By Craig Bannister
Businesses
with 50 or more employees who average at least 30 hours of work a week
will be subject to the Obamacare insurance coverage mandate.
Companies are reportedly planning large layoffs due to the implementation of Obamacare.
But, companies can potentially avoid being subject to Obamacare's insurance requirements by limiting employees’ weekly hours to less than the 30 hour level defined by Obamacare as “full-time.”
A little-known section in the ObamaCare health reform law defines “full-time” work as averaging only 30 hours per week, a definition that will affect some employers who utilize part-time workers to trim the cost of complying with the ObamaCare rule that says businesses with 50 or more full-time workers must provide health insurance or pay a fine.
“The term ‘full-time employee’ means, with respect to any month, an employee who is employed on average at least 30 hours of service per week,” section 1513 of the law reads. (Scroll down to section 4, paragraph A.)
That section, known as the employer mandate, requires any business with 50 or more full-time employees to provide at least the minimum level of government-defined health coverage to those employees. In other words, a business must provide insurance if it has 50 or more employees working an average of just 30 hours per week, which is 10 hours per week fewer than the traditional 40-hour work week.
Thus, by cutting employees’ hours to ensure they average less than the 30 per week, employers could potentially avoid the cost of providing the minimum insurance levels mandated by Obamacare.
See more "Right Views, Right Now."
Companies are reportedly planning large layoffs due to the implementation of Obamacare.
But, companies can potentially avoid being subject to Obamacare's insurance requirements by limiting employees’ weekly hours to less than the 30 hour level defined by Obamacare as “full-time.”
A little-known section in the ObamaCare health reform law defines “full-time” work as averaging only 30 hours per week, a definition that will affect some employers who utilize part-time workers to trim the cost of complying with the ObamaCare rule that says businesses with 50 or more full-time workers must provide health insurance or pay a fine.
“The term ‘full-time employee’ means, with respect to any month, an employee who is employed on average at least 30 hours of service per week,” section 1513 of the law reads. (Scroll down to section 4, paragraph A.)
That section, known as the employer mandate, requires any business with 50 or more full-time employees to provide at least the minimum level of government-defined health coverage to those employees. In other words, a business must provide insurance if it has 50 or more employees working an average of just 30 hours per week, which is 10 hours per week fewer than the traditional 40-hour work week.
Thus, by cutting employees’ hours to ensure they average less than the 30 per week, employers could potentially avoid the cost of providing the minimum insurance levels mandated by Obamacare.
See more "Right Views, Right Now."
Where I work, all part-time employees were told, that effective October 1st (2012), they were not allowed to go over 29.9 hours, in one week!
ReplyDeleteI was told the same however they have not cut any hours.(and I want to work less than 30 hours!!!)I work in a franchise LOCATION with less than 50 but the stores they own total much more.Is this just PER BUILDING?!
DeleteThe law must be amended to ensure employers don't take the unintended advantage of the regulation.
DeleteProviding affordable health care to all Americans is the right thing to do.
The "right thing to do" isn't free. If the right thing were free, people would do it, on the surface it sounds great. This healthcare costs money and the profits of a businesss have to pay it. You can't just say that we have a business therefore we have healthcare, therefore we have an economy. It is an amount of a profit that pays for everything.
DeletePeole who think that this stuff just should be so, are uneducated, weak minds.
That a girl, insult the poor people. Your true colors are showing.
DeleteTruth be told the poor shouldnt be allowed to vote at all. It is not in the national interest for people taking assistance from the govt to have the right to continue seeing it provided on the backs of others. Indeed, the poor are the burden of the middle class.
DeleteDont worry filthy liberal. You will get your wish. There soon wont be a middle class to worry about. The rich will take their money and leave the US. Wait and see.
Then who will pay for the handouts? The new rich will be those that work more than 30 hrs a week.
People will have to cut back to the 29 hours then go get another part time job (if one can be found) and they will say, "I alresdy work 29 hours per week, I just need 11 hours from you." And the employer will say, " Ahh, we require 29 hours per week , too." Sooo, everyone will end up working 58 hours per week--that is if they're lucky! We got the kind of leadership we as a people deserve.
