“””if it comes out of employers pocket, does that not mean employer has less in their pocket to pay as wages or for new hires or growing the business?””””
The “employers pocket” is also used to pay for overhead, utilities, trucks, repairs, insurance and a gob of other things. If I could run a business without all those pesky things I could hire more people and pay them more.
Do federal regulations require employers to pay for all of those utilities instead of opting out and choosing to hire more workers and pay them more?