Trader Joe’s, one the United State’s leading grocery retailers announced in an internal memo that it will be dropping and/or reducing health care coverage for its part time workers starting at 30 hours a week or less. This comes after CEO Dan Bane agreed to cut workers a small supplemental check in an amount of $500.00 to help them find new coverage under the Affordable Care Act (Obamacare) in 2014.
Trader Joe’s executives argue that workers can “get a better deal [through the exchanges]” a senior spokesperson was quoted.
Trader Joe’s joins a long list of private and public companies that have reduced or cancelled health care coverage for employees in anticipation of the 2014 implementation of the Affordable Care Act. The long list includes Home Depot, and Walgreen. It is not clear if the changes in Health Care coverage is restricted to the retail sector.