DeleteAlternatively, one could anticipate a current single company of more than 50 employees being split by the owner into as many different smaller yet independent companies (under 50 employees) as needed to meet the terms of the mandate. For example, the "main" company (the one running a store) could then lease/contract services from these other "separate" companies.
ReplyDeleteNo single company involved would have the minimum number of 50 employees that would trigger the mandate.
Such essentially "self-contracting" company creations have been around for a long time. The healthcare mandate simply seems to add another incentive for such arrangements.
That's exactly what will happen. If a company wants to get around the rules, they will find a way. It has always been like this and always will.
DeleteWow, this will create a lot of "jobs," part time ones. Now EVERYONE will have 2 jobs & no days off and still no insurance. Oh well, forcing everyone to purchase ins.was just another bailout, this time of those who wrote all those derivitives we had to purchase to bail out the banksters. In otherwords, another ripoff, another special tax/tribute extorted for a private industry (ins.). The best part is the recipient of the ins. has to pay income taxes on the value thereof. Most something for nothings don't realize its going to cost them a greater portion of their potential income as opposed to somone who has an education and higher income (distinction purposeful).
ReplyDeleteYou got this right. The banksters (includes insurance outfits) are using this Obamacare as a vehicle for a massive transfer of wealth. It has nothing to do with providing healthcare for employees, especially low wage employees. Obamacare has nothing to do with any definition of morality. Obamacare is an evil theft mechanism by an evil man controlled by evil banksters. Neo-feudalism sounds mild compared to what we are in for.
Delete(I understand several large companies got an exemption from Obamacare, like maybe MacDonals. That alone wreaks of more Satanic corruption.)
The 29 hours (or less) workweek has existed for a long time, in order for employers (read vampires) to avoid paying for any benefits. Along with this trend has been the trend to require workers to be contractors, so the vamp could also avoid paying unemployment taxes. And as an added bonus, the vamps mistreat workers with increasing gusto, knowing there's many more waiting for a chance to join the wage slave ranks. And we ain't seen nothing yet. Welcome to the new economy, AKA: neo-feudalism.
ReplyDeletewhy is always the employers responsibility (or Gov., its not)?
DeleteTake care of yourself man!
My sister-in-law, has the dubious task of informing all of her Burger King employees, that all their hours will be diminshed to 20 hours immediately, to sidestep the mandates of our government. All those working moms are about to receive a whopper, without the courtesy of being asked for a reach around fries to go with that.
ReplyDeleteI was told the same however they have not cut any hours.(and I want to work less than 30 hours!!!)I work in a franchise LOCATION with less than 50 but the stores they own total much more.Is this just PER BUILDING?!
DeleteSounds like sis needs to find a better job working for a real American who cares for their employees
DeleteWhere do you suggest her to look for that "Other Job" ???????????????
DeleteAssuming she has the ability and skills to do something else the options are many. If the best she can do is be a low level manager at McDonalds there are over 13,000 McDonalds in the USA. They can't all be owned by morons like the one who owns the one where she works now. A little effort would be helpful or she could just work there and constantly complain like most Republicans do.
DeleteThe quickest way to avoid the obamacare crap is to make all your employees sub contractors.
ReplyDeleteThey get no benefits, just a check and at the end of each month you hand them a 1099 form and it makes them responsible for paying their own taxes/ healthcare/social security/FICA.
They get the benefit of SETTING THEIR OWN HOURS!!!
DeleteThat is also the quickest way for you to go out of business when everyone tells you to stuff your contractor job. What an un-American piece of dirt!
DeleteAn employer cannot do that. The IRS will see right through that move. The only way that works is if the former employees, now sub-contractors, receive a large portion of their revenue from sources other than their former employer. If they are getting 80+% of their business from one entity, the IRS will say that the sub-contractors are employees-in-fact and demand payroll taxes be paid. I know this because I knew a company that tried this and paid dearly for it.
DeleteNot true Insurance companies for years have treated the agenst as independent owners(captive agents), yet they still decide when you sell enough products, require you to show up for meetings, that you have your office open when they want, yet they have never paid the agents taxes. And when agents tried to show that they are actually employess the courts always find in favor of the company.
DeleteNo big problem. We just raise the minimum wage a few dollars per hour on anyone who employs workers who are on the job less than 29 hours per week.
