This week, House Republicans celebrated small businesses and the hardworking Americans who make these economic engines run across the country. The contributions small business employees make to the American economy are incredible – almost 60 million jobs – and over 25 million firms. However, the current status of our American economy does not reciprocate in benefits to these hard-working Americans.
Small business job growth is strangled by unnecessary regulation, complex and increasing taxes, and high energy prices. Obamacare is increasing health care costs and preventing companies from creating new jobs. House Republicans have introduced, and passed, multiple bills that will make it easier for small businesses in America to grow and expand.
Problem: Small businesses bear a regulatory cost of $10,585 per employee, which is 36% higher than the cost of regulatory compliance for large business.
Solution: House Republicans have passed H.R. 2804, which requires agencies to write regulations with small businesses in mind, imposing the least cost necessary and communicating the status and cost of new regulations.
Problem: The Obama administration is very likely generating the most regulations in history, issuing 157 new major rules at a cost to Americans approaching $73 billion annually.
Solution: H.R. 367, passed by House Republicans in August 2013, requires regulations with more than a $100 million impact on the economy to be approved by Congress before taking affect – checking and balancing the power of the President.
Problem: The Small Business Administration (SBA) reports that the average tax compliance cost per employee for small businesses is almost three times the per employee cost for the average large firm.
Solution: Small businesses create 16.5 times more patents than large firms. House Republicans recognize and appreciate this innovation, and have passed bills like H.R. 4438, which provide incentives for the research that small businesses excel in to create more jobs.
Problem: The median commercial sector industry has a small business energy cost per sales ratio that is 2.7 times greater than that of larger businesses, which hinders their ability to compete during times of elevated energy prices, according to the SBA Office of Advocacy.
Solution: The Keystone XL Pipeline will not only create new jobs, but will reduce energy prices for all Americans, providing the type of relief that small businesses need to succeed. House Republicans have voiced their support for the project, yet continue to wait for the President and Senate to act.
Problem: A recent National Small Business Association health care survey shows an overwhelming majority of small companies have suffered health insurance cost increases. Ninety-one percent of small businesses reported increases in their health care premiums. One in four of these increases exceed 20%.
Solution: House Republicans have passed multiple bills to protect Americans from the negative impacts of Obamacare. We remained focused on implementing patient-centered, high-quality, and low-cost options for health care.
In order for small businesses to grow, reforms must be made in our economy and government. The House Republican plan #4Jobs encompasses working solutions for regulation, taxes, health care and more. While dozens of our bills remain stuck in the senate, House Republicans remain advocates for small business workers – doing all we can to help build an America that works for small businesses, as hard as they work for America.