Small Businesses Rejoice At New Labor Rule

Alexander Acosta
'I bring glad tidings, of good news, which will be for all small business owners!"

The Department of Labor is winning the support of a lot of different business groups for their rule that revolves around expanding the use of the Association Health Plans and with it helping the Americans to find proper coverage for themselves.

This new rule of the DOL simply changes the way employer is defined so that more of the sole proprietors and the employees from small businesses could join and benefit from the insurance from the Association Health Plans or from the Small Business Health Plans.

Steve Chabot, Chairman of the House Committee on Small Business, said that the rule would aid the employees to get insurance coverage via more affordable and easy options than previously offered.

“While the tax reform package Congress passed and the president signed into law in December effectively ended the burdensome individual mandate, small businesses are still subject to Obamacare’s employer mandate and have few options to provide affordable health care choices to their employees and families,” Chabot said in his statement. “DOL’s proposed rule would allow small employers and sole proprietors to join together and form Small Business Health Plans to provide their workers more affordable and flexible health care options.”

Similarly, the world’s largest retail association – National Retail Foundation – representing all the main street retailers i.e. grocers, department stores, wholesalers, and the internet retailers too declared its own support to the ruling. They supported the DOL ruling by saying that it would help increase the small businesses’ access to the most affordable insurance coverages.

“Main Street retailers need more affordable health care options and a level playing field with larger companies that are better positioned to negotiate for lower insurance costs,” David French – senior vice president for government relations at the National Retail Federation said. “For years, we’ve called for Association Health Plans to ensure that health care coverage is within reach for small retailers and their employees, and today’s action by DOL brings us one step closer to making this commonsense reform a reality.”

The federation has also been supporting the Association Health Plan bills previously too, as it truly believes that they help all the small businesses to go head to head with large business enterprises in providing their employees affordable insurances.

The Largest trade association of the Trucking industry – American Trucking Association also supported the ruling proposal by the DOL. Almost 90 percent of the trucking industry is of carriers with fewer than 6 trucks, and hence the ruling enables all of them to get benefits from the Association Health Plans.

“Today’s proposal is a step in the right direction for improving access to affordable, quality health care for all Americans,” said Chris Spear – the president of the American Trucking Associations in his statement. “We were pleased in October when President Trump signed an executive order allowing self-employed individuals to pool together to purchase health insurance plans sponsored by larger associations and groups, and we are happy to see his administration take the next step in advancing this plan today.”