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Many provisions of the Affordable Care Act (“ACA”) become effective in 2014. Others are effective this year. Beginning October 1, 2013, most employers must notify employees of the coverage options available through the Health Insurance Marketplace established by the ACA. Employers are free to create their own notices, but the US Department of Labor has issued a Model Notice that employers can use to fulfill their obligations under the ACA.
You may have heard that employers with fewer than fifty employees are not required to offer insurance coverage to their employees and that they are exempt from any penalties. While that is true, the Notice requirement is technically part of the Fair Labor Standards Act, so many more employers are affected. Any employer with at least one employee engaged in “interstate commerce” or which has more than $500,000 in sales is covered by the FLSA, so the vast majority of employers will be required to provide the Notice to their employees.
The Notice must include the following information:
Existing employees must receive the Notice by October 1, 2013. Each new employee hired after on or after October 1, 2013 must receive the Notice upon hiring.