Government OKs Financial Incentives, Penalties For Workplace Wellness Programs
In a victory for business groups, federal regulators proposed new rules for workplace wellness programs that would allow employers to use significant financial incentives to push workers to participate. The Equal Employment Opportunity Commission also proposed safeguards for employees, but consumer advocates say they don't go far enough.
Reuters:
Obama Administration To Remove Hurdle To 'Wellness' Penalties
In what would be a significant and hard-fought victory for U.S. businesses, the Obama administration on Thursday said it will propose new rules for workplace wellness programs that would treat as voluntary programs that penalize workers thousands of dollars for not participating. (Begley, 4/16)
The Associated Press:
Financial Incentives OK'd For Workplace Wellness Programs
In a victory for business, federal regulators said Thursday that employers can continue to use financial penalties and rewards to nudge staff to participate in fast-growing workplace wellness programs. But the Equal Employment Opportunity Commission — which enforces laws against discrimination — also proposed some safeguards for employees. Those include limits on the size of financial incentives, confidentiality of employee medical information and prohibitions against firing workers who decline to participate or denying them access to the company health plan. (Alonso-Zaldivar, 4/16)
The Wall Street Journal:
EEOC Issues Proposal For Wellness Programs
The Equal Employment Opportunity Commission on Thursday released a long-awaited preliminary rule to help companies design their employee-wellness programs. The agency will accept public comments until June 19, and then issue a final regulation. The EEOC suggests in its proposal that employers can offer incentives — or, conversely, penalties — amounting to no more than 30% of the total cost of an employee-only health plan to participate in their wellness plans. If a worker is on a family plan that costs $12,000, for example, but the individual plan costs $6,000, the incentives or penalties must max out at $1,800. (Weber, 4/16)
Kaiser Health News:
EEOC Proposal On Wellness Program Earns Business Praise, Consumer Concerns
Business groups praised a proposed new rule from the Equal Employment Opportunity Commission clarifying how employers can construct wellness programs, but consumers advocates said the new policy could harm workers. The EEOC published the long-awaited rule Thursday. (Andrews, 4/17)
Politico Pro:
EEOC Wellness Rule Raises More Questions
The EEOC set out to clarify when participation in a wellness program might be deemed “voluntary” under the Americans with Disabilities Act. But the regulation it proposed Thursday raises more questions than it answers. (Levine, 4/16)
