President Barack Obama’s administration announced plans to delay provisions in the Affordable Care Act that require companies with larger staffs to offer employees health care plans by 2014.
“We believe we need to give employers more time to comply with the new rules,” a July 2 letter on the White House website said. “As we implement this law, we have and will continue to make changes as needed.”
The employer mandate, which applies to businesses with more than 50 full-time employees, will be delayed one year past the previous 2014 deadline, according to the announcement. The purpose of the delay is to allow employers more time to test new reporting systems and make any necessary changes to their health benefits.
Employers who do not comply with the law by the new 2015 deadline will be fined up to $2,000 per employee.
While the employer mandate may be delayed, plans for Connecticut and the national health insurance exchanges are still on track to begin offering residents and business owners health care plans by Oct. 1.
