The Internal Revenue Service (IRS) has released Rev. Proc. 2024-40, which contains inflation-adjusted items for 2025 in over 60 provisions of the Internal Revenue Code. These changes will impact taxpayers filing tax returns in 2026. The following changes are of particular importance to plan sponsors and employers. Health Flexible Spending Cafeteria Plans RP 2024-40 increases the dollar limitation for Read More
Healthcare and Employee Benefits Issues at Forefront in Upcoming Presidential Election
The outcome of the current presidential race, along with control of both houses of Congress, will have a significant impact on many healthcare and employee benefits issues, at least for the next four years. These issues include the Affordable Care Act (ACA), Medicare, Medicaid, prescription drug pricing, and transparency in healthcare costs, among other issues. No matter which political party controls the White Read More
DOL Orders Remote Workers Back to the Office Despite Union Pushback
The National Council of Field Labor Locals (NCFLL), the DOL’s largest employee union, which represents about 7,500 employees, has announced that the U.S. Department of Labor (DOL) is requiring remote workers to return to the office as of December 1, 2024. In November 2023, the DOL issued a return-to-office mandate for remote workers beginning in January 2024. NCFLL challenged the requirement, which DOL deferred until Read More
IRS Issues Guidance on Treatment of Inadvertent Benefits Overpayments
Section 301(b) of Division T of the SECURE 2.0 Act added provisions to the Internal Revenue Code (IRC) to address the requirements of inadvertent overpayments and their treatment as eligible rollover distributions. The Internal Revenue Service (IRS) issued Notice 2024-77 on October 15, 2024, providing important guidance and clarification on treating inadvertent benefits overpayments. The Notice also contains guidance Read More
IRS Relief for Disaster Victims Now Includes Those Affected by Hurricane Milton
The Internal Revenue Service (IRS) offers administrative tax relief in various forms to victims living in areas that the Federal Emergency Management Agency (FEMA) or the White House has declared a major disaster area. In August, the IRS extended relief to those affected by Tropical Storm Debby and in September to those affected by Hurricane Helene. An IRS announcement dated October 11, 2024, states that the agency Read More
9th Circuit Rules Employers May Contest FMLA Certification Without Seeking Additional Medical Opinions
The U.S. Court of Appeals for the Ninth Circuit recently joined four other circuit courts of appeals in ruling that an employer need not seek second or third medical opinions before contesting a doctor’s certification of a serious health condition under the Family and Medical Leave Act (FMLA). The case is Perez v. Barrick Goldstrike Mines Inc., 9th Circuit, No. 23-15043 (June 28, 2024), petition for panel rehearing Read More
Employers May Not Require Permanent Telework as a Reasonable Accommodation
The U.S. Court of Appeals for the D.C. Circuit recently ruled that an employer may not require an employee to telework from home as a reasonable accommodation for their disability when the employee would rather work in person. The case is Ali v. Regan, D.C. Cir., No. 22-5124 (Aug. 9, 2024). The plaintiff worked as an economist for the U.S. Environmental Protection Agency (EPA). He suffered from severe allergies, Read More
Court Confirms Surprise Billing IDR Award to Air Ambulance Provider
A Florida federal district court has upheld an independent dispute resolution (IDR) award to an air ambulance provider under the No Surprises Act (NSA) that Congress enacted as part of the Consolidated Appropriations Act, 2021. The air ambulance provider transported a patient from the Dominican Republic to Florida. Thereafter, the provider sought reimbursement from a company licensed to cover travel health insurance Read More
2nd Circ. Considers New Trial Request in Yale Retirement Fee Battle
The U.S. Court of Appeals for the Second Circuit zeroed in on potential defects in jury instructions as it heard oral arguments in an appeal of a class action lawsuit against Yale University, signaling that it may order a new trial. Employees alleged that Yale violated its fiduciary duty under ERISA by mismanaging their retirement plan. Although the jury found that Yale had violated its fiduciary duty and caused a Read More
NLRB Issues Statement on Increased Worker Organizing Rates
Julie Su, Acting Director of the National Labor Relations Board (NLRB), recently announced that union petitions in American workplaces have more than doubled in fiscal year (FY) 2024 as compared to FY 2021. The number of petitions is up 27% in FY 2024, when the NLRB received 3,286 petitions, from FY 2023, when the NLRB received 2,593 petitions. Su pointed to the failed economic policies of the past as the impetus Read More
