The EEOC recently sued Honeywell International, Inc., claiming that Honeywell’s wellness program violated the Americans with Disabilities Act (ADA) and the Genetic Information Nondiscrimination Act (GINA). Although the EEOC sued two other employers for wellness program violations before it sued Honeywell, this is the first case where the agency seems to be challenging a fairly
Understanding Employee Benefits and key developments in the employee benefits field and items of interest to our clients. MORE
Health Plan
IRS ANNOUNCES 2015 BENEFIT PLAN LIMITS
The Internal Revenue Service has released the 2015 cost of living adjustments affecting dollar limits on benefits and contributions under qualified retirement plans. http://www.irs.gov/uac/Newsroom/IRS-Announces-2015-Pension-Plan-Limitations;-Taxpayers-May-Contribute-up-to-$18,000-to-their-401(k)-plans-in-2015 The following chart summarizes 2015 retirement plan limits and other benefit plan limits. The 2014 limits are also listed for reference purposes.
2014 | 2015 | |
Elective Deferral Limit 401(k), 403(b), 457(b) |
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Penalty for Employer Missed COBRA Notice Affirmed
Almost two years ago I blogged about a federal district court decision from Alabama that imposed a penalty of $37,950 ($75 a day) on an employer that failed to provide a COBRA notice for a dental plan to a former employee. With attorneys’ fees and costs, the employer owed a total of $83,063.45. That case…
Failure to Cover Applied Behavior Analysis for Autism Spectrum Disorder Violates Federal Mental Health Parity Law
Parents have searched for effective therapies for children with autism spectrum disorder. One therapy that has shown promise, at least for some children, is applied behavior analysis (“ABA”), which is an intensive behavioral interaction health service. However, ABA is expensive, in some cases requiring many hours of therapy weekly. Insurance carriers and self-funded health plans…
Oral COBRA Notice OK?
In a recent District Court opinion, a judge dismissed a COBRA claim against an employer based on the oral notice the employer gave a former employee of her right to continue coverage under COBRA. The court said that the statute does not specify the form the notice must take and the employer’s oral notification…
Filed Your 2013 Health and Welfare Plan 5500s? Did you Include Your M-1 Attachments?
A provision of the Affordable Care Act of 2010 (ACA) included additional reporting requirements and greater U.S. Department of Labor (DOL) oversight of Multiple Employer Welfare Arrangements (MEWAs). The DOL’s Employee Benefits Security Administration (EBSA) issued final rules earlier in 2014 which clarified the requirements for initial and annual Form M-1 Reports for MEWAs and…
Welfare Benefit Plan Might not be Required to Cover Same Sex Spouses
Much has been written about the impact of the Supreme Court’s decision last term declaring unconstitutional the provision of the Defense of Marriage Act (DOMA) that required federal law not to recognize same sex marriages. Since then, more states have recognized same sex marriages either by court order or legislation. The IRS has also issued…
Can a Failure to Hire Violate ERISA?
A recent decision of the federal district court for the southern district of Ohio raises interesting questions under Employee Retirement Income Security Act of 1974 (ERISA) that might also affect employer liability under the Affordable Care Act (ACA). The case involved a challenge by a former employee who was originally hired as a part-time pharmacist.…
ACA Pay or Play: Is Your Dependent Coverage Compliant?
Now that the IRS has issued final regulations under Section 4980H, the so-called “pay or play” provision of the Affordable Care Act, employers are deciding how to determine whether employees are full-time (30 hours or more a week on average), whether the coverage the employer offers is affordable (generally no more than 9½% of the …
DOL Has Helpful ERISA Self-Compliance Tool
The Department of Labor recently issued the Form M-1, an annual report that must be filed by Multiple Employer Welfare Arrangements (MEWAs). In general, a MEWA is an arrangement that offers health or other welfare benefits to employees of more than one employer. Employers that are part of a controlled group of businesses are …