IFA Applauds House of Representatives for Passing the Save American Workers Act

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FOR IMMEDIATE RELEASE


Contact:

Jenna Weisbord, 202-662-0766

jweisbord@franchise.org


IFA APPLAUDS HOUSE OF REPRESENTATIVES FOR PASSING THE SAVE AMERICAN WORKERS ACT


WASHINGTON, April 3, 2014—The International Franchise Association’s President & CEO Steve Caldeira released the statement below following the passage of the Save American Workers Act by the House of Representatives today.


“Franchise businesses across the country applaud the leadership efforts of Rep. Todd Young (R-IN) in driving this much-needed bipartisan solution to the Affordable Care Act’s (ACA) employer mandate. This bill would change the 30-hour definition of a “full-time employee” within the ACA to the more traditional definition of 40 hours per week.


“Unlike the multiple employer mandate delays announced arbitrarily over the past two years by the Obama administration, this bipartisan bill helps small business owners with a permanent solution as they work to navigate the burdensome and costly requirements of the Affordable Care Act. This bill will help to avoid a shift to a more part-time workforce by providing employers the flexibility to reward hard-working and dedicated employees with more hours and the ability to earn more income.


“We are hopeful that supporters of these efforts on both sides of the aisle in the Senate can work with their colleagues to pass this bill. Given the recent Congressional Budget Office (CBO) report which estimated that the ACA would cost the economy 2.5 million full-time jobs by 2024, the time is now for Members of Congress to make the ACA more workable for small businesses so that they can create more jobs and career opportunities for Americans.”


See below for background on the impact of the ACA on employee hours from a November 2013 study by Public Opinion Strategies.



Even With The Mandate A Full Year Away, 31 Percent Of Franchise Decision Makers Reported They Have Already Cut Worker Hours .


“Many businesses are already seeing their health care costs increasing because of the law. To cope, 31 percent of franchise and 12 percent of non-franchise businesses have already reduced worker hours, a full year before the employer mandate goes into effect.” (Presentation of Findings from National Research Conducted Among Business Decision-Makers,”


Public Opinion Strategies , 10/13)


  • POS : “Additionally, 27 percent of franchise and 12 percent of non-franchise businesses have already replaced full-time workers with part-time employees.” (Presentation of Findings from National Research Conducted Among Business Decision-Makers,”


Public Opinion Strategies , 10/13)


  • POS : “Among businesses with 40 to 70 employees, 59 percent of franchise and 52 percent of non-franchise businesses plan to make personnel changes to stay below the 50 full time equivalent employee threshold. This accounts for 23 percent of all franchise and 10 percent of all non-franchise decision-makers surveyed.” (Presentation of Findings from National Research Conducted Among Business Decision-Makers,”


Public Opinion Strategies , 10/13)


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About the International Franchise Association

The International Franchise Association is the world’s oldest and largest organization representing franchising worldwide. Celebrating over 50 years of excellence, education and advocacy, IFA works through its government relations and public policy, media relations and educational programs to protect, enhance and promote franchising. Through its media awareness campaign highlighting the theme, Franchising: Building Local Businesses, One Opportunity at a Time, IFA promotes the economic impact of the more than 825,000 franchise establishments, which support nearly 18 million jobs and $2.1 trillion of economic output for the U.S. economy. IFA members include franchise companies in over 300 different business format categories, individual franchisees and companies that support the industry in marketing, law and business development.


1900 K St., N.W., Suite 700 Washington, DC 20006 USA

Phone: +1 202/628-8000 Fax: +1 202/628-0812 www.franchise.org

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