Small businesses weigh in on health care
Posted on October 13, 2009 by author in HR Outsourcing
With a vote looming in congress over health care reform, TriNet’s recent HR Trends survey becomes an especially relevant barometer of how small businesses view the pending legislative changes.
Several hundred executives from small businesses participated in the survey, primarily in the industries of technology, financial services, and professional services. They told us:
1) What they’re paying now: Of respondents who pay at least a portion of the health care premiums of their employees, 56.8% indicated that insurance consumes at least 1-5% of total revenues; another 19.3% indicated that it consumes 6-10%.
2) What kind of increases they’ve been facing: 62.6% of respondents said their health care costs rose between 6-20% in the last year alone.
3) What they fear: Most respondents believe that health care reform will result in a program that is more complex than it is now (70.8%) and less comprehensive than it is now (42.9%).
4) What they think about change: I was surprised to discover that the majority of respondents agree that the current system needs overhauling. When asked if they would prefer “no change” to the current system, relatively few took the bait—only about 22.8%. That said, respondents were divided in regards to potential solutions.
It’s hard to say exactly what form the new system will take, but one thing is clear–the segment who will be most impacted by the change (small businesses) have one of the smallest voices in the dialogue.