That’s what small contractors got this week with President Obama’s Labor Day Executive Order.

Since taking office, President Obama has issued 13 executive orders directed at federal contractors.  These orders have resulted in 16 new regulations so far, with more to come. Collectively, these new edicts are placing tremendous pressure on our country’s industrial base – particularly on small contractors – at a time when they can least afford it.

Just last month, a group of trade associations wrote to the White House pleading for officials not to issue any new regulations for the “foreseeable future,” describing the “rapid growth in compliance requirements” as “untenable.”

“This has become death by a thousand paper cuts,” said Rep. Steve Chabot (R-OH), Chairman of the House Small Business Committee. “Small contractors know that they live or die by their workforce, and would be happy to work with the Administration and Congress on reforms to help these employees. Instead they are being forced out of the federal marketplace, because the cost of doing business is just too high.”

More than 100,000 companies have stopped doing business with the federal government in the last 3 years. The more barriers this Administration puts up, the fewer small businesses will be able to compete for federal contracts. This is bad for small business and bad for government.  As basic economics dictate: less competition drives prices up—not down—which means that more tax dollars will be spent at a time when our national debt has eclipsed $18 trillion.

You can see what steps the Small Business Committee is taking to help small contractors here. 

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