Forver 21 to wide swath of workers: We're demoting you and cutting your benefits

[Crazedclerkthe2nd]

http://jezebel.com/leaked-letter-sho...cut-1154222208

The full text of the letter is at the link, but basically the chain is claiming that "due to business needs" they are "reclassifying" certain lower level employees from full time to part time.

The downgrade means these workers will lose their insurance benefits, paid time off AND make less money, as the letter clearly point out these newly "reclassified" employees will be eligible to work no more than 29.5 hours a week.

Coincidentally, the threshold in Obamacare at which point employers MUST provide health coverage to their employers is 30 hours.

I hate this shit. I REALLY hate this shit. I guarantee you must of these people are struggling AS IS and do this to them is really, cruddy. Forever 21 is currently being lambasted on its Facebook page for this action.

I can't help but be reminded of the time Circuit City "restructured" and let go a bunch of higher paid, knowledgeable staff in favor of lower wage, commission earning workers.

[mikoyan29]

If they were already paying benefits what does Obamacare have to do with any of this? it just seems like yet another case of trying to save money off the backs of the workers.

[crashhelmet]

If they were already paying benefits what does Obamacare have to do with any of this? it just seems like yet another case of trying to save money off the backs of the workers.

That's my thought on this. The only thing I can think of is the fear of premiums increasing, probably from propaganda circulating by the opposition of Obamacare.

[Andara Bledin]

Coincidentally, the threshold in Obamacare at which point employers MUST provide health coverage to their employers is 30 hours.

This has been the case for a long, long time; no need to bring the Affordable Care Act into it (I refuse to call it Obamacare; that term was devised for political wankery).

Walmart's been doing this for as far back as I can recall. It's pretty much the first step to keeping out of the red, since payroll is one of the highest costs of doing business and the easiest to manipulate up or down.

[Dakhur]

This is why the Australian system should be used. Ours is based on money earned, not hours worked. It has its faults, but it means that when someone is sick, they can see a doctor and get treatment.

As one of those middle-to-lower-middle-class people, the health system here is very appreciated. The chance to abuse it exists, of course, but everyone I've ever worked with has had the view that when you work, you pay tax, donate stuff and money to the Salvos and other help groups, and recognise that you give to society, because when you're unemployed you need other people to help you.

[Andara Bledin]

This is why the Australian system should be used.

The ACA is actually supposed to be a hybrid between national health care and privatized health care. If you can afford it, you get a higher tier. If you can't, you get subsidized so you at least have the basics.

It's just not active, yet.