An article on the Modern Distribution Management website explains the ins and outs of the deal reached in early January. For starters, wholesale distributors need to face the fact that the payroll tax holiday is over. After a temporary 2 percent reduction, rates have gone back to 6.2 percent.
In spite of the Affordable Care Act and all the talk about reducing healthcare costs, they’re still rising much faster than almost any cost out there. That’s causing distributors to be hesitant about hiring.
The uncertainty surrounding the fiscal cliff was a real killer for businesses. The good news is that with a deal in place there’s a bit more clarity about where the economy is headed in 2013. That allows for businesses to build a more definitive plan.
Read more on the Advanced Distribution Today blog.
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