Obama Administration Announces Delay of ACA Employer Mandate for Mid-sized Businesses

(February 10, 2014) The Obama Administration has announced the delay of the employer mandate of the Affordable Care Act (ACA) until 2016 for certain mid-sized businesses.

According to officials with the U.S. Treasury Department, businesses with fewer than 100 employees will not be required to provide healthcare coverage for their workers in 2015. Larger businesses of more than 100 employees must still provide coverage for up to 70 percent of their workers in 2015 and 95 percent in 2016 to avoid penalties.

Katherine Lugar, president/CEO of the American Hotel & Lodging Association (AH&LA), welcomed the news, noting in an AH&LA press release that “This further delay provides our industry with additional opportunities to engage with Administration officials and provide input on the regulatory process to ensure the concerns of hoteliers are taken into account when additional rules are finalized.”

The Treasury Department also released a fact sheet on current employer requirements under the ACA, linked here.