Skip to content
Catholic Online Logo

By Catholic Online (NEWS CONSORTIUM)

8/19/2013 (2 years ago)

Catholic Online (www.catholic.org)

Popular fashion retailer slashes hours, benefits in response to ObamaCare

Employees of the trendy fashion chain Forever 21 are cursing under their breath - and President Obama is more than just a little part of that anger as well. In reaction to the president's Affordable Care Act, Forever 21 is taking drastic steps. There will be no more full-time employees, all workers will work less than 30 hours a week, there will be no benefits - and no paid vacations.

Forever 21 says it 'recently audited its staffing levels, staffing needs, and payroll in conjunction with reviewing its overall operating budget.'

Forever 21 says it "recently audited its staffing levels, staffing needs, and payroll in conjunction with reviewing its overall operating budget."

Highlights

By Catholic Online (NEWS CONSORTIUM)

Catholic Online (www.catholic.org)

8/19/2013 (2 years ago)

Published in Business & Economics

Keywords: Forever 21, hours, salary, benefits, ObamaCare


LOS ANGELES, CA (Catholic Online) - Forever 21 will now limit its non-management workers' hours to 29.5 a week, just below the 30-hour minimum that the ACA deems full-time work.

Forever 21 says it "recently audited its staffing levels, staffing needs, and payroll in conjunction with reviewing its overall operating budget." Associate Director of Human Resources Carla Macias informed employees that effective August 31, they will no longer be full-time employees of Forever 21.

The move will likely harm the reputation of the company. Forever 21 employees are sure not to benefit from this new policy. All employees of the company in turn will function as a forthright example of the Affordable Care Act's consequences and shortcomings.

Analysts say that while highly unfortunate, Forever 21's policy is both rational and understandable. A company that boasts regularly low prices and frequent sales, Forever 21's success is largely dependent upon its ability to maintain low manufacturing and operational costs. Forever 21's management has the prerogative to take any legal measures necessary to avoid raising the costs of its products.

The decision poses moderate public-relations consequences for the company. On various social networking sites, there have been calls to boycott the company in a show of solidarity for employees. Forever 21 will subsequently be just one of many others to take such an action if the ACA isn't revised or repealed.

It's all a cold hard fact of business. The private sector relies on minimizing costs and maximizing earnings. Those who compete within the economy must achieve those standards within the confines of rules established by the government.

"It is probable that in a perfect world, Forever 21's management would love to continue employing full-time workers, provide them with substantial health care benefits, and maintain low prices for its customers. But in a nation with uniquely high health care costs, an issue that the Affordable Care Act fails to address, this is a regrettably unrealistic business model," columnist Maggie O'Neill declares.

"As long as health care costs remain as high as they are in the United States, many American companies will not be able to fund their employees' health insurance and provide their consumers with quality, cheap products. And as is inevitable in a capitalist economy, companies compelled to reduce costs will find a way to do so, even if their employees are disadvantaged in the process."

---


Pope Francis: end world hunger through 'Prayer and Action'


Copyright 2016 - Distributed by THE CALIFORNIA NETWORK

Pope Francis Prayer Intentions for May 2016
Universal:
Respect for Women: That in every country of the world, women may be honored and respected and that their essential contribution to society may be highly esteemed.
Evangelization: Holy Rosary: That families, communities, and groups may pray the Holy Rosary for evangelization and peace.



Comments


More Business & Economics

Censorship in America is alive and well. You'll be surprised to see who you can thank! Watch

Image of Obama and Zuckerberg work closely. It's not clear on what.

By David Drudge (CALIFORNIA NETWORK)

Freedom of the press may be the most important fundamental right in a free society. This is why censorship, particularly on social networks such as Facebook, is particularly onerous. LOS ANGELES, CA (California Network) - Freedom of the press is enshrined in the First ... continue reading


Facebook censor scandal - What is Zuckerberg up to? Watch

Image of Facebook censorship scandal prompts Zuckerberg to move (Pinterest).

By Kenya Sinclair (CALIFORNIA NETWORK)

Mark Zuckerberg is set to hold a meeting on Wednesday with Glenn Beck and Dana Perino to talk Facebook's censorship scandal. LOS ANGELES, CA (Catholic Online) - Recently a Gizmodo report accused Facebook of suppressing conservative news in the "trending" section.The ... continue reading


YES, bosses should let their employees power nap. So why don't they? Watch

Image of Studies show a short nap at work and increase productivity, alertness, memory, and cognition.

