The U.S. House of Representatives has passed bipartisan legislation that reinstates the traditional definition of full-time employment as it relates to the Affordable Care Act from the arbitrary 30 hours to the more commonplace 40 hours. Now it's time for the Senate to act!
Click the take action button below and send a letter to both of your senators, urging them to support S. 1188, the Forty Hours is Full-time Act of 2013.
In less than 8 months, unless limited transition relief applies, “large” employers will be required to comply with key elements of the Affordable Care Act. Perhaps the health care law’s most visible change will be its treatment of employees who work 30 hours a week as “full-time.” Employers across the country will be forced to accept this arbitrary definition, despite an almost universally accepted definition of a 40-hour week as full-time.
What does this mean for restaurants?
Those with 50 or more full-time employee equivalents (FTEs) will have to offer health insurance to all employees who work at least 30 hours per week, or pay penalties (In 2015, transition relief has been provided from those with 50-99 FTEs, if certain conditions are met). It also means that employers and employees will lose the scheduling flexibility that attracts millions to the industry. Because of the high costs of health insurance, many employers will have no choice but to control labor costs and stretch their benefits dollar over a larger group of employees.
The good news:
The U.S. House of Representatives has passed H.R. 2575, the Save American Workers Act and now awaits U.S. Senate action. As we prepare for this important vote, now is the time to take action and urge your Senators to support worker flexibility.
Congress is listening and your voice does make a difference.