Starbucks: We Won’t Use Obamacare as Excuse to Cut Benefits

Its CEO has been a long-time supporter of President Obama

   

Starbucks: We Won’t Use Obamacare as Excuse to Cut Benefits

starbucksnyc 300x200  Starbucks: We Wont Use Obamacare as Excuse to Cut BenefitsWhile a number of companies are considering workforce changes in advance of the implementation of President Barack Obama’s Affordable Care Act, the nation’s leading coffee shop chain won’t be one of them.

On Monday, Starbucks (SBUX) CEO Howard Schultz told Reuters that the chain will keep its current employee benefits and working hours in place. He said that Starbucks “won’t use the new law as an excuse” to reduce benefits.

health630 200x200  Starbucks: We Wont Use Obamacare as Excuse to Cut Benefits
Health Insurers Set to Shrink Pool of Doctors You Can See In-Network

Under the Affordable Care Act, businesses with more than 50 employees must provide health care coverage for those who work at least 30 hours a week. The law was originally scheduled to take effect next year. However, the Obama administration recently delayed implementation of the provisions covering businesses until 2015.

A number of companies, including a variety of fast food chains, have begun trimming employee hours, in order to lower their numbers of full-time employees since the law was passed.

Shipping giant UPS (UPS) announced this month that it would stop providing insurance to employee spouses who have jobs and are eligible for coverage by their employers.

Schultz has long been a political supporter of the president, endorsing him during both his presidential campaigns.

Shares of Starbucks edged up slightly in Wednesday morning trading.


Article printed from InvestorPlace Media, http://investorplace.com/2013/08/starbucks-we-wont-use-obamacare-as-excuse-to-cut-benefits/.

©2014 InvestorPlace Media, LLC

Comments are currently unavailable. Please check back soon.