What Farm Contractors think about Obamacare Requirements
According to npr ---
Many contractors who provide farm labor and must now offer workers health insurance are complaining loudly about the cost in their already low-margin business.
Some are also concerned that the forms they must file with the federal government under the Affordable Care Act will bring immigration problems to the fore. About half of the farm labor workforce in the U.S. is undocumented.
"There's definitely going to be some repercussions to it," says Jesse Sandoval, a farm labor contractor based in Stockton, Calif. "I think there's going to be some things that cannot be ignored."
Sandoval came to an educational conference for farm labor contractors — essentially staffing agencies for field workers — held at the San Joaquin County Agricultural Center in Stockton in the fall. Men with broad shoulders, wearing denim jackets and cowboy hats, sat in the audience, listening to lectures on a litany of laws and rules regulating their industry, including Obamacare's employer mandate.
Last year, employers with 100 or more full-time employees had to offer health insurance to their workers or pay a stiff penalty. This year, employers with 50 to 99 full-time employees must comply.
Sandoval has about 100 workers on his payroll. When farmers need a crew to pick cherries, pumpkins or asparagus, they call him to send the workers. He has to offer them insurance this year, and he's smarting over the price tag. At $300 a month per employee, he's looking at a $30,000 monthly bill.
Sandoval says he can't absorb the hit. "The numbers aren't there," he says. "My margin is 10 percent, and I have to increase expenses 10 percent? Well, that doesn't work."
0 comments:
Post a Comment