‘New Incentive’
The conventional 40-hour-a-week definition of full-time work dates to the 1938 Fair Labor Standards Act, which regulates overtime pay. It’s not a universal standard. The Bureau of Labor Statistics defines full-time work as 35 hours a week.
While the number of Americans forced to accept part-time work has been falling as the economy improves, it remains far above historical standards. In October, private-sector workers put in an average 34.6 hours a week, the BLS reported today.
“There’s been a rash of part-timing in the economy for a generation now; it well preceded the ACA,” said Peter Colavito, director of government relations for the Service Employees International Union. “What we don’t want to do is create a new incentive for folks to go under 40 hours a week.”
Some employers, including many small businesses, say that’s exactly what the current law does.
Wal-Mart, Target
Last month, Wal-Mart Stores Inc. said it would stop offering health coverage to employees who work less than 30 hours a week, following similar moves by Target Corp., Home Depot Inc. and Walgreen Co. The move, which affects about 2 percent of the retailer’s 1.3 million employees, could save the company about $50 million in premiums this year.
The Republicans’ proposal could be the starting point for a compromise to address employer concerns, said Ed Pagano, the Obama White House’s former chief Senate lobbyist, now a partner at the law firm Akin Gump Strauss Hauer & Feld LLP. Still, it remains to be seen whether Republicans would negotiate or use the proposal simply as a political tool to criticize the law, Pagano said.
Republicans Plan To Erode Obamacare By Redefining Work Hours
November 7, 2014
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The fallacy promoted in this article is that everyone needs health insurance, that government estimates are actual facts, and businesses are lying cheats. The truth not drawn in this article is that 40 hours means more people fully employed earning a living wage, making the law paid for by more payroll taxes. Therefore, the obvious conclusion is more people producing and earning bonafide job benefits and supporting themselves, with fewer unqualified non-productive people living off of Taxpayers.