News and Events

Oct 20, 2013

The Department of Labor (DOL) Announces Non-Enforcement of Marketplace/Exchange Notice

Please see the below summary of the Marketplace Notice announcement from the Department of Labor that occurred late yesterday. Since more changes are likely, we would advise to delay sending these out until required. If you have any questions, please contact us.

DOL Announces Non-Enforcement of Marketplace/Exchange Notice

PPACA requires employers covered by the Fair Labor Standards Act to provide a notice about the upcoming health marketplaces (also called exchanges) to their employees. The notice is due Oct. 1, 2013. On Sept. 11, 2013 the Department of Labor (DOL) announced that it will not penalize employers that do not provide this notice. As a practical matter, this means that providing the notice is now optional.

Employers that have already provided the notice do not need to do anything - it is fine to provide the notice. The change simply is that the DOL will not penalize employers that fail to provide the notice.

Employers that have not yet provided the notice may either distribute the notice or not, as they prefer. Employers that want to increase awareness of the marketplace (perhaps because they expect that some of their employees will need or want to purchase from the marketplace) may still want to provide the notice. Employers with complicated distribution situations, or that are concerned that the notices may generate questions the employer is not staffed to answer, may prefer to not distribute the notice.

The FAQ may be accessed at this link:
Frequently Asked Question - Notice of Coverage Options

Our access to PPACA Advisor resources can help you clear up PPACA questions and better craft your company's benefit strategy for the future.

This information is general and is provided for educational purposes only. It reflects UBA's understanding of the available guidance as of the date shown and is subject to change. It is not intended to provide legal advice. You should not act on this information without consulting legal counsel or other knowledgeable advisors.12-Sep-2013

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