As we move in to the first phase of ACA compliance, a number of employers have been asking me about unionized employees and how they can know whether the employees are offered coverage (as required to avoid penalties) when coverage is provided through a multiemployer plan to which the employer contributes. The concern is that since the ACA requires an employer to offer coverage, and because the multiemployer plan is not technically their own plan, are they really offering coverage so as to avoid the penalties?
Fortunately, this issue has been addressed in the final regulations implementing the employer play-or-pay penalty.
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