by Emily Egan
American Action Forum
May 05, 2014
The Affordable Care Act’s (ACA) Employer Mandate requires all employers with more than 50 employees, or 50 Full Time Equivalents (FTEs), to provide health insurance coverage beginning in 2014. Noncompliance carries a fine. In a surprising move the Administration announced July 2, 2013, that they would delay enforcement of the mandate’s requirements and fines until 2015. In February 2014 the administration delayed enforcement again. The Employer Mandate is an attempt to coerce companies to continue offering coverage. However, the mandate is unlikely to be sufficient, given all of the other incentives embedded in the law. It will be necessary to monitor changes in the labor market that occur as the ACA rollout progresses; including whether lower wage workers have trouble getting full time work, or a significant number of individuals are priced out of employer sponsored family coverage and the exchanges due to the affordability regulation.

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