Purchasing Health Insurance
» Purchasing Health Insurance, Volume 7, Issue 3, 2007
If respondent does NOT offer employee health insurance or premium reimbursement AND has at least one full-time employee.
Certain legislative proposals would require all employers to provide at least 7.5 percent of their payroll in health care benefits. If employers chose not to spend at least 7.5 percent of their payroll in employee health benefits, they would have to pay a tax amounting to 7.5 percent of payroll. The proposal would apply only to full-time employees.
17. If such a proposal became law, what would be your first step to comply with it? Would you:?
| Response | ||||
|---|---|---|---|---|
| 1 | Increase payroll costs and make health benefits at least 7.5 percent of payroll | 20 | ||
| 2 | Pay a 7.5 percent payroll tax | 10 | ||
| 3 | Make some full-time employees part-timers to avoid counting them under the law | 25 | ||
| 4 | Shift non-health employee benefits and/or wages to health benefits, not increasing payroll costs or paying the tax | 13 | ||
| 5 | Eliminate some employees | 13 | ||
| 6 | (Have to close) | 4 | ||
| 7 | (Other) | 6 | ||
| 8 | (DK/Refuse) | 10 | ||
| Total (%) | 101 | |||
| N | 186 | |||
Notes: Twenty-five (25) percent of small employers who do not offer employee health insurance or premium reimbursement and who have at least one full-time employee would transfer some full-time employees to part-time positions to avoid counting them under the law as their first step to comply (Q#17).