ReplyDeleteThis is all fine and well for employers who can out-maneuver the "employer mandate," but it will put even more of the onus on the individual who is also mandated to pay the insurance vampires. How can the individual, you know, you and me, get around this imposed mandate/gift to the insurance industry?
ReplyDeleteSounds like one more way in which the employer can pass the buck onto the lowly worker who now not only has to pay extortion money to the man, but will have less hours to work(meaning less money to pay off the shake down).
Welcome to the world of salvery, Who would have thought that the first black prez would enslave everyone. Oh well , now we're all going back to the cotton fields.
ReplyDeleteHe isn't black. He only met his father twice and he was raised by his mother and grandparents who are white. He is a white with a tan and a chip on his shoulder because of his daddy. He is just continuing his idolized father's agenda.
DeleteYou sure about that? Romney didn't get the all-important robot vote. Robots can vote in American Presidential elections, now.
ReplyDeleteThe American people have spoken loudly. You just don't like what they said. Oh well!
ReplyDeleteI would not have a problem if he wasn't so dangerous to our constitutional rights
DeleteWhen you run a business and you pay the business costs, then you understand that as medical costs rise but your company profits get smaller, that it requires fewer people to work for you in order to reduce those costs. The profits are the only way that a business survives. You can't have emloyees and expect the expenses to be paid from any other financial source. If you have profits, then you have a business, without profits, you lose your business. Any "rights" that you think you have get paid by someone even if the Govt provides it. Business with no profits is called Govt. Business owners can't keep everyone when everyone will increase company medical expenses over and above company profits.
DeleteIgnoring this basic simple truth is a communist mindset.
you won't either when you see how bad it gets in 6 months..we are headed for a collapse..lets hope its peaceful
Deletewhen they say "peace and safety, peace and safety" then sudden destruction comes upon them
be wise and have 6 months food
our overseas state department personnel were told to have a year of the currency of the nation they were in in reserve, we should to...in food and assets
When do I get my new bama phone? I've been waiting for one for weeks?
ReplyDeleteHe's gunna pay for my gas!!!
DeleteFree 92 inch tv's also!!!!!!
Deletethe best part is there is no free insurance now if the employer doesnt pay you have to or you will be fines $2000 a year and dont worry if you dont have the money the goverment will just take it outta your tax return :)
ReplyDeletepersonally i love living in a country where medicine costs me no more than $3 and is subsidized by the government. I love living in a country where going to the doctor is subsidized by the government, and i love the fact that i live in a country where all hospital care is free. I'm very grateful not to be living in America where the basic rights to health are controlled by big business.
ReplyDeleteWell if your an illegal scumbag you get that free here now anyway, why leave???????
DeleteFranchise everything, basically.
ReplyDeletePhuck em who says you have to abide by their rules? If everyone and I mean everyone just said no....what could they do? Who's afraid of the big bad wolf?
ReplyDeletewell, i hate to think to myself, "i told myself so", but...the fools in this grand old republic re-elected the vacationer-in-chief, and now we are all going to be paying the ABSOLUTE price for his arrogance, and our collective stupidity. just wait, i can guarantee us all that this is just the first salvo, in the obama mandated, war of hatred against each and every american, except, he and his own. i just hope that we as a collective, can put this country back together, after he is done with it.
ReplyDeleteI am not sure he was re-elected as much as re-selected. There was corruption on every level, from Romney team stealing Iowa and Maine, probably to votes not being counted and/or flipped on election day. Many people have figured out what is going on here, evidenced by the strong gun sales and the popularity of the Ron Paul. If people think this was a fairly won election, they have been hypnotized by the shill corporate media.
DeleteLuckily the sheep are always slaughtered first.
ReplyDeletei say not even 2 years in and Amerika collapses economically and China is now the new leader and has the reserve currency status.
ReplyDeleteBefore that though we will have 10$ a gallon gas, electric bills that you will have to borrow money to pay and America sees riots when the so called poors checks don't buy squat due to infaltion
I think they need to get rid of Obamacare. Let busisnesses continue to florish so it can continue to have employees to work for them. Bring the prices of Insurance down for affordability. Bring the cost of medical and dental and the price of pharmacueticals much lower. I would also push for a flat tax and get rid of all the loop holes for big businesses on corporate tax.
