Legal Seminar: Responsible Payment of Employee Health Care Expenses

How to Navigate New ‘Responsible Payment of Employee Health Care Expenses’

The Maryland General Assembly’s latest employer mandate raises more questions than answers. Senate Bill 433, mandates that any bidder, contractor, or subcontractor on a State-funded project must demonstrate the payment of employee health care expenses. This new law is just the latest in a series of mandates placed upon the prime contractor where they are ultimately responsible for documenting the pay and benefits and worker classification for any and all contractors on the jobsite.

Among the new law’s many new provisions, the prime contractor must document the following:

• The employer pays aggregate employee health care expenses of at least 5% of the wages paid by the employer
   Or
• The employer pays 50% or more of the required premium necessary to obtain coverage by a credible health insurance plan.

Gregory Currey of Wright Constable and Skeen will lead us through the new law’s many compliance issues, possible challenges and its impact on bid protests.

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