U.S. Sen. Todd Young (R-IN) last week unveiled a bipartisan, bicameral bill to update the definition of full-time employee for purposes of the employer mandate in the Patient Protection and Affordable Care Act (ACA), also known as Obamacare.
Sen. Young on May 16 sponsored the Employee Flexibility Act of 2019, S. 1510, with lead cosponsor U.S. Sen. Joe Manchin (D-WV) to change the definition of a full-time employee under the ACA from someone who works an average of 30 hours per week to the traditional 40 hours per week.
“Many employees in Indiana faced reduced hours and earning ability as a result of the Affordable Care Act’s 30-hour threshold,” Sen. Young said. “Our bill would fix this error and ensure that Hoosiers can support their families, trade shifts, and earn more money.”
Companion legislation in the U.S. House of Representatives, the same-named H.R. 2782, also was introduced on May 16 by U.S. Reps. Jackie Walorski (R-IN), Mike Kelly (R-PA) and Dan Lipinski (D-IL).
In 2010, a full-time threshold was enacted under the ACA that required employers to offer their employees health coverage at 30 hours per week, resulting in employers cutting workers’ hours, according to the senator, who added that the change primarily impacted variable-hour and part-time workers who lost the flexibility to add or trade shifts.
If enacted, S. 1510 would provide employees with the flexibility to gain hours and increase their paychecks while providing businesses with relief from certain ACA compliance by defining full-time employment as 40 hours a week, said Sen. Young.
The measure has support from groups including the American Hotel and Lodging Association, the American Staffing Association, Associated Builders and Contractors Inc., The Council of Insurance Agents and Brokers, the Food Marketing Institute, the National Association of Wholesaler-Distributors, the National Restaurant Association, the Retail Industry Leaders Association, and the Society of American Florists, among others.