PA Businesses Relieved Affordable Care Act Is Pushed Back

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Businesses in Central PA say they’re relieved the Obama Administration is delaying part of the Affordable Care Act until 2015.

Originally the law required businesses of more than 50 employees to provide health insurance starting in January or pay a penalty.

The IRS says numerous businesses complained they would need more time to comply with the complicated law.

The delay will now give local businesses more time to make some difficult decisions.

Pennsylvania law makers believe it’s a sign that the Federal Affordable Care Act will make businesses incue losses that can’t be replaced.

A business owner we talked with says he believes the law will be of benefit to employees.

But, he may have to cut positions to stay under the 50 employee limit…and that worries one lawmaker.

“What it was doing was literally squelching the ability of these businesses to stay profitable. I’ve talked to business owners who were literally not hiring new employees or knocking down their head count or the hours employees were working so they wouldn’t fall under this because otherwise they wouldn’t be able to stay in business this was a business crushing provision of the obama care law,” says Representative Stephen Bloom, (R) of the 199th district.

The government will charge businesses with more than 50 employees a $2,000 dollar fee per uninsured person after the first 30 employees.

While this law doesn’t go into effect until 2015, the Obama administration is encouraging businesses to offer health insurance before then.

2 comments

  • MyTakeOnIt

    Change is hard.

    Where are the mathematicians in the government? The 50-employee thing should have been a formulation relative to profitability of the business with other factors. For example, a new small business may not have to offer insurance until their profitability reached a certain level. Honestly, what's the deal with the capitalist economy operating on scales based on formulas but the government fails to do so. Example: The Alternative Minimum Tax debacle.

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