I came across this great article from Employee Benefit Advisor yesterday and thought it was a great share with our audience. With the Affordable Care Act’s new reporting requirements fast approaching, employers and their benefit advisers need more than ever to keep abreast of what’s happening with the ever-changing health care reform law. Here are five ACA issues the national law firm Epstein Becker Green says employers need to be following.
1. ACA-related litigation
2. Employer mandate reporting
The IRS in August released draft forms and instructions related to the reporting requirements under sections 6055 and
6056 of the Internal Revenue Code. Finalized forms are forthcoming, but employers and their advisers can use
the drafts to begin taking steps to ensure compliance with the law, the law firm says.
3. Section 510 liability
ERISA Section 510 is an anti-abuse provision enacted to prevent unscrupulous employers from discharging
or interfering with their employees’ rights to benefits. In the wake of the ACA, Epstein Becker Green says plaintiffs’
attorneys will likely use Section 510 as an avenue for suing employers that have reduced hours to limit exposure
to employer mandate liability. Employers that are planning on reducing employee hours should do so in a way that
limits their exposure to Section 510 claims, the firm says, adding that employers may consider grandfathering employees
that previously worked 30 or more hours a week. Employers should also ensure their employment agreements are
modified to notify employees who are not benefits-eligible of their status, the law firm adds.