The Department of Labor has brought a lawsuit against Macy's Inc. and subsidiaries of Anthem and Cigna over what it says is mismanagement of the tobacco cessation program in Macy's employee wellness plan.
Pension & Benefits Daily reports that in the suit, Acosta v. Macy's Inc., S.D. Ohio, No. 1:17-cv-00541, the DOL alleges that Macy's tobacco cessation program hasn't met the regulatory requirements to be a nondiscriminatory wellness program under the Employee Retirement Income Security Act since 2011.
The suit says that the program failed to provide a reasonable alternative standard to avoid a surcharge that ranged from $35–$45 for individuals who couldn't meet the program's standards. Also, since 2011, participants who joined the tobacco cessation program were still obliged to fork over a surcharge ranging from $35–$45 per month, with the money deposited into Macy's welfare benefits plan trust and used to pay medical claims and plan expenses.
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