April 30th, 2013

As of January 2014, ObamaCare may send the traditional forty-hour work week the way of the dinosaurs. While the Bureau of Labor and Statistics defines full-time employment status as more than 35 hours per week, beginning 2014, the definition changes to one who works a minimum of 30 hours per week or 120 hours per month.

Suddenly the notion of job-sharing is in our faces. The Wall Street Journal says it’s already happening at fast-food restaurants.

Moreover, employers suddenly must come up with a way to deal with the magic number of 50 employees or face penalties.

Take a closer look

An article in Forbes (Tim Worstall) suggests the incentivizing of part-time jobs under ObamaCare. At first blush, the idea of more opportunities for temporary, contract and part-time workers seems appealing, but the trickle-down effect of the new definition is costly.

If businesses with 50 or less employees have workers that work more than 30 hours, they will face a fine that could be several times higher than their annual profit depending on the employer’s provisions for employee health insurance.

It is a conundrum that makes employers think twice about offering health care benefits, or at least promotes a notion of cost-sharing.

Also, it could be argued that if two workers replace one full-time worker, would the amount paid for the job remain unchanged? Wouldn’t the unemployment figure be skewed as well?

Since 2009, when Obama was sworn into office, The Washington Examiner reports that Americans with full-time jobs fell by 370,000. By contrast, part time employment rose 1.5 million.

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PPACA is not going away soon, if at all. ObamaCare is the largest body of legislation on health care since 1965’s enactment of Medicare or Medicaid.

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  1. Understanding the Family and Medical Leave Act (FMLA) | Olympic Staffing Says:

    […] does not cover caring for grandparents or brothers and sisters (certain exceptions apply). With ObamaCare and the growing part time workforce it’s worth it to clarify that FMLA does not apply to […]

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