Outrun Change

We need to learn quickly to keep up with the massive change around us so we don't get run over. We need to outrun change.

Archive for the tag “health care law”

Local government agencies reducing part-time staff below 30 hours

More and more reports are surfacing of local governments and school districts cutting hours for their part-time staff to below 30 hours in order to avoid providing full health care and avoid the penalties for not doing so.

Investors Business Daily reports Local Governments Reeling Under ObamaCare Costs.

The article provides 13 examples, including: Read more…

State governments starting to change part-time rules

Reports are surfacing that businesses and colleges are planning to reduce hours for part-time staff.

Now news is appearing that state governments are working the same plan.

Why? Read more…

The new ‘49ers’ and ‘29ers’

No, there isn’t a new gold rush in California.

There is a stiff penalty to be paid for employers who have any person working more than 29 hours a week. There is also a serious penalty paid for hiring the 50th employee.

Why?

29ers

Employers with a staff person working 30 hours or more must provide health insurance to the employee or the company must pay a penalty. The insurance will cost several thousands of dollars a year. The penalty will be $2,000 if health insurance is provided.

Read more…

Colleges look at reducing adjunct profs to under 30 hours to avoid health care costs

Mentioned back in November that a number of restaurants and hotels are thinking of cutting their staff back to 29 hours or less to avoid the upcoming requirement to provide full-scale health care to staff working 30 hours or more.

The Wall Street Journal reports in their article Health Law Pinches Colleges (behind paywall) that colleges are moving in this direction as well.

Several colleges mentioned are reducing the class load for adjunct professors so they will be working below the 30 hour cutoff this year. That means the colleges won’t have to either provide health care or pay a penalty.

Read more…

Unintended consequences – reducing employee hours to avoid cost of health insurance coverage

Ignored in policy setting discussions is the likelihood that people will change their behavior in unexpected ways to go around a costly or burdensome or intrusive new policy. The latest of many examples is from yesterday’s Wall Street Journal – Health-Care Law Spurs a Shift to Part-Time Workers

I will work up an example to show why companies would consider this.

It seems that in order to avoid a major increase in costs, many employers are thinking about reducing their staff’s hours to less than the number of hours where health insurance coverage is required.

The article mentions several companies moving in this direction: Read more…

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