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Trader Joe's Drops Healthcare for Part-Timers

The company will stop covering employees who work less than 30 hours per week.

By Roberto Scalese

Trader Joe's, the grocer once lauded for providing health care coverage to its part-time workers, is about to push those employees off its plan.

The company will stop covering employees who work less than 30 hours per week.

The change is set for the start of 2014. Instead of insurance, workers instead will get a check for $500 in January.

Trader Joe's operates a store on South Oyster Bay Road in Plainview.

"Depending on income you may earn outside of Trader Joe's, we believe that with the $500 from Trader Joe's and the tax credits available under the [Affordable Care Act (ACA)], many of you should be able to obtain health care coverage at very little if any net cost to you," said Trader Joe CEO Dan Bane in a memo to workers obtained by the Huffington Post.

Companies with more than 50 employees are required to provide health insurance under Obamacare. Trader Joe's full-time staff will still get their company-based insurance.

Trader Joe's operates a store nearby on South Oyster Bay Road in Plainview.


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