When do the employer shared responsibility requirements go into effect?

Author: Tracy Morley, XpertHR Legal Editor

The employer shared responsibility requirements, often referred to as the employer mandate or the pay or play mandate, require an employer to provide health coverage to its employees or pay a penalty. These requirements, originally scheduled to go into effect on January 1, 2014, were delayed until January 1, 2015. In 2015, an employer with 100 or more full-time employees, including full-time equivalent employees (FTEs), had to offer coverage to at least 70 percent of its full-time employees in order to avoid the penalty. Beginning in 2016, an employer with 50 or more full-time employees and FTEs must offer coverage to at least 95 percent of full-time employees to avoid the penalty.