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Elizabeth Stawicki
St. Paul, Minn.

Target to drop health insurance for part-time workers

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Target will stop providing health coverage to its part-time workers on April 1.

In a blog post today, Target Human Resources executive vice president Jodee Kozlak wrote that Target will discontinue part-time health insurance coverage. She said the launch of health insurance marketplaces provide new options for health care coverage.

Kozlak wrote that fewer than 36,000 employees, or less than 10 percent of the company's workforce, are enrolled in the plan for part-timers.

Company officials also say offering part-time workers insurance could make many of them ineligible for federal subsidies that could reduce their cost of coverage.

Target will give its U.S. employees who are losing coverage a $500 cash payment.