FreshStaff
Staffing Glossary

Applicable Large Employer (ALE)

An employer with 50+ full-time-equivalent employees, triggering the ACA's employer mandate to offer health coverage or pay a penalty.

Also called: ACA large employer, 50 full-time employees ACA

Staffing agencies routinely cross the ALE threshold well before a typical small business would, because every worker on assignment — temp or otherwise — usually counts toward the headcount. That makes ACA tracking a compliance requirement most agencies hit earlier than they expect.

ALE status is calculated using full-time-equivalent hours across the whole prior calendar year, not just a headcount snapshot, which is why seasonal spikes can push an agency over the line even if average staffing is lower.

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