A recent report from the Congressional Budget Office (CBO) details that the amount of labor supplied would fall by 2% from the effects of ACA.
Their analyses concluded that many employees would reduce their time, or even quit working entirely, if they didn’t rely on their employer-provided health insurance so heavily. This reduction in the amount of labor supplied naturally could mean an increase in the amount of money an employee is able to earn, as the cost for labor rises accordingly. This projected slight declination of workers will also provide an ease in the competition for jobs, and thus, employers need to provide their employees with a rich & competitive benefits package to avoid losing them to a more attractive offering.
If you’re tempted to stop offering coverage altogether, you must consider opting for a private exchange solution by giving employees the ability to choose the plans that suit their needs while taking a huge management burden off your shoulders. The employer will simply decide how much to contribute toward each employee’s benefits and then the employee can shop and choose between all of the plans offered in the healthcare marketplace.