Another Mandate Delay for Affordable Care Act

February 11, 2014

pic-healthOn Feb. 10, the Administration announced yet another delay in implementation of the employer mandate. While the business mandate for companies with more than 50 employees to provide insurance had already been officially delayed until 2015, that requirement has been pushed off by yet another year for companies with 50-99 employees.

Further, the requirement has been relaxed for companies with more than 100 employees. While the law calls for larger companies to provide “affordable” coverage to 95 percent of its workers (those who work over 30 hours per week), the Administration now says no penalties will be imposed so long as at least 70 percent of workers are eligible for such coverage.

While any delay or weakening of the employer mandate is good news, the announcements only underscore the complexity and unworkability of the employer mandate, one of the reasons for NSBA’s original opposition to PPACA. In fact, according to the recently-released 2014 NSBA Small Business Health Care  Survey, small businesses report spending on average 13 hours and $1,274 per month on the  administrative side alone of understanding the Affordable Care Act.

Please click here for more specific details on the Affordable Care Act, and to download NSBA’s comprehensive compliance guide.