Title: Employee Flexibility Act of 2019
Policy area: Taxation

Summary:
Employee Flexibility Act of 2019
This bill increases the hours of service required for an employee to be classified as a full-time employee for purposes of the employer mandate under the Patient Protection and Affordable Care Act to provide minimum essential health care coverage to full-time employees. The bill increases the hours of service threshold from an average of at least 30 hours of service a week to an average of at least 40 hours of service a week.



[Congressional Bills 116th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2782 Introduced in House (IH)]

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116th CONGRESS
  1st Session
                                H. R. 2782

   To amend the Internal Revenue Code of 1986 to repeal the 30-hour 
 threshold for classification as a full-time employee for purposes of 
the employer mandate in the Patient Protection and Affordable Care Act 
                     and replace it with 40 hours.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                              May 16, 2019

 Mrs. Walorski (for herself, Mr. Lipinski, Mr. Kelly of Pennsylvania, 
and Mr. Peterson) introduced the following bill; which was referred to 
                    the Committee on Ways and Means

_______________________________________________________________________

                                 A BILL


 
   To amend the Internal Revenue Code of 1986 to repeal the 30-hour 
 threshold for classification as a full-time employee for purposes of 
the employer mandate in the Patient Protection and Affordable Care Act 
                     and replace it with 40 hours.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Employee Flexibility Act of 2019''.

SEC. 2. REPEAL OF 30-HOUR THRESHOLD FOR CLASSIFICATION AS FULL-TIME 
              EMPLOYEE FOR PURPOSES OF THE EMPLOYER MANDATE IN THE 
              PATIENT PROTECTION AND AFFORDABLE CARE ACT AND 
              REPLACEMENT WITH 40 HOURS.

    (a) Full-Time Equivalents.--Paragraph (2) of section 4980H(c) of 
the Internal Revenue Code of 1986 is amended--
            (1) by repealing subparagraph (E); and
            (2) by inserting after subparagraph (D) the following new 
        subparagraph:
                    ``(E) Full-time equivalents treated as full-time 
                employees.--Solely for purposes of determining whether 
                an employer is an applicable large employer under this 
                paragraph, an employer shall, in addition to the number 
                of full-time employees for any month otherwise 
                determined, include for such month a number of full-
                time employees determined by dividing the aggregate 
                number of hours of service of employees who are not 
                full-time employees for the month by 174.''.
    (b) Full-Time Employees.--Paragraph (4) of section 4980H(c) of the 
Internal Revenue Code of 1986 is amended--
            (1) by repealing subparagraph (A); and
            (2) by inserting before subparagraph (B) the following new 
        subparagraph:
                    ``(A) In general.--The term `full-time employee' 
                means, with respect to any month, an employee who is 
                employed on average at least 40 hours of service per 
                week.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to months beginning after December 31, 2018.
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