Eh, it's just a (relatively small, per employee) flat tax on each employee. That's like saying that having to buy a chair is a disincentive to hiring.
In saying that, I tend to dislike 'special' taxes like these.
In saying that, I tend to dislike 'special' taxes like these.
Is that not a bad thing? A chair might be a bad comparison, because a chair is essential to workplace ergonomics and therefore the health of employees, but this tax has no direct benefit to the workplace. If our assumption is that hiring employees is one of the most important functions of our society, then shouldn't the barriers to hiring employees be kept as absolutely low as possible?
Which taxes do?
That's not to say that tax funds are always perfectly allocated ... of course they're not. But they're not worthless either.