Survey Reveals Impacts of Affordable Care Act on CFO Business Strategies

Secretary Kathleen Sebelius and Mayor Michael Nutter at an ACA event in Philadelphia last year

By Tanvi Acharya, Associate Editor forUSDR

A Tatum Survey finds that companies report increased spending, but minimal workforce changes as a result of ACA implications. It also provided insights into the impact of the Affordable Care Act (ACA) on business costs and staffingmodels.


Although this legislation has led to increased healthcare benefit costs, the survey found that the widely held belief that ACA would be an across-the-board headcount game changer did not hold true. The findings reveal some interesting statistics about how CFOs are contending with ACAimplementation.

When asked if the ACA has altered their company’s staffing model and approach to headcount management, only 18 percent of CFOs responded that their companies have done so as a direct result of ACA implementation. The majority, 65 percent of respondents, state that they have not altered their approach at thistime.

Overall, less than half of all respondents (43 percent) reported that employee out-of-pocket expenses are up, and just one-third (33 percent) said employee contribution percentages areincreasing.

Additionally, respondents were asked about their overall healthcare cost management strategies, how they would describe them today and where they expect to be in three years after they’ve had more time. The responses show that insured arrangements are the most prevalent, with exchanges being the least utilized; with a sizeable shift anticipated with insured arrangements dropping and use of exchangesincreasing.

“The Survey of Business Conditions gives us an unprecedented glimpse into the minds of senior finance leaders to see how market conditions impact their companies and their strategies for the future,” said Suzanne Donner, Managing Partner, Knowledge Management forTatum.

“The results from our latest survey may be surprising to some, showing that the vast majority of companies are not adjusting their staffing models in light of ACA implementation,” saidDonner.

The survey examines key indicators such as hiring and capital expenditures, looking at both the past 30 days and expectations for the upcoming 60 days. The surveyca

Tatum has made its Survey of Business Conditions, Second Quarter 2014 available for download at:

All opinions expressed on USDR are those of the author and not necessarily those of US Daily Review.

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