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Obamacare’s Employer Mandate Delayed Until 2015

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The Obama administration unexpectedly announced a one-year delay, until 2015, of a central requirement of the Affordable Health Care Act. The requirement that medium and large companies provide coverage for their workers or face fines, was designed to expand coverage for uninsured Americans, and is among the most complex part of the 2010-legislation.

Under the law, companies with 50 or more workers must provide affordable coverage to their “full-time” employees or risk a series of escalating tax penalties if just one worker receives government-subsidized insurance. The original requirement was supposed to take effect on January 1, 2014, but after the law was passed, the provision received a lot of pushback from employers across the country.

This surprising announcement does not affect the law’s requirement that individuals carry health insurance starting next year or face fines.

Contact PMP at 516-921-3400 with any questions concerning the recent announcement made by the Obama administration.


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