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Healthcare reform proposals roll out

July 15, 2009

Healthcare reform proposals are being moved forward in the House and Senate that could require employers to provide coverage or pay a special payroll tax or fee.

House Democrats introduced a healthcare reform bill on Tuesday that would tax high-income earners, require all Americans to purchase health insurance and require employers with 25 or more employees to provide healthcare coverage or pay an 8% payroll tax, Workforce Management reported. Today, a Senate health committee approved legislation to reform healthcare that will be combined with a bill to be written in the Senate Finance Committee, Reuters reported.

In the House bill, employers would pay 72.5% of the premium cost for full-time employees and 65% for a family policy, according to Workforce Management. Employers that offer healthcare coverage would automatically be required to enroll employees.

The House bill would exempt employers with payrolls of less than $250,000 and the 8% payroll tax would be scaled down for employers whose revenue was less than $400,000, Workforce Management reported. A Senate bill would charge employers who do not provide coverage $750 per year per full-time employee.

Workforce Management is a sister publication to the Staffing Industry Report newsletter.