rss icon

Sunday, 16 February 2014 22:37

ACA forces employers to rethink benefits, hiring plans

Written by 
Rate this item
(0 votes)

One major consideration for employers in setting up benefits packages is the ongoing implementation of the Affordable Care Act.

On top of added costs for employers, the ACA is causing uncertainty, which isn’t conducive to new hiring, said David Smith of The Employers’ Association.

“Employers right now in West Michigan are holding fast to see what happens with the Affordable Care Act before making any drastic changes,” Smith said. “If they do make any, it will be in 2015.”

A January survey by Grand Valley State University found that 22 percent of respondents reduced hiring plans for the next 12 months and 21 percent were considering it. The effects of the ACA had employers paying more attention to the hours worked by their part-time workers to avoid the law’s mandate to offer health coverage to people who work an average of more than 30 hours per week for companies with 50 or more full-time workers, the report stated.

The federal health care law also has employers rethinking their benefits packages as respondents to the survey said they were considering passing along the added costs of adhering to mandates in the law to their workers or were transitioning to high-deductible health plans.

Read 3082 times Last modified on Sunday, 16 February 2014 18:14

Breaking News

September 2018
S M T W T F S
26 27 28 29 30 31 1
2 3 4 5 6 7 8
9 10 11 12 13 14 15
16 17 18 19 20 21 22
23 24 25 26 27 28 29
30 1 2 3 4 5 6

Follow MiBiz