Earlier this month, the Federal Registrar released an update to the final rules regarding ACA processing and requirements.
Here are some updates pertaining to staffing firm compliance:
1. For the pay or play calculations, the definition of a large employer has been changed from 50+ FTE's to 100+ FTE's.
2. For employers classified as large, the percentage of eligible employees the law would require companies to offer MEC (minimum essential coverage) to has changed from 96 percent to 70 percent.
3. The penalties for not offering coverage to employees have been made less severe. They won't apply to any over 30 full-time employees.
4. Previously, the penalty for break in service was 26 weeks. This has been decreased to 13 weeks, however, for staffing the break in service rule of longer than previous assignment still exists.
Some ACA rules that still have yet to be finalized?
1. Non-discrimination rules.
2. Variable hour rules. As of right now, they're still based on determination at time of hire.
Avionte Staffing Software has ACA functionality so our clients are covered. Read more on the Avionte blog.