ReplyDeletei wonder if there is any connection, linkage beween the corporations which have already received a Waiver on the 50 employees/29 hour rule AND being a contributer to the Øbama campaign
ReplyDeleteYep, Obamacare was so wonderful that ALL of the lobbyist working for the corporations had a stipulation to "Opt out" of this obamanble care.
DeleteHow long before the Gooberment traitors will close that 30 hour loophole.... VERY SOON. Also AGENDA 21 wants to put everyone into 200 sq ft rat traps in the cities and yet they also they say their going to INCREASE the lowest class into our surban areas to punish the surbans, I guess. The surban tax monies collected will be sent to the cities instead of using the monies to pay our surban liabilities. Get ready for the greatest FUCKING the middle class will ever see.
DeleteI would link this blog on twitter if I knew how. (Maybe, I will try to learn, eh?) I have thought about this loophole and heard about it for some time now. I think employers in many places (especially red states like mine, OK) will very likely do this, granted something worse doesn't happen before the law goes into full effect. I wonder how many people feel like I do, that I am on board a train that is in the process of derailing and exploding into pieces, and all I can do is watch in slow motion. So many challenges domestically and foreign(ly? Lol) and it is apparent someone has created them on purpose. Well, hopefully it will get many to repent and accept salvation through Jesus soon if it does get as bad as it seems it will. That could be the silver lining, I think.
ReplyDeletethe ONLY type of insureance should be catastophic..PERIOD
ReplyDeleteInsurance is growing at a 9% yearly rate. BECAUSE there is NO point of purchase scrutiny!! NO ONE ASKS HOW MUCH no one cares
[because insurance will pay!] If you were paying you would see pricing come back to reality. Further more, why is it o.k. to demand dr.s' wages be limited to a certain amount mandated by gov.? ISN'T THAT OTHERWISE KNOWN AS SLAVERY...
This right here. The only one that really gets it. Healthcare costs so much because people don't have to pay for it themselves. A third party with lots of money will pay. So people like my mother in law can go back to the doctor six dozen times demanding a cure for the common cold. The cost is supposed to act as a valve to regulate consumption. It works quite well. When prices get short circuited people over consume which leads to a feedback loop of ever rising prices.
DeleteI went to the hospital 20 years ago and had three stitches put in a finger and it cost me $450.00. It is high either way. In fact how high would it have to be if half the people didn't pay for it. Some of it is total nonsense the amount it costs. Having a baby the doctor comes into the room when the baby is about to drop and then charges 12,000. Everyone should have a midwife. Or just make sure everything is good to go and have the child just you and your wife. In Europe they still have their own children. I had a child there 8 years ago and it costs just $2,500. You can fly to Kiev and get full veneers for $4,000. The cost here is $10,000. IT's the same thing labor is a tad more here.
DeleteANYONE! I repeat anyone that thinks that there would be any difference is a fool. The two party system is just so you can blame one party and throw them all out. Each election the Democrats and Republicans argue like they really hate each other. If they really wanted to win they would have told us about Bill Clinton who screwed black prostitutes all the time and even had a child with one. Does anyone believe they didn't know he had a child with a black prostitute? Did Romney say anything about Obama producing a fraud birth certificate? The fact he's not legally allowed to be president. So with all that you still talk like both parties don't work for the same Jewish masters. I can't believe it.
ReplyDeleteFor just about forever the majority of large employers have been nickle and dime ing employees paying them unlivable wages, no benefits. So boo hoo if they have to provide some healthcare. I mean please a good chunk of Americans work in the retail and service industry and they can't even afford to pay food and shelter and are already in need of Social benefits. Employers turn a blind eye to this and continue to take profits whilst using the GOV to subsidize their employees. So wahhh for them. If you can't afford to put your employees in a positive cash flow status then you either shouldn't be in business or you should be required to reimburse for any social benefits your employee is eligible for because you pay them the change you found in your couch. I pay my babysitter twice the starting wage Walmart pays their employees and I am not even close to rich. I just have respect for my fellow human beings. "Beholden to the stock holders" is their cry. How about being beholden to your employees! Sorry I just don't cry for the wealthy business owners and Top Cats of our society.
ReplyDelete