Tuesday, January 21, 2014

Target Cuts Health Care Benefits to its Employees


Today, Target has joined a long list of companies that decided to cut health care benefits to its employees.  Target says that part time employees can find health care benefits on the government exchanges and will no longer pay for their benefits as of April 1, 2014.  They will give them a one-time payment of $500 to supplement their costs. 

The Affordable Care Act (ObamaCare) is forcing companies to make the easy choice of simply dropping employees from company sponsored plans and forcing individuals to fend for themselves on government exchanges. 

I believe more companies will drop benefits to employees as they learn that the fines for not covering employees are smaller than the cost of covering employees. 

This is an alarming trend that I hope stops.  What are your thoughts?

 

 

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