NTU urges all Representatives to vote “YES” on H.R. 3798, the “Save American Workers Act.” This legislation would retroactively repeal the flawed 30-hour definition of full-time employment established by the Patient Protection and Affordable Care Act (PPACA) and replace it with the more appropriate 40-hour standard, as well as further delay implementation of the so-called “Cadillac tax” and repeal the costly indoor-tanning tax.
Section 1513 of the President Obama’s health care law stipulated that establishments with 50 or more full-time employees must provide those employees with health insurance or pay a fine. The law also redefined “full-time” as 30-hours, a serious departure from the 40-hour work week originally codified in the Fair Labor Standards Act of 1938. The 40-hour work week is the typical definition of full-time across federal and state labor regulations, affecting everything from overtime to unemployment benefits. The implementation of this misguided standard has constrained job-growth and hurt employees, particularly those who work multiple jobs, choose to work only a limited number of hours, or who have had hours cut by employers seeking to cope with the new rule. Harmonizing PPACA’s work-week definition with that already recognized by the Department of Labor would help both employers and employees.
The Cadillac tax is a poor solution to a real policy dilemma -- in this case, addressing the employer-sponsored health insurance exclusion that has distorted markets. The Cadillac tax has been imposed in an arbitrary manner that largely benefits unions. The tanning tax has profoundly hurt small businesses, and with them, a significant population of consumers who rely on indoor tanning for legitimate health purposes.
This bill would provide immediate, tangible relief to businesses, workers, and consumers, thereby preserving jobs and preventing unnecessary hardship.
Roll call votes on H.R. 3798 will be included in NTU’s annual Rating of Congress and a “YES” vote will be considered the pro-taxpayer position.