The quote that everyone should be concerned with comes from Indiana based Cook Medical spokesperson who states “In reality, we’re not looking at the U.S. to build factories anymore as long as this tax is in place. We can’t, to be competitive.”
The tax he refers to is the medical device tax written into the Democrats and Barack Obama’s health care law aka Obamacare, which is one of 20 taxes associated with the law.
12. Tax on Medical Device Manufacturers ($20 bil/Jan 2013): Medical device manufacturers employ360,000 people in 6000 plants across the country. This law imposes a new 2.3% excise tax. Exempts items retailing for < $100. Bill: PPACA; Page: 1,980-1,986
Five manufacturing plants, each plant would have employed up to 300 people, for a total of up to 1,500 jobs that could have been created by one company, but will not be created because of this Obamacare tax.
An Indiana-based medical equipment manufacturer says it’s scrapping plans to open five new plants in the coming years because of a looming tax tied to President Obama’s health care overhaul law.
Cook Medical claims the tax on medical devices, set to take effect next year, will cost the company roughly $20 million a year, cutting into money that would otherwise go toward expanding into new facilities over the next five years.
“This is the equivalent of about a plant a year that we’re not going to be able to build,” a company spokesman told FoxNews.com.
He said the original plan was to build factories in “hard-pressed” Midwestern communities, each employing up to 300 people. But those factories cost roughly the same amount as the projected cost of the new tax.
“In reality, we’re not looking at the U.S. to build factories anymore as long as this tax is in place. We can’t, to be competitive,” he said.
Cook Medical produces medical devices for surgery, obstetrics, gynecology and other fields.
Conservatives have maintained consistently that Obamacare, taxes, and Obama’s onerous regulations, would harm jobcreation and Cook Medical is just one example of how many jobs are being lost from Obama’s policies and agenda.