Notice of Coverage

Health Insurance Marketplace Coverage Options

Employers subject to the Fair Labor Standards Act (FLSA) must provide current employees and new hires with timely, written information on the public Health Insurance Marketplace (Covered California in California and Nevada Health Link in Nevada). Both employers offering coverage and those not offering coverage need to distribute this information to employees. New hires, whether full-time, part-time, or seasonal, should receive a notice within 14 days of their hire date.

The Department of Labor offers additional information on health insurance coverage option notices for employers.

View frequently asked questions and their answers.

Generally, the FLSA applies to employers that employ one or more employees engaging in or producing goods for interstate commerce. For most firms, a test of not less than $500,000 in annual dollar volume of business applies.  

The FLSA also specifically covers the following entities: hospitals; institutions primarily engaged in the care of the sick, the aged, mentally ill, or disabled who reside on the premises; schools for children who are mentally or physically disabled or gifted; preschools, elementary and secondary schools, and institutions of higher education; and federal, state, and local government agencies.  For further assistance with determining whether or not a specific employer must comply with FLSA, please refer to the Department of Labor’s Fair Labor Standards Act Advisor.

Some small employers may not be subject to FLSA, because they are not involved in interstate commerce and do not meet the test of not less than $500,000 in annual dollar volume of business (exclusive of taxes at the retail level). It is important to remember IRS common ownership rules apply. Therefore, an employer with several small businesses may be one "enterprise" that is subject to FLSA.