In less than 12 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 will vote in early March to provide employers and employees relief from the health care law’s 30 hour definition of full-time. As we prepare for this important vote, now is the time to take action and urge both your Representatives and Senators to support legislation and worker flexibility. No contact is too small – even a letter to Washington, DC can make a difference. Everyone needs to hear from the industry about why they must act now to provide relief.
These letters can be edited and we encourage you to do so. To send, simply click the “Send Letter” button below and each letter will go to the specified Congressional office. If one of your legislators is omitted, that means they have already co-sponsored the legislation.