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Healthcare Reform and Retailers

Posted by Kristen Melendez on Thu, Apr 03, 2014 @ 09:00 AM

Healthcare Reform and Retailers

As the Affordable Care Act continues to roll out, employers all across the field are going to see changes occurring, but retailers are going to be particularly influenced by these shifts. You can learn a lot more about the changes that are taking place as they pertain to retailers and more specific definitions in this article from Retail Means Jobs, but it’s important to look at how these changes will affect retailers.

Ultimately, the new guidelines may force employers to cut back hours or even lay off workers if they’re unable to absorb the additional cost of insurance. Because “full-time” is defined as 30 hours per week, many employees who may be deemed seasonal or part-time by the employer will be seen as full-time to the government. This will force retailers to pay insurance benefits to employees who otherwise would not qualify for them.

What is particularly interesting is that it’s not solely retailers who are being forced to make hard decisions like these. The New York Times says that city and county governments, and public schools and community colleges are all cutting back the hours of their part-time employees in order to save the costs associated with insurance.

Of course, there are consequences for any employer who reduces their employees’ hours, namely a lessened workforce. Because of this, many retailers may begin looking to third parties to provide services like logistics.

You can read more about the Affordable Care Act at the Retail Industry Working for Smart Healthcare Reform. 

 

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Topics: Retail, Affordable Care Act