Skip to comments.Obamacare Mandate: Anyone Who Works 30-Hour Week Is Now 'Full-Time' (hiring effects)
Posted on 10/23/2012 3:11:31 PM PDT by NYer
President Obama signs the Democrats health care bill into law in the East Room of the White House on Tuesday, March 23, 2010.
CNSNews.com) 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 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.
If an employer has 50 or more "full-time employees" and does not offer health insurance, it must pay a penalty per employee for each month it does not offer coverage.
The obscure provision recently reemerged in regulations issued by the IRS for how employers must account for which workers are full-time and which ones are not.
Under these standards, published in September, employers can choose a look-back period of between 3 and 12 months to measure if an employee has worked an average of 30 hours per week.
If an employee has worked 30 hours per week during this time, the person would count as a full-time employee for at least the next six months, regardless of how much they work, thus preventing employers from cutting hours to avoid the mandate.
In other words, an employer calculates the hours an employee works during at least a three-month period, determining if they employee has worked 30 hours or more per week on average.
If the employee meets the 30-hour threshold, they are counted as full-time for at least six months. If the employer has at least 50 such employees, he must provide them with health insurance or pay a fine.
The IRS regulations do not apply to seasonal or temporary workers, only to regular employees.
Then companies will downsize to 28 hours a week.
Vive La France. Now more people will be out of work. Probably mostly women...many who prefer to work less hours to have more time with their kids.
Its going to be hard to find a job with more than 28 hours a week.... I guess this is the jobs s plan of Obama, job sharing?
6 hours a day is full time? As a 69 year old, that grates. 50 to 60 hours were standard back in the day and rarely did anyone complain. No overtime (nobody knew what that was) and we were “unaware that we were being taken advantage of” by our employers. It seems our government has lost sight of what used to be called a work ethic.
Lefties just don’t get it, do they?
People are not chess pieces and they WILL change their behaviors and actions in order to avoid the pain of liberal policies.
Obama will just keep going until 16 hours a week is considered full time to achieve his agenda. I’ve never such lack of common sense in the liberal idiots we see today. I think they are going to have to have their world implode into itself and they are going to have go through omecreal hard times until they figure out Obma is using them as pawns and doesn’t give a $hit aboutvthem at all.
Unions have been shooting for this for years. Now, they can push for overtime for anything over 30hrs
jeez, have the new head of the HHS just change the mandate!
What the naive and gullible liberals haven’t figured yet is that Obama is not their sugar daddy but their pimp and he is going to ride them hard later to suck as much out of them as he does the middle class. It ain’t going to be perty...
Solve the Problem.
Big Company X decides to get out of the HR business and only owns buildings, tools and implements to conduct business. They use multiple “employment contractors” who all hire the same individuals but the individuals work for one company at a time. So they go clock in on Monday an 9am working for Employment Company A, clock out at 12:00. Then clock back in at 1pm for Employment Company B and work until 5pm. They officially only work 20 hours a week for two different companies thereby skirting the law.
Okay, I just figured out how to trick Obamacare so pay me a million dollars.
Just received notice that I was cut, too.
My exact sentiments... thanks BO.
So, hiring a lot of part-time workers would not mitigate the ObamaCare employment rates if this change were to be matched to existing tax code. Anybody care to challenge that an intrusive government would not take such a path?
Nothing new. 4 years ago when I was transitioning to retirement I was kept on for an additional 5 months, 30 hrs per week so I would have benefits.
Yep, they’ll just hire ‘seasonals’, and ‘part-timers’. They’ll work us for 40 hours a week for 9 months and then give us 14 weeks off every year.
Already been doing this for years until I got my present position, which is also not full time but isn’t seasonal.
Thanks Obama for making life suck even harder for young people.
Another "Pass it so we can read it" moment.
Invest in companies that are on the leading edge in robotic, AI and automation. Theses companies are the future Apple, Microsoft etc.
These new regs will only speed the process of eliminating people from the workforce.
Yep, to deal with cronic high unemployment, France made the work week 35 hours and made working overtime illegal.
Yep, to deal with chronic high unemployment, France made the work week 35 hours and made working overtime illegal.
With that signature, he just cut American workers’ hours and take home pay.
Look on the bright side. Those single moms struggling on two jobs will now have more time at home.
“These new regs will only speed the process of eliminating people from the workforce.”
Maybe, but I think it works like this:
1) People are cut back to less that 30 hours a week and a person cannot make a living wage at those hours. They vote for more free crap and hopey changey.
2) In steps the Big Brother the FERAL Government, to lend the “Helping Hand”. Provide more handouts, provide free crap, provide more housing and subsidies and of course pass more regulations.
3) More business restrictions are implemented because big business is just evil and now the government owns more manufacturing that once made Amerika strong.
4) The sheople cheer and line up to vote for more free crap.
5) Rinse and repeat
I think it’s a great idea. It’s Clovis-Piven in reverse. We’ll bankrupt Progressivism by eradicating any hope of people getting work.
Let’s make it even better, and any employee of 2 or more companies who works 30 hours or more gets their Obama care payed by all of their employers.
Another fine example of the result of government having a say in what businesses do beyond things involving the protection of individual rights. And we all know that the government will not in any way, shape or form suffer the consequences of this latest edict, and will probably use said consequences to pass another edict.
Anyone care to bet on how many “we need government involvement in business” types will get even a hint of a clue now?
Wasn’t this the reason Darden Company(?) said they were cutting all their “part-time” employees to less than 28 hours? I recall reading something here a couple weeks ago about it.
Searched for it but this was all I could find:
It’s already started.
But without working people, who's going to do the buying?
Governor Moonbeam had an answer to that - less jobs, more unemploymnet, more welfare. Now what is he still smoking?
I don’t get it, I am only one year younger than you at 68 but I never worked all those hours without overtime pay, at least not after reaching adulthood. Growing up on the farm we didn’t know there was a difference between living and making a living, we just stayed busy and when I entered the Navy straight out of high school I was guaranteed sixty nine whole dollars a month starting pay and the Navy owned me for that.
I received my honorable discharge and entered the civilian work force in 1965 and I worked more than forty hours sometimes but I was always paid for the overtime hours. The longest hours I ever worked on an hourly paid job came after I had shut down the business I had run for twenty years and went back to work for a corporation in an effort to obtain medical insurance for my wife. I worked over sixty hours many weeks and once hit ninety hours. This was all within the past ten years.
Did you have an “exempt” job way back when? Is that why you didn’t get overtime?
Out here in flyover country we never heard of overtime. When I went to work for UPS in i971 was the first time I had ever heard of overtime.
Flyover country? I was born five days before the D-Day invasion of Normandy and I was born a mile down a clay road from the nearest two lane blacktop which I thought was an expressway. The first time I saw a town of five thousand I thought I was in a huge city. I literally joined the Navy to get out from behind a mule and I danged sure heard of overtime long before 1971. In fact I heard of overtime long before I ever heard of UPS.
My father worked as a carpenter back in the fifties and he never worked more than forty hours a week because the contractor didn’t want to pay overtime. Paid overtime or not I didn’t hear of anyone back then working the kind of hours I worked in 2003. I probably worked more hours in ‘03 than I had ever worked in a year before in my life. I never pulled sixteen hour shifts before that year. I’m not complaining though, when I took the job they asked me how I felt about overtime and I told them the more the better.