Maryland Employers Cutting Hours Due to Obamacare

'Frustration builds as the reality of Obamacare sets in'


Large employers have struggled to adapt to Obamacare provisions and are cutting hours, and insurance experts worry it will create friction between employers and employees, WMDT reports:

By 2015, employers with at least 50 full-time, 30-hour employees will be required to provide health insurance or pay a hefty $3,000 fine for each uninsured employee. Insurance experts worry it could create some friction between the employer and employee.

“We’ve seen employers starting to cut down hours to 28, 25 hours such that they will not be subject to penalty for that employee,” Keen said.

That’s exactly what Katie Frantz says has happened to her.

“The job that I currently have is part-time. And they don’t want to let me be full-time because they don’t want to pay me benefits. And I don’t even need the benefits because I have it through my husband. It’s just very annoying,” she said.

Some employers have discovered they would be better off financially paying the penalty rather than providing insurance.