The Congressional Budget Office has released a report predicting that the subsidies now allowed for individual health policies will create a “disincentive for people to work” because the subsidies taper off as they earn more.  So while some have decried the incipient practice of employers cutting their employees to below 30 hours to avoid the mandate, the CBO is saying many employees will willingly cut back because it is in their economic interest to do so.  Paul Ryan, the Budget Committee Chair, said he is troubled because “to begin working, getting the dignity of work, getting more opportunities, raising their income, joining the middle class – this means fewer people will do that”  He also noted that with Baby Boomers retiring in large numbers this disincentive to work will have “jaw dropping implications for the economy and debt reduction”  The CBO Director said the Affordable Care Act “will reduce the total number of hours worked in the economy by between one and a half and two percent from 2017 to 2024”

In response the White House said such reductions were not really a problem.  Chairman of the Council of Economic Advisors Jason Furman said ObamaCare allows greater choice for workers to scale back their hours to spend more time with their children, or to leave their jobs to launch a small business or startup  “This is not businesses cutting back on jobs.  This is people having new choices”