Small Business Healthcare

TIA is a member of the Small Business Coalition for Affordable Healthcare. This coalition represents the country’s largest, oldest and most respected small business associations who have spent more than a decade working to improve access and affordability of private health insurance.

TIA supports the bill the coalition has introduced known as the “American Job Protection Act” (S. 305). This bill repeals provisions of the Internal Revenue Code, as added by the Patient Protection and Affordable Care Act, that: (1) impose fines on large employers (employers with 50 or more full-time employees) who fail to offer their full-time employees the opportunity to enroll in minimum essential health insurance coverage, and (2) require large employers to file a report with the Department of the Treasury on health insurance coverage provided to their full-time employees. Applies the Internal Revenue Code as if those provisions had never been enacted.

These requirements will force employers to use their resources and savings to pay these penalties, at the expense of hiring employees, creating jobs and expanding their business. It also establishes a powerful disincentive to hire more than 50 employees. This cycle causes the employers to struggle with the cost of the penalty, and employees to suffer with lower wages and possibly job loss.

TIA also supports the “Save American Workers Act of 2015” (H.R. 30). This bill amends the Internal Revenue Code to change the definition of "full-time employee" for purposes of the employer mandate to provide minimum essential health care coverage under the Patient Protection and Affordable Care Act from an employee who is employed on average at least 30 hours of service a week to an employee who is employed on average at least 40 hours of service a week.

There’s bipartisan agreement in the House and in the Senate that the 30-hour workweek provision of the law was an unfortunate mistake and has caused many struggling Americans to have their work hours cut by employers that can’t afford to provide insurance.

Raising the threshold to 40 hours will lessen burdens on both employers and employees who are both seeking affordable healthcare. 

TIA believes the passed legislation is counter-productive to the goal of expanding access to affordable healthcare for small businesses and that the passage of S. 305 and H.R. 30 will help to improve the healthcare law.