It’s no wonder that some provisions of the recently enacted Patient Protection and Affordable Care Act flew under the media radar that focused on the politics of health care reform. After all, the law is more than 2,000 pages long. But HR pros need to know about new requirements concerning reporting of employer-provided health benefits, breastfeeding at work and background checks for health care workers.
Health insurance benefits and W-2s
Beginning in the 2011 tax year, employers will be required to report the “aggregate cost” of “applicable employer-sponsored coverage” on an employee's W-2. That includes the value of any medical, dental and vision coverage you may pay for.
This will become much more relevant in 2018, when people with so-called high-cost “Cadillac” plans will have to start paying a hefty tax on it.
Note: It’s generally a good idea to tell employees how much you contribute to the cost of like health insurance. It helps them understand the total value of benefits as an overall part of their compensation. Now Uncle Sam is requiring it.
Breastfeeding at work
Effective immediately, employers with 50 or more employees must provide breastfeeding workers with “reasonable break time” and a private, non-bathroom place to express breast milk during the workday, up until the child’s first birthday. Employers are not required to pay for time spent expressing milk.
Small businesses with fewer than 50 employees are exempt from this rule if complying would cause “undue hardship.”
Women’s groups have long sought break time for breastfeeding and pumping, and many states already have similar laws on the book. Employers in states that already have such laws must comply with either the state or federal law, whichever is most generous to employees.
Background checks for health care workers
Starting this year, the U.S. Secretary of Health and Human Services must develop a national system for conducting
The Department of Health and Human Services will work with state agencies to implement the program, a process that could take up to a year.
Advice: If you’re in the health care industry, be alert for news that the background check system is coming online in your state.
- How to Fire an Employee the Legal Way: 6 Termination Guidelines
- 10 Secrets to an Effective Performance Review
- Bolster benefits to retain best and brightest
- Can a small employer deny leave to an employee whose spouse is seriously ill?
- 'Sorry': the hardest word to say to job applicants
- COBRA: Employer Obligations