health policy for the Pacific Business Group on Health, which represents 60 large, corporate employers.

BILL KRAMER: I think there's, in some ways, a sense of relief that the legal issues have been settled. And whether people like the opinion or not like the opinion, having this settled means that we understand how this is going to be working, going forward.

NOGUCHI: Now, Kramer says, what the business community needs is regulatory clarity to make sure businesses can comply with the law.

Yuki Noguchi, NPR News, Washington.

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