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What if the number of hours that an employee works in San Francisco changes over the quarter?
An employee who regularly works eight or more hours per week in San Francisco is covered by the HCSO. For example: an employee who regularly works one eight-hour day per week for the month of January is a covered employee for that month, even if she does not work during the last two months of the quarter.
For employees whose work hours in San Francisco fluctuate, the employer may average the employee’s hours over the 13 weeks in the quarter. Covered Employers are only required to make Health Care Expenditures during those quarters in which the employee works an average of eight or more hours per week in San Francisco.
For an employee who is terminated before the end of the quarter, the employer would calculate the average by dividing the total number of hours worked during that quarter by the number of weeks employed during that quarter.
Note that “hours worked” is relevant to determining whether an employee is covered by the HCSO, but “hours payable” is the figure used to calculate the minimum expenditure for each Covered Employee.
There may be a more recent answer to this question. Contact Claremont for an update.