By Marshall Connolly (CALIFORNIA NETWORK)

There's something to be said for the afternoon siesta, after all. Or at least a power nap, according to one sleep expert from the University of Adelaide. Research shows that a ten-to-fifteen-minute nap in the afternoon improves performance. LOS ANGELES, CA (California ... continue reading


191 THOUSAND mining jobs lost since September '14 Watch

Image of With less coal, the US will need to turn to other countries (Pinterest).

By Kenya Sinclair (CALIFORNIA NETWORK)

Coal provides a cheap and efficient source of power - and the United States has lost 191,000 miners to provide this commodity. LOS ANGELES, CA (Catholic Online) - According to the <a href=http://www.bls.gov/news.release/pdf/empsit.pdf>Bureau of Labor ... continue reading


Obama brags in face of economic failure Watch

Image of The Obama administration claims the economy is thriving - but what is REALLY going on (TPNN)?

By Kenya Sinclair (CALIFORNIA NETWORK)

We all know "that guy." You know the one - the guy who is obsessed with conspiracy theories and who swears the government is out to get us. Well, according to newly released economic data, "that guy" might be (partially) right. LOS ANGELES, CA (Catholic Online) - U.S. ... continue reading


Yes, there's definitely something wrong with millennials, and here's what it is! Watch

Image of As far as millennials are concerned, the American dream is just that -- you have to be asleep to believe it.

By Marshall Connolly (CALIFORNIA NETWORK)

Across the country, the news is shocking. Over half of the millennials think socialism might be a good thing. Most of them believe the American dream is a myth, and public perception is that something is wrong with them. Why do they just want "free stuff?" LOS ANGELES, ... continue reading


Billionaire Soros warns China is near economic collapse Watch

Image of China's economy may be heading for trouble.

By Marshall Connolly (CALIFORNIA NETWORK)

Billionaire George Soros is sounding the alarm, China is about to go down and the rest of the world could follow. According to Soros, there is a major resemblance between China now and the United States in 2007-2008 just before the U.S. economy entered the Great ... continue reading


IRS issues dire warning before Panama Papers crackdown begins Watch

Image of The Panama Papers detail the tax evasion schemes of thousands of wealthy people around the world.

By Marshall Connolly (CALIFORNIA NETWORK)

The IRS has issued a warning to the rich who have been hiding money offshore - come clean now, before we catch you ourselves. The warning follows the leak of over 11 million pages of documents that detail the private, often hidden financial moves of wealthy people ... continue reading


Obama's Saudi masters order him not to sign 9/11 bill Watch

Image of It's not about the victims, it's about the Saudis.

By David Drudge (CALIFORNIA NETWORK)

Saudi Arabia is about to escalate their economic war with the United States should Congress pass a law that will allow victims of the 9/11  terrorist attacks to sue foreign states. The Obama administration opposes the bill and is lobbying against it. LOS ANGELES, ... continue reading


You won't believe how California's rich spend their money! Watch

Image of Top 1 percent pays nearly half of all California taxes (istockphoto).

By Kenya Sinclair (CALIFORNIA NETWORK)

When you think of California, images of sandy beaches, sun-kissed skin and Hollywood stars flash through your mind - and you're not wrong! California's rich enjoy all the sunny state has to offer - but at what cost? LOS ANGELES, CA (Catholic Online) - According to ... continue reading


All Business & Economics News

Newsletters

Newsletter Sign Up icon

Stay up to date with the latest news, information, and special offers

Subscribe to Catholic OnlineYouTube Channel

the FEED
by Catholic Online

Daily Readings

Reading 1, First Peter 1:3-9
3 Blessed be God the Father of our Lord Jesus Christ, who in his great ... Read More

Psalm, Psalms 111:1-2, 5-6, 9, 10
1 Alleluia! I give thanks to Yahweh with all my heart, in the ... Read More

Gospel, Mark 10:17-27
17 He was setting out on a journey when a man ran up, knelt before him ... Read More

Saint of the Day

Saint of the Day for May 23rd, 2016 Image

St. John Baptist Rossi
May 23: This holy priest was born in 1698 at the village ... Read More