Health Insurance Tax to Result in Thousands of Pa. Job Losses

Date: May 08, 2014

HARRISBURG, (May 6, 2014) – The National Federation of Independent Business (NFIB) today warned that 4,700 private sector Pennsylvania jobs would be lost as a result of a tax imposed by the Affordable Healthcare Act. Speaking to members of the North American Association of Inventory Specialists in Pittsburgh, NFIB Pa. Executive State Director, Kevin Shivers, said the Pennsylvania economy would also see a drop of $790 million in business sales.

“The so-called HIT, or Health Insurance tax, is giving a one-two punch to Pennsylvania’s small businesses and their employees,” said Shivers. “Even worse, the tax stunts the growth of jobs and suppresses the state’s economy.” 

The NFIB Research Foundation conducted the study which found the health insurance tax is expected to result in the loss of between 152,000 and 286,000 jobs nationally and hit small businesses the hardest (75%).  The study uses a widely accepted regional economic model from REMI, Inc. which has been employed by the federal government, universities and private industry to forecast the effect of legislative policies.  

An earlier study by the Congressional Budget Office (CBO) predicted the health insurance tax will result in a $5,000 increase in the cost of healthcare for families over the next ten years. 

The NFIB Research Foundation study can be found by visiting





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