Dive summary:

• In reaction to the Affordable Care Act, some contractors are trying to shrink their workforces by making contractors out of people who used to be full-time employees.
• The act, known far and wide as Obamacare, gives tax breaks to smaller companies for healthcare costs they incur and penalizes large companies that do not offer it.
• Associated General Contractors is offering its members an article by Wisconsin ACA expert and attorney Gesina M. Seiler that says the contractor move runs a significant risk of problems with the IRS.

From the article:

There are several provisions in the ACA that arguably incentivize an employer to reduce its number of employees. The Act provides tax credits to small employers. ...