(CNN) - Following in the footsteps of several retail peers, Target has announced it will no longer offer health insurance to part-time workers. Instead, it will encourage them to sign up for Obamacare.
A Target spokeswoman said the company is making the change because fewer than 10 percent of its total workforce of 361,000 participates in the part-time plan.
Some part-timers can find cheaper coverage on the Obamacare exchanges.
She said offering part-timers insurance could actually disqualify many from the newly available government subsidies that could reduce their overall health insurance costs.
The private exchanges under Obamacare offer premium subsidies for individuals making less than $46,000 a year and families of four earning under $94,200.
That has led some employers to re-evaluate their coverage.
Home Depot and Trader Joe's announced last year that they would stop offering coverage to part-timers.
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