Skip to content
Catholic Online Logo

By Catholic Online (NEWS CONSORTIUM)

8/19/2013 (2 years ago)

Catholic Online (

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."


By Catholic Online (NEWS CONSORTIUM)

Catholic Online (

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'

Copywriter 2015 - Distributed by THE NEWS CONSORTIUM

Pope Francis Prayer Intentions for October 2015
That human trafficking, the modern form of slavery, may be eradicated.
Evangelization: That with a missionary spirit the Christian communities of Asia may announce the Gospel to those who are still awaiting it.


More Business & Economics

Overworked Wall Street employees experience seizures, are hospitalized, and have died Watch

Image of John Hughes in Thomas' bedroom (Damon Winter).


Wall Street has always been a very demanding place to work and with recent work-related deaths, it seems that Wall Street must find a way to provide work-life balance to its employees.  NEW YORK CITY, NY (Catholic Online) - Thomas Hughes was a 29-year-old ... continue reading

7 ways to bring your family out of debt Watch

Image of


There are a lot of ways the improper handling of finances can jeopardize you and your family. The cost-of-living continues to get higher yet your income doesn't. How can you make ends meet? LOS ANGELES, CA (Catholic Online) - Fear not! You can regain control of your ... continue reading

3 easy ways to save money and pay off debt Watch

Image of


Work and play, earn and spend -It's the way the economy survives, but what about your survival? If you're having trouble saving money, don't have a dedicated savings account or just don't know how to stop spending, you may have a problem. LOS ANGELES, CA (Catholic ... continue reading

Is the stock market in trouble? Historical market turndowns following papal visits Watch

Image of Papal visits versus the stock market were reviewed.


As Pope Francis visits the United States, historical data of visits from his predecessors to the United States were linked to several market downturns in the US. MUNTINLUPA CITY, PHILIPPINES (Catholic Online) - Pope Francis made his historical visit to the United ... continue reading

Construction of high-speed rail between L.A., Las Vegas approved by U.S., China Watch

Image of Signed before Chinese President Xi Jinping's state visit to the U.S., the project is a milestone in China's efforts to market its high-speed rail technology in advanced economies.

By Catholic Online (NEWS CONSORTIUM)

A joint venture to build a high-speed railway linking Las Vegas and Los Angeles has been agreed upon. The project will be the first Chinese-made bullet-train project in the U.S. LOS ANGELES, CA (Catholic Online) - XpressWest Enterprises LLC, along with a China ... continue reading

PENDING FED DECISION: U.S. may be due for the first rate hike in 10 years Watch

Image of A relative

By Catholic Online (NEWS CONSORTIUM)

The Federal Reserve may have to make a very hard decision shortly. "If the Open Market Committee takes the plunge, it will be the first US rate hike in nearly 10 years," Telegraph columnist Jeremy Warner says. LOS ANGELES, CA (Catholic Online) - It will be the ... continue reading

Bear market looms, Yale University market scholar warns Watch

Image of

By Catholic Online (NEWS CONSORTIUM)

There is widespread concern that U.S. stocks are overvalued, which will lead to a ferocious bear market unseen since the "Dot-com" bubble burst in 2000. According to research by Yale University market scholar and Nobel economics laureate Robert Shiller, while ... continue reading

Job participation rate in U.S. at 38-year low Watch

Image of According to Bureau of Labor Statistics, the nation's civilian non-institutional population - which means that all people 16 years of age or older who were not in the military or an institution -- reached 251,096,000.

By Catholic Online (NEWS CONSORTIUM)

Americans not participating in the labor force jumped by a whopping 261,000 more in August than there was in July. The participation rate in U.S. labor remained at 62.6 percent, a 38-year low, for a third straight month in August. These are "cheerful" ... continue reading

Islamic State attempts to replace the U.S. dollar with gold coins Watch

Image of A five denar piece featuring a picture of seven wheat stalks, representing the

By Kenya Sinclair (NEWS CONSORTIUM)

The Islamic State has announced it will be producing gold currency with the goal of weakening the dollar. LOS ANGELES, CA (Catholic Online) - A video posted Saturday, August 29th by the Islamic State warns that replacing the dollar will be "the second blow to America's ... continue reading

Art collectors seek liquidity as market plummets Watch

Image of Picasso piece auctioned for a record $179.4 million.


Inquiries about art loans reportedly increased after global equities plunged. The unfortunate event led many to view their collections as assets and investment to cash-in.  MUNTINLUPA, PHILIPPINES (Catholic Online) - Bloomberg Business reports many collectors and ... continue reading

All Business & Economics News


Newsletter Sign Up icon

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

Subscribe to Catholic OnlineYouTube Channel

Daily Readings

Reading 1, Joel 1:13-15; 2:1-2
13 Priests, put on sackcloth and lament! You ... Read More

Psalm, Psalms 9:2-3, 6, 16, 8-9
6 the enemy is wiped out -- mere ruins for ever -- ... Read More

Gospel, Luke 11:15-26
15 But some of them said, 'It is through Beelzebul, ... Read More

Saint of the Day

Saint of the Day for October 9th, 2015 Image

Sts. Denis, Rusticus, and Eleutherius
October 9: The first mention we have of these three martyrs who died around ... Read More