The Affordable Care Act and Temporary Employment

December 2nd, 2013

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!

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