A revision to San Francisco’s Health Care Security Ordinance increases the minimum amounts employers must spend on health care benefits effective January 1, 2016.
The City of San Francisco increased the rates employers must pay toward their workers’ health care benefits under the San Francisco Health Care Security Ordinance (HCSO). Beginning January 1, 2016, all covered employers must:
Spend a minimum amount on health care benefits for each of their employees covered by the ordinance:
- Employers with 20-99 employees must spend at least $1.68 for each hour worked by each covered employee who works eight or more hours per week in San Francisco and has been employed for more than 90 days.
- Employers with 100+ employees must spend at least $2.53 for each hour worked by each covered employee who works eight or more hours per week in San Francisco and has been employed for more than 90 days.
The 2016 HCSO rates were updated on the revised notice.
Which Employers are Covered by the San Francisco Health Care Security Ordinance?
Employers who are covered by the HCSO for any calendar quarter if they:
- Employ one or more workers within the geographic boundaries of the City and County of San Francisco.
- Are required to obtain a valid San Francisco business registration certificate pursuant to Article 12 of the Business and Tax Regulations Code.
- Are either a for-profit business with 20 or more persons performing work (even outside of San Francisco) or a nonprofit organization with 50 or more persons performing work (even outside of San Francisco).
San Francisco Health Care Security Ordinance Posting Requirements
San Francisco employers with 20 or more employees and nonprofit organizations with 50 or more employees must display the revised San Francisco Health Care Security Ordinance notice in English, Spanish, and Chinese even if the location has only one employee. If any other language is spoken by at least five percent of the employees at a workplace or job site, the employer is responsible for translating and posting in that language; however, the back of the Notice includes translations into Tagalog, Russian, and Vietnamese.
Every Covered Employer must post the Official OLSE Notice in a conspicuous place at any workplace or job. Additionally, employers must maintain records sufficient to establish compliance with the employer spending requirement and submit an Annual Reporting Form to the OLSE by April 30th of each year.