Nonsequitur: The 29 Hour Work Week

October 22, 2012

The Weekly Standard’s Jeffrey Anderson points out that under the Affordable Care Act (Obamacare), the IRS defines a “full-time” job as 30 hours a week.  Employers of 50 or more workers must provide healthcare for those who are “full-time” or working 30 hours a week.  Of course, this means many companies, especially small businesses like Olive Garden/Red Lobster, are looking at work models UNDER 30 hours a week.  (More details here.)

How likely is it that employers will change the business model away from the 40 hour work week?  I don’t think it coincidental that in last month’s jobs report, the vast majority of new hires (over 500K) were part-time.

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One Response to “Nonsequitur: The 29 Hour Work Week”

  1. […] course, many small to mid-size companies are either not hiring or reducing worker hours to 29 hours or less to stay below the 50 employee threshold required by the ACA.  So the increase for these workers […]

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