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Article: EEOC allows coordination of retiree health benefits.(HR News)(Equal Employment Opportunity Commission)
- Article from:
- HRMagazine
- Article date:
- February 1, 2008
- Author:
CopyrightCOPYRIGHT 2008 Society for Human Resource Management. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)
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After years of legal wrangling over whether employers can coordinate retiree health benefits with Medicare coverage, the Equal Employment Opportunity Commission (EEOC) on Dec. 26, 2007, issued a final set of rules that provide health plan sponsors exemptions from the Age Discrimination in Employment Act (ADEA) to allow such coordination.
EEOC officials said the rules were a response to a decision made by the 3rd U.S. Circuit Court of Appeals in 2000. In Erie County Retirees Association vs. County of Erie, the court found that the ADEA requires that health benefits offered to Medicare-eligible retirees be the same, or cost employers the same, as health benefits ...