Staffing Insights

Donkeys vs. Elephants: What ACA Means for Humans

Since it was passed into law in 2010, the Affordable Care Act (ACA) has been a constant source of political debate. There is one thing that everyone agrees on: implementation of the ACA is a complicated process with hard-to-predict consequences. The landmark healthcare reform bill will be a mixed bag with both positive and negative consequences. First the bad news. Under the ACA, all companies—including staffing firms—with at least 100 full-time employees (defined as workers who work at least 30 hours a week), will be required to provide health insurance to their employees starting on January 1, 2015. For companies with 50 to 99 employees, the requirement has been pushed back until January 1, 2016. Companies that don’t comply with the requirement face a $2,000 penalty per employee. Staffing firms will either list health insurance as an invoice line item; or simply increase their bill rates to account for the new overhead expense. Messina Group will show the fee as a line item on invoices. Now for the good news.

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