Survey: Small Businesses to Slash Hours Under Obamacare

One in four small businesses says that Obamacare is its biggest obstacle when it comes to hiring new employees, according to a new U.S. Chamber of Commerce survey.

The poll of 1,304 small-business executives shows that 61 percent of small businesses say they have no plans to hire next year, and 71 percent say Obamacare makes it harder for them to hire.

The poll, conducted June 21-July 8, found that small businesses expect the Affordable Care Act's employer mandate to negatively impact their employees, with 27 percent saying they will cut hours to reduce full-time employees, 24 percent will reduce hiring, and 23 percent plan to replace full-time employees with part-time workers to avoid triggering the mandate that companies to pay for healthcare.

Obamacare ranks as the top challenge for 49 percent of respondents, up from 42 percent in January.

The findings are consistent with a Gallup poll last month that showed small businesses are holding off on hiring and plan to cut workers in anticipation of Obamacare.