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IRS Issues Guidance on COVID-19 Expenses for HDHPs and Clarifies HSA Rules on Preventive Care
Due to the end of the COVID-19 public health and national emergencies, the Internal Revenue Service (IRS) has issued guidance to high-deductible health plans (HDHPs) in the form of Notice 2023-37. This notice provides guidance on COVID-19 expenses for and clarifies items and services related to preventive care under health savings account (HSA) eligibility rules. Under its 2020 guidance, the IRS allowed HDHPs to Read More
USCIS Receives Record-Setting Number H-1B Visa Registrations for FFY 2024
U.S. Citizenship and Immigration Services (USCIS) has received 758,994 H-1B cap-subject visa registrations for FY 2024, the highest number ever received. In response, USCIS selected 110,791 registrations to meet the annual H-1B visa quota of 85,000, equivalent to a newly low selection rate of 14.6%. Selected employers had until June 30, 2023, to submit their full H-1B visa petitions for adjudication. Although the Read More
Sixth Circuit Finds Benefits Committee Improperly Delegated Eligibility Determination, Penalizes ERISA Plan Administrator for Failure to Timely Provide Plan Documents
An ERISA-governed employee welfare benefit plan participant filed a request for extended long-term disability benefits. She received a denial of her request from the employer’s benefits department. The participant sued the plan and the plan administrator, arguing that she was entitled to extended benefits. She also claimed the plan failed to provide her with timely copies of the plan and other documents that she Read More
IRS Office of Chief Counsel Issues Memo Addressing Tax Treatment of Employer-Funded, Insured, Fixed-Indemnity Wellness Policy
The IRS Office of Chief Counsel recently issued Chief Counsel Advice (CCA) 202323006, which relates to the tax treatment of an employer-funded, insured, fixed-indemnity wellness policy. Although CCAs are not usable or citable as precedent, they provide insight into IRS policy and guidance for employers and wellness plan sponsors, particularly for audits. The policy the Chief Counsel addressed in the memo provided Read More
Federal Court Dismisses DOJ Antitrust Case Targeting No-Poach Agreements
A federal district court in Connecticut dismissed U.S. v. Patel, a U.S. Department of Justice (DOJ)’s antitrust case involving a jet-engine manufacturer with no-poach agreements concerning recruiting and hiring aerospace engineers with several firms that competed for its projects. Employers and HR professionals are hailing the decision as reassurance that the federal government will not apply so broadly the antitrust Read More
Bipartisan Telehealth Bill for Workers Moves Through Congress
The Telehealth Benefit Expansion for Workers Act of 2023 continues to move through Congress with bipartisan support. The bill supports continued access to telehealth services beyond the COVID-19 pandemic, allowing employers to offer standalone telehealth coverage for workers, including part-time, seasonal, and contract workers. The bill aims to increase access to mental health services, remedy provider shortages, Read More
CA Court Allows Disability-Based Associational Discrimination Claim to Proceed to Trial
A California state appeals court recently held that a worker fired after taking emergency time off to care for his disabled father could proceed on his claim for disability-based associational discrimination under the California Fair Employment and Housing Act (FEHA). The court below had dismissed his claim before trial. The case is Leyva v. Motorcar Parts of America, Calif. Ct. App., No. B307525 (April 20, Read More
Employer Advocacy Group Requests Guidance from IRS and Treasury on Implementing SECURE 2.0
The ERISA Industry Committee (ERIC), an employer advocacy group, has requested guidance from the Internal Revenue Service (IRS) and the U.S. Department of Treasury for implementing SECURE 2.0. In a recent letter, ERIC explained that the group was asking for guidance and regulations designed to increase efficiency, decrease burdensome plan administration, and ultimately, create better benefits for plan Read More
Fifth Circuit Grants Stay of ACA Preventive Health Services Mandate During Braidwood Appeal
The U.S. Court of Appeals for the Fifth Circuit has stayed the trial court’s ruling in Braidwood v. Becerra, pending appeal by the U.S. government, by the parties' agreement. Braidwood concerns the constitutionality of the preventive health services mandate of the Affordable Care Act (ACA). More specifically, the case addresses the legality of the insurance coverage required by the U.S. Preventive Services Task Force Read More
