I see more business owners making strategic decisions around not providing health insurance; only using part-time employees, whatever it takes. I know of a couple companies that have let people go due to rising costs, although nobody will admit to it. Also, small business owners really struggling to pay for their own increasing health care costs, not to mention chipping in for the unemployed.
The rare exception is the very flush company, and then you see a few people with great benefits. But mostly, I see the gap widening between the "haves" and the "have nots."
Yeah, it needs fixed.