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On March 18, 2013, SHRM
submitted comments to the Internal Revenue Service on the agency’s proposed “shared responsibility” rule, which addresses the requirement that employers with 50 or more full-time equivalent employees provide health care coverage that satisfies the Patient Protection and Affordable Care Act (PPACA).
The proposed IRS rule defines a "large employer" that is subject to the coverage mandate and "full-time employees" who must be offered coverage and details how to calculate the number of full-time employees. The definitions are particularly important to SHRM members, as employers can be penalized if coverage does not meet minimum standards or if the coverage is deemed “not affordable,” resulting in an employee qualifying for subsidized coverage through a public health care exchange.
SHRM’s comments, expressed by
Michael P. Aitken, vice president of government affairs,
focus principally on maintaining and, in some cases, expanding the proposed rule’s safe harbors and flexible options for transitioning to PPACA-compliant group coverage.
SHRM makes suggestions pertaining to:
SHRM Online Health Care Reform Resource Page
Keep up with the latest news. Sign up for SHRM’s free
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