White House announces delay on 'Obamacare' provision


(CBS) - The White House announced overnight that businesses are getting a one-year reprieve from a provision of the president's healthcare reform law.

Businesses with more than 50 people will now have another year before they are required to provide health insurance to their employees.

"When you're implementing a program this large, there will be some glitches. There are going to be some hiccups." said the president, last month.

In addition to moving the mandate deadline back to January 2015, the White House says it will work to reduce the application from a bulky 21 pages down to three.

It will also work with smaller businesses which had threatened layoffs or reduced employee hours in order to fall under the cutoff of 50 workers.

For Congressional Republicans who have voted dozens of times to repeal the president's healthcare reform law, the White House might have just made the 4th of July feel more like Christmas.

Speaker of the House John Boehner issued a statement declaring: "This announcement means even the Obama Administration knows the 'train wreck' will only get worse. And, it underscores the need to repeal the law and replace it with effective, patient-centered reforms."

And, Senator Orrin Hatch jumped on the fact that the delay only affects businesses. Individuals will still be required to have health insurance beginning in January 2014 or they will be subject to tax penalties.

He said: "That the Obama Administration is putting off this job killing requirement on employers, but not individuals and families, shows how deeply flawed the president's signature domestic policy achievement is."

Pro-business groups such as the U.S. Chamber of Commerce called the decision a "jubilant surprise" and said the move would save jobs and help the economy.

Congress is home for the July 4th holiday right now.


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