This Just In ...
Future Uncertain for Wellness Program Incentive Rules
The AARP successfully has challenged EEOC rules that allow employers to implement incentives for participating in workplace wellness programs — incentives worth up to 30 percent of the cost of health insurance. Employees who cannot participate must reveal personal health information explaining why they won’t participate. AARP’s argument is that when employees are required to disclose their protected information, they are not really in a “voluntary” program, which is inconsistent with the “voluntary” requirements of the ADA (Americans with Disabilities Act) and GINA (Genetic Information Nondiscrimination Act).
The U.S. District Court for the District of Columbia ruled that the U.S. Equal Employment Opportunity Commission (EEOC) did not properly justify its rules regarding what is a permissible incentive under the ADA and GINA.
However, the court said it would be too disruptive to businesses that currently follow the regulations to immediately create new wellness programs. The court instead gave the EEOC until Jan. 1, 2019 to redraft the rules; after which they must vacate the current regulations.
EEOC representatives said they may take a “wait and see” approach to forming new corporate wellness rules since they don’t agree the court had the power to force the agency to comply with any deadline or direct the agency to adopt any new rules.
Employers still can legally follow the rules this year, but some attorneys recommend employers closely examine their programs in light of the decision and prepare to make possible changes.
This Just In ... Future Uncertain for Wellness Program Incentive Rules
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