Staffing Industry Insurance: Staffers Still Struggle with ACA
The Affordable Care Act (ACA) has been a point of contention and debate for millions of business owners and employees across the nation. While employers across all economic and industry sectors have faced compliance challenges, few have faced as many hurdles as the staffing industry. ACA mandates haven’t always fit perfectly when applied to the nuances of the staffing environment, where workers are always revolving with jobs and hours that are rarely consistent.
One of the largest hurdles for the staffing industry has been navigating the 30-hour rule, which states that any employee who averages 30 hours per week is considered full time by the federal government. As such, those full time employees must receive health care benefits after 90 days of employment with an organization that has 50 or more employees. When an employee reaches the 30-hour line, employers are required to offer ACA compliant healthcare plans or face penalty fines and fees.
The majority of staffing employees work flexible and highly fluctuating hours which may or may not put them above the 30-hour line in any 12 month period. This makes planning from an employer stand point challenging, costly and resource consuming. Planning becomes even more complicated when an employee works for multiple staffing agencies throughout the year. Often in these instances the agencies divide up the cost of providing healthcare benefits to that employee. In many cases, employers must allot funds to cushion themselves should employees fluctuate above the 30 hour line, when they will need to offer those employees health benefits.
The American Staffing Association expects even more changes to come from the ACA mandates as legislators continue to debate over the terms and statutes of the policy. As policies alteration staffing agencies will have to continue to adapt to the ever evolving legislation and operational implications.
Navigating ACA requirements can be challenging for the staffing industry, but we can help generate a comprehensive strategy that fits your business needs. World Wide Specialty Programs has always had a singular purpose – to design, develop and provide temporary staffing insurance for the staffing industry. Working with over 2,000 insurance brokers nationwide, we know the staffing industry better than anyone, and can provide great options for your staffing industry insurance needs. Please contact us today today for more information about our staffing agency insurance solutions at (877) 256-0468.