According to a recent survey by the International
Foundation of Employee Benefit Plans, 70% of benefit professionals said, that
their companies would continue to offer health cover to for full time workers next year, 1% said
their companies would not offer health care coverage and 2% deemed it unlikely.
with 50 or more employees were required to provide health care insurance for
their employees or pay penalties. Many felt either employers would rather pay
fines or keep on part time workers instead.
Dillon, the CEO of the Kroger grocery chain, told the Financial Times in February that
while his company plans to continue to insure full-time employees under Obamacare,
others may not. "If you look through the economics of the penalty the companies
pay versus the cost to provide coverage, the penalty's too low, or the cost of
coverage is too high, or the combination is wrong," he said.
companies have experimented with hiring more part workers, - Darden Restaurants
- the parent company of Olive Garden and Red Lobster - backed off the test as
the results were negative.
Burdette, franchise owner of Wendy's in Nebraska, said that the company would
reduce the working hours of employees to 28 hours per week to avoid paying for
health care coverage.
90% of employers have no plans to move full time workers to a part time status
due to Obamacare.
Hannah Punitha (IRDA
Licence Number: 2710062)
Huffington Post, April 3013