Workplace Wellness Legal Issues

Al Lewis, co-founder and CEO of Quizzify, a company that educates employees about health and wellness, advised the following when proposed regulations for 2021 were withdrawn: The problem of paying for remote employee expenses, whether due to legal obligations or as a way to attract and retain talent in a tight job market, will not disappear as the pandemic recedes. Stephanie Spangler, Yale`s vice provost for health affairs and academic integrity, said in a statement: «We have developed the Health Expectations Program with our union partners and expert health and legal advice. Nevertheless, we believe it is better to settle a costly legal dispute and move forward. Our relationship with our employees is an important priority. Christine Roberts, a benefits attorney at Mullen & Henzell in Santa Barbara, California, wrote on her blog: «While they may not be fulfilled in their current form, the proposed regulations reflect the EEOC`s consideration of how an incentive must remain weak (answer: very small) to maintain the voluntary nature of a participatory wellness program. Therefore, employers cannot afford to ignore them. Among the alleged advantages and disadvantages of well-being at work, there is an undeniable feeling that the whole phenomenon is a game. From days spent at a desk to the repetitive movements of a warehouse preparer, employees are faced with a range of mental and physical conditions that can be related to the workplace. Long working hours are among the most widespread and harmful threats to employee health. Instead of offering concrete unconditional benefits such as shorter work hours or more frequent breaks, worker wellness programs effectively use employer power over workers to put additional pressure on them to take health measures themselves. Some programs, like Amazon`s «Amazen» program, which encourages employees to enter guided meditation booths to focus on their mental and emotional well-being amid 10-hour «megachanges,» feel downright dystopian. In a nutshell, it is necessary to read and understand the words about wellness programs.

This means that the well-being a company wants for its employees, more generally, reflects the extent to which that company complies with federal laws. For example: Under HIPAA, an employer cannot charge higher premiums to sick employees. In 2019, 88% of large employers (200 or more employees) providing health services also offered some sort of worker wellness program. Many, like Yale, offer financial incentives in the form of penalties or rewards such as reduced health premiums. Under the Affordable Care Act (ACA), employers can offer financial rewards of up to 30% of the cost of health premiums to incentivize employees to participate in wellness programs. In 2019, 20% of top employers offered up to $1,000 in incentives. Worker wellness programs vary widely, and many tie incentives solely to participation, offering free gym membership or a reward for attending health education seminars. However, the CBA also allows for non-discriminatory «health-related wellness programs» that require participants to achieve specific health goals. Yale introduced the program under a collective agreement with two of its unions, under which most unionized employees did not pay premiums for their health insurance. At the time the program was developed, the Equal Employment Opportunity Commission (EEOC) had approved withdrawal fees for employer-funded welfare programs. Understanding the complex web of laws governing wellness programs is essential to the design and management of an effective wellness program. The proposed guidance lists four factors for determining when a wellness program is part of a group health plan for the purposes of the ADA`s wellness rule: The lawsuit alleged that the Yale Health Expectations program violated federal law by requiring approximately 6,000 unionized Yale employees and their spouses to participate in its employee wellness program or pay weekly withdrawal fees.

By charging some employees $25 per week ($1,300 per year) if they did not participate in the wellness program — which required employees to undergo medical exams and share results with Yale`s health care providers — the lawsuit alleged that Yale violated the Americans with Disabilities Act (ADA) and the Genetic Information Nondiscrimination Act (GINA).