In January 2014, the Affordable Care Act was implemented and it has caused quite a stir within companies of all sizes. The biggest impact was felt within the smaller ones with employee counts around 50+. The legislature mandates that every company with more than 50 employees working full-time will need to offer health insurance or pay a penalty. This means those staff members working more than 30 hours a week will need to be covered with insurance or have their hours reduced to avoid penalties and fees. Due to the idea that most staffing agencies place temporary employees, companies have started to capitalize on the idea of maximizing this type of employment option to save money and avoid the hassle of providing benefits to their full-time team members.

Benefits of the ACA to Temp Employees
The negative impact of the ACA can be felt throughout companies for many of the full-time employees who may have their hours cut-back or they may even be without a job before too long. Uncertainty has become the hurdle these companies have to overcome as the future of their companies is unknown; how will they grow without being forced to increase their healthcare budgets or pay the fines? This is where the use of temporary employees comes into play as these employees can become vital team members and maintain the business momentum without the hassles.

Temp Employees are not Under-Qualified Employees
Most temporary employees understand they are not going to receive benefits such as healthcare, stock options, or even a guaranteed number of weekly hours and they are okay with that fact. Maybe all they need is up to 30 hours a week and they have their own personal health insurance so they make the perfect candidate for any company struggling with the new ACA legislature. In the long-term, each company will benefit from having a dedicated temporary team member, even as a temporary employee. The common misconception of hiring a new team member from a staffing agency is that they may not be as qualified or devoted as someone who is full-time but that is not usually the case. Many of these employees are highly qualified but struggling to find work after a personal move, a company lay-off, or even after a career change but would be an asset to any company.

Increased Hirings
The ACA has increased the hiring of employees from staffing agencies as the company can fill the vacancy without changing their healthcare budgets or being forced to pay penalties. In turn, many of these temporary employees will work the maximum hour allotment and that will allow them to contribute positively to their local economy. The ideal situation for most team members would be a steady 40+ hour work week complete with benefits but with the passing of the ACA, the employment world has changed. Smart staffing and contingent work force companies will capitalize on this and provide highly qualified employees to their clients.

Looking for work in  San Antonio? Pinnacle Workforce provides workforce solutions to healthcare organizations across San Antonio and the surrounding areas. If you have any questions on how our team can positively impact yours, contact us today!

Healthcare has always been a major perk for the American employee and for some, it is the only reason to stay with a particular company. Along with salary, health benefits rank near the top of the list for those seeking new employment or to improve their quality of life. With the implementation of The Affordable Care Act (ACA), companies may have to choose between paying the fines, decreasing the full-time personnel numbers, or figuring out where the extra money will come to pay the healthcare demands according to the law. Some companies may feel that hiring temporary workers will solve the problem; after all, it’s just the full-time, 30+ hours a week employees that require healthcare, right?

• Temporary, Not Part-Time
  Staffing agencies are an excellent resource for business owners who need the extra hands but not the extra hassles. Those who perform temp work usually do not work more than 30 hours a week and the company is not required to provide benefits. However, it is important for the temp worker to understand if they work more than that allotted time, the staffing agency is required to offer them health insurance under the ACA. If you want to hire temporary workers to stay under the 50 member staff requirements, working with a staffing agency can be a smart option. Keep in mind that temporary and part-time are two different roles and hold different requirements.
• Helping Small Businesses
  While the larger companies are able to navigate through the ACA with help from their on-staff attorneys, healthcare experts, and even a full HR department, the smaller companies will be left to figure it out on their own. If they are unable to work through the problems and afford the requirements, they may decide to just hire temporary staff for the time being. Small businesses rarely have the funds available to decide, on a whim, to hire more team members or change their status from part-time to full-time. The decisions take longer and require more planning, making temporary employment a great option for them to remain in compliance with the ACA.
• Moving Forward in 2014
  The new healthcare laws will be implemented in full by 2014 and whether or not you like it or agree with it won’t matter. It is part of the healthcare reform that is passed and will be enforced. Whether you have a need for temporary workers or you are a temporary worker, weigh your options before jumping into new employment or taking on new employees. There are plenty of viable and cost effective ways to comply without causing financial harm to your future.

Pinnacle Workforce has the ability to provide you with the information and team members to suit your needs. Not only can you expect to be treated with professionalism, you can also learn from the educated staff at Pinnacle on the best way to handle your staffing or employment needs. Contact us today for more information!