Obamacare Offers Firms $3,000 Incentive to Hire Illegals over Native-Born Workers

Stephen Dinan, Washington Times, November 25, 2014

Under the president’s new amnesty, businesses will have a $3,000-per-employee incentive to hire illegal immigrants over native-born workers because of a quirk of Obamacare.

President Obama’s temporary amnesty, which lasts three years, declares up to 5 million illegal immigrants to be lawfully in the country and eligible for work permits, but it still deems them ineligible for public benefits such as buying insurance on Obamacare’s health exchanges.

Under the Affordable Care Act, that means businesses who hire them won’t have to pay a penalty for not providing them health coverage–making them $3,000 more attractive than a similar native-born worker, whom the business by law would have to cover.

The loophole was confirmed by congressional aides and drew condemnation from those who said it put illegal immigrants ahead of Americans in the job market.

“If it is true that the president’s actions give employers a $3,000 incentive to hire those who came here illegally, he has added insult to injury,” said Rep. Lamar Smith, Texas Republican. “The president’s actions would have just moved those who came here illegally to the front of the line, ahead of unemployed and underemployed Americans.”

A Department of Homeland Security official confirmed that the newly legalized immigrants won’t have access to Obamacare, which opens up the loophole for employers looking to avoid the penalty.


This isn’t the first time the Obamacare loophole has popped up on immigration. The overhaul bill that passed the Senate on a bipartisan vote last year created the same situation, granting illegal immigrants a long probationary period where they could legally work but weren’t eligible for public benefits such as Obamacare.

At the time, Arizona Sen. John McCain, one of the bill’s GOP authors, acknowledged the problem and vowed to change it before it became law. Despite passing the Senate, the bill has stalled, with Democratic leaders refusing to send it to the House for further action.

Brian Rogers, a spokesman for Mr. McCain, said Tuesday the solution to the loophole is to get rid of Obamacare’s employer mandate, “which would eliminate the incentive to hire people who are ineligible for Obamacare subsidies.” Mr. Rogers said the Republican majority that takes control of Congress next year should vote on that proposal.

Under Obamacare, businesses with 50 or more employees are supposed to provide insurance coverage to their full-time workers. If they refuse, they are assessed a penalty for every employee who receives subsidies to sign up for coverage on the health exchanges. But because the newly legalized illegal immigrants covered by Mr. Obama’s order can’t sign up for the exchanges or receive subsidies, employers aren’t penalized for hiring them.


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  • Why will the (formerly) illegal aliens need ObamaCare when we’re going to give them Medicaid?

    • AndrewInterrupted

      I’m told by a person in medicine that illegals have long since been bilking Medicaid. They do it with the help of the hospitals/clinics. With the devil always being in the details, the fine print says that procedures declared as an “emergency” are covered for illegals. She said the hospital ward near where she works, on any given day, always has several illegals getting routine colonoscopies (insert chili pepper joke here) –all classified as “emergency” procedures. And, of course “by law” they are required to finance an interpreter. So, the total cost of a colonoscopy for an invader is probably two to three times that of an actual American’s cost, given the gub-mint’s penchant for overcharging and the additional overhead–“by law”. Not my law.

      • me

        Taxes. We need to have a tax revolt.

  • Publius Pompilius Quietus

    With each passing day, I am more and more disgusted with the political establishment in their narcissistic drive to enrich themselves while destroying the American nation. But it is hard to be surprised by this minority-occupation government’s drive to disenfranchise native-born Americans in general and white people in particular.

    • Angel Talarico

      The neo communist conspirators and co conspirators who came to power in 1981 can’t die quick enough and violently enough. I know the crap started not long after Jacob Schiff landed here in the 1870s but they came out of the shadows in 1981.

    • Nicholas I

      “minority-occupation government” — ZOG

  • superlloyd

    This administration is a mixture of corruption, criminality and incompetence. I don’t know whether it was planned this way or simply not thought through like almost everything this idiot does or says. What irrevocable damage this malevolent clown has done to America and especially its white majority population. Disgraceful.

    • IstvanIN

      The President is proud of himself.

  • JackKrak

    How about an amnesty for Mexican bloggers, website designers, journalists, community organizers, gender studies professors, choreographers, tv anchors, movie producers, civil rights lawyers and people ready to work for the federal government immediately?

    Hello? ABCNBCCBSMSNBCNPR? Hello? Are you there?

    • meanqueen

      Best comment so far.

  • R L Buds

    “quirk of Obamacare.”

    I think we would all like to believe they are this stupid but they aren’t, they know exactly what they are doing.

  • JohnEngelman

    President Obama’s temporary amnesty, which lasts three years, declares up to 5 million illegal immigrants to be lawfully in the country and eligible for work permits, but it still deems them ineligible for public benefits such as buying insurance on Obamacare’s health exchanges.

    – Stephen Dinan, Washington Times, November 25, 2014

    OK. Would you rather deem them eligible for public benefits?

    • me

      No. We don’t want to ‘deem them eligible’ for anything. But, if YOU want to contribute money to the Mestizo invaders, go ahead….

  • meanqueen

    Ugh. Can we survive two more years?

  • Beowald

    I always thought businesses that employed illegals were breaking the law. Turns out they’re cashing in on gov’t incentives.

    • me

      Isn’t greed one of the seven deadly sins? I hope these business owners enjoy their three thousand pieces of silver, because their children will be paying for that bribe in blood, with their genocide…

      • Beowald

        Well said. I think there is an enormous problem of incentives. Business owners cannot take the long view because of short-term pressures. If they do not hire illegals, their competitors will. I do not mean to excuse them, just explain their thinking. What can be done? I wish I could offer something specific. At least, it is clear that the current amnesty only sharpens the perverse incentives.

  • Paleoconn

    This is a feature of Obamacare, not a bug.