Friday, September 27, 2013

Restaurant Owners Lobby Congress Regarding Affordable Care Act

Under the Affordable Care Act starting in 2015, for businesses that employ more than 50 employees, any employee that averages at least 30 hours per week becomes considered a "full-time equivalent employee."  That designation means that the business would have to offer health care benefits, or face a government penalty. The concerns for those involved in the restaurant industry is that the this government penalty could erase any existing profit margin (given the low profit margin associated with the industry), and could reduce hours for current employees. There are several bills being advanced in Congress attempting to change the definition of "full-time equivalent employee" to 40 hours. In fact, restaurant industry owners and lobbyists were on Capitol Hill on September 17, 2013 discussing these very issues.  However, in the event those measures do not pass, it is imperative that those in the industry develop a plan for ways to maintain the profit margin while complying with the new law. The Clark Hill Labor and Employment team can analyze your business, alert you to the effect of the new Act on your business, and provide you with the tools necessary to develop a plan given the intricacies related to Affordable Care Act as is, and in the event of a last minute definition change.

http://www.sfgate.com/business/article/Restaurants-fight-30-hour-rule-in-health-care-law-4834700.php
http://thehill.com/business-a-lobbying/322583-franchise-owners-plead-for-relief-on-obamacare-

No comments:

Post a Comment