House votes to redefine full-time worker under ACA

Did you know that, under the Affordable Care Act, an employee is considered to be a full-time worker if they work just 30 hours a week? 

The House of Representatives is trying to change that.

House lawmakers approved legislation to change the definition of a full-time worker to anyone working an average of at least 40 hours per week.

Many employers are hoping this legislation survives, because it would shield them from a stiff financial penalty imposed under the ACA, also known as Obamacare.

Under the act, employers with at least 100 employees are required, effective in 2015, to offer coverage to full-time employees or be liable for an annual $2,000 penalty per employee.

The same requirement applies, effective in 2016, to employers with between 50 and 99 employees.

The 40-hour workweek legislation, H.R. 2575, was introduced by Rep. Todd Young, R-Ind., and approved by the House on a 248-179 vote. Eighteen House Democrats broke party ranks to vote for the bill.

“This legislation restores a common understanding in America, spanning over half a century, of what constitutes full-time work. In other words, it restores a basic American value,” House Ways and Means Committee Chairman Dave Camp, R-Mich., said at the time his committee passed the measure.

The White House, however, has said if the bill receives congressional approval, President Obama will veto it.

About the Author

Larry Hannappel

Larry spent 16 years with Century Casino’s and was instrumental in the start-up and growth of the company through expansions in Canada, South Africa, the Czech Republic, Poland and on several cruise ships as well as in Colorado. He was most recently the SVP, Principal Finance Officer and COO of North American operations for Century Casinos Inc., a multinational, Nasdaq-traded gaming company. Earlier in his career, Larry worked at the Johns Manville Corp. Larry spent 13 years in various accounting and finance functions in the company’s fiberglass manufacturing division and was key in the start-up of a molding plant in Indiana. Larry and his wife Kathy and three children live in Colorado. He enjoys four-wheeling, motorcycling, golfing, skiing and brewing beer.

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