The ACA Marketplace Notice
Employers covered by the Fair Labor Standards Act must give every new hire a notice about the Health Insurance Marketplace - no exceptions for businesses that offer coverage. There is no federal fine for missing it, but the obligation itself has never been repealed.
What the notice is
A DOL model notice explaining that a Marketplace exists where individuals can compare coverage, that premiums may be subsidized depending on income and employer offer, and that employer coverage - if offered and affordable - affects subsidy eligibility. Two model versions exist: one for employers offering coverage, one for those not.
Who must issue it
Employers subject to FLSA - broadly, those with employees engaged in interstate commerce and annual dollar volume above the threshold - provide it to each employee hired after the requirement took effect, regardless of full-time status or enrollment in your plan.
| Situation | Notice owed? |
|---|---|
| New full-time hire | Yes |
| New part-time hire | Yes |
| Existing staff hired before the rule | No, though issuing anyway is harmless |
| Offering rich coverage | Yes - use the "offering coverage" version |
The penalty myth
Circulating templates warn of a hundred-dollar fine per day. No such penalty attaches to this notice - enforcement is essentially nonexistent. That said, issuing it costs nothing, closes a compliance checkbox, and avoids relying on myths in either direction.
If you run through a PEO, onboarding flows usually include it automatically; confirm rather than assume. Related reading: ACA obligations under a PEO and onboarding steps.
Next
Frequently asked
Where is the model notice?
On the Department of Labor website - search for the Marketplace coverage model notice; two versions exist depending on whether you offer coverage.
Do rehires get another notice?
Not required if they received one previously, though there is no harm in reissuing.
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