WELLNESS PROGRAM PRIMER
Many companies that provide health insurance offer wellness programs that encourage healthier lifestyles. To participate in these wellness programs, employees may be required to undergo health risk assessments such as body weight and cholesterol, blood glucose, and blood pressure.
- Often programs offer employees financial or other incentives to encourage participation.
- Such incentives have typically increased employee participation levels.
EEOC’S PROPOSED RULE
The U.S. Equal Employment Opportunity Commission (EEOC) has issued a proposed rule to clarify the use of financial incentives in worksite wellness programs. Specifically, the clarification relates to certain provisions of the American with Disabilities Act (ADA).
Although clarification may be needed, the EEOC proposed rule is not employer-friendly.
The ADA currently limits the circumstances in which employers may ask employees about their health or require them to undergo medical examinations.
- It allows such inquiries and exams if they are voluntary.
- Workers, however, can’t be required to participate in such programs, and they can’t be denied health coverage or disciplined if they refuse to participate.
The proposed clarification rule:
1. Reduces the amount of financial incentives permitted.
A reduction has the potential to reduce employee participation, and in turn reduce the
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advantages of a wellness program for both by the employer and its employees.
2. Requires an employer to provide a Wellness Program Notice to its employees that contains information as specified by the EEOC.
The EEOC has published a Fact Sheet for Small Businesses. Below is a link to the Fact Sheet.
RECOMMENDED EMPLOYER ACTION
Urge any professional association to which you belong to oppose the changes that rollback the amount of financial incentives allowed:
• For example, the amount that an employer can offer as part of a tobacco use cessation incentive
The rule public notice and comment period ends on June 19, 2015.
If your organization needs help with this, Trinity’s Team of Consultants can provide assistance expertly and affordably.
- For more information, e mail Trinity at info@TrinityHR.net or visit our website at www.TrinityHR.net.
You have questions…Trinity has answers.