It’s the uncertainty, stupid! The uncertainty of what our anti-business president and his yahoo party will do next. Whose taxes they will raise and so forth. In such a climate would you risk increasing your payroll? Duh.
UPDATE: Indeed, when the Democrats discover (as if they didn’t know it all along) that taxing the rich won’t pay the freight for their programs, they’ll put the taxes on business and the middle class. They always do it, and the voters never seem to learn how this shell game works until it’s too late.