Law.com Subscribers SAVE 30%

Call 855-808-4530 or email [email protected] to receive your discount on a new subscription.

Will Dave & Buster's ACA Employer-Mandate Plan Design Land It in Hot Water with ERISA?

By Jennifer S. Kiesewetter

Under the Affordable Care Act (ACA), employers with 50 or more full-time, or full-time equivalent, employees on business days during the previous calendar year are required to offer qualified health care coverage, which meets minimum value and affordability standards to their full-time employees. These employers are referred to as applicable large employers (ALEs). If these ALEs fail to comply with these ACA requirements, often referred to as the “employer mandate,” then the employer may be faced with significant penalties. As such, employee counts and categorizations in employer organizations are critical under the ACA, and whether the employer mandate is satisfied.

In response to the ACA's employer mandate, and the potential penalties associated with compliance with the employer mandate, many companies, such as Dave & Buster's, reorganized their workforces, including trimming their full-time staffs, and moving toward a part-time workforce. Pursuant to the ACA, this is permissible, as long as the employee count, including the full-time equivalent employees, is still taken into account in determining ALE status. Under the employer mandate, a qualified offer of insurance does not have to be made to a part-time employee, only to a full-time employee.

This premium content is locked for Entertainment Law & Finance subscribers only

  • Stay current on the latest information, rulings, regulations, and trends
  • Includes practical, must-have information on copyrights, royalties, AI, and more
  • Tap into expert guidance from top entertainment lawyers and experts

For enterprise-wide or corporate acess, please contact Customer Service at [email protected] or 877-256-2473

Read These Next
Bankruptcy Sales: Finding a Diamond In the Rough Image

There is no efficient market for the sale of bankruptcy assets. Inefficient markets yield a transactional drag, potentially dampening the ability of debtors and trustees to maximize value for creditors. This article identifies ways in which investors may more easily discover bankruptcy asset sales.

Judge Rules Shaquille O'Neal Will Face Securities Lawsuit for Promotion, Sale of NFTs Image

A federal district court in Miami, FL, has ruled that former National Basketball Association star Shaquille O'Neal will have to face a lawsuit over his promotion of unregistered securities in the form of cryptocurrency tokens and that he was a "seller" of these unregistered securities.

Why So Many Great Lawyers Stink at Business Development and What Law Firms Are Doing About It Image

Why is it that those who are best skilled at advocating for others are ill-equipped at advocating for their own skills and what to do about it?

Blockchain Domains: New Developments for Brand Owners Image

Blockchain domain names offer decentralized alternatives to traditional DNS-based domain names, promising enhanced security, privacy and censorship resistance. However, these benefits come with significant challenges, particularly for brand owners seeking to protect their trademarks in these new digital spaces.

Coverage Issues Stemming from Dry Cleaner Contamination Suits Image

In recent years, there has been a growing number of dry cleaners claiming to be "organic," "green," or "eco-friendly." While that may be true with respect to some, many dry cleaners continue to use a cleaning method involving the use of a solvent called perchloroethylene, commonly known as perc. And, there seems to be an increasing number of lawsuits stemming from environmental problems associated with historic dry cleaning operations utilizing this chemical.