The U.S. Department of Labor, after much speculation about a fine of $100 per day for noncompliance, is now advising businesses they will not be fined if they fail to notify their workers of their health insurance options by Oct. 1.
Over the last week there has been much speculation as to the penalties with some headlines and experts speculating and warning of a $100 day fine for businesses that failed to provide the notice in a timely manner.
The Department of Labor ended the speculation with a question and answer format specifically addressing the fine:
Q: Can an employer be fined for failing to provide employees with notice about the Affordable Care Act's new Health Insurance Marketplace?
A: No. If your company is covered by the Fair Labor Standards Act, it should provide a written notice to its employees about the Health Insurance Marketplace by October 1, 2013, but there is no fine or penalty under the law for failing to provide the notice.
Employers are told that they should still provide the information to their employees, seemingly as a recommendation rather than as a requirement.