Friday, June 21, 2013

24% of Employers Firing or Cutting Worker Hours in Response to PPACA - SHRM Study

The Society of Human Resource Management just released a survey conducted in May of 818 organizations. 

Here is how employers are responding to PPACA: 

  • A large majority of those surveyed 84% expect their health care coverage costs to increase in 2014. 
  • (26 percent) expected an increase of 16% or more. 
  • Most responding organizations 83% are likely or highly likely to pass on higher costs to their employees.
  • Self-insurance. Just over half of organizations, 48% are self-funded and will therefore save money on various PPACA premium taxes.   
  • 9% will exclude or add surcharges to spousal coverage.  
  • 26% think they will be able to keep Grandfathered Status. 
  • 24% of respondents admitted to terminating employees or reducing their hours in order to deal with the 30-hour mandate.  This is a tougher thing, politically, for many to admit to in a workplace survey. Can you imagine how night that number really is if 24% would admit to it?