The U.S. Committee for Refugees and Immigrants Inc. and a former case manager have advised a Florida federal court that they have settled their pending court case. Kristina Collado-Fernandez had accused the nonprofit organization of discrimination and retaliation after she asked to work from home during the COVID-19 pandemic to care for her autistic son. The parties expect to file a formal settlement and request Read More
Costco Settles COBRA Notice Language Suit for $750,000, Admits No Liability
Costco Wholesale Corp. and plaintiff John G. Baja asked a Florida federal district court to approve their $750,000 settlement in a proposed class-action lawsuit, challenging the retail giant’s allegedly deficient COBRA notices. Baja claimed that the defective notices about Costco’s continuing health care options, upon the occurrence of qualifying events, deterred him and thousands of others from choosing the Read More
Federal Agencies Respond to Federal Court Decision Invalidating Portions of IDR Regulations in No Surprises Act Concerning Out-of-Network Provider Payments
In Texas Med. Assoc. v. HHS, 2022 WL 542879 (E.D. Tex. 2022), the court upheld a challenge by health care providers to portions of the interim final regulations implementing the No Surprises Act. Congress passed the No Surprises Act in 2021 as part of the Consolidated Appropriations Act, to apply to all plan years beginning on or after January 1, 2022. The regulations at issue are related to the independent dispute Read More
Bimbo Bakeries Strikes Deal to End DOL Sex Bias Probe
The U.S. Department of Labor (DOL) has announced that Bimbo Bakeries will pay $131,216 in back pay and interest to 134 female applicants as part of a hiring discrimination agreement with the Office of Federal Contract Compliance Programs (OFCCP). The OFCCP enforces anti-discrimination laws against federal contractors and sub-contractors. The alleged hiring discrimination occurred at a Bimbo Bakeries USA Inc. Read More
Kroger Demands Dismissal of Proposed ERISA Class Action Over Record-Keeping Fees
Kroger asked an Ohio federal court to dismiss a proposed class-action lawsuit in which workers claim that they paid excessive, unreasonable, and undisclosed annual record-keeping fees to participate in the employer’s retirement savings plan. According to Kroger, employees paid reasonable yearly fees in line with federal law and received annual fee disclosures stating the yearly expense ratios. Kroger employee Read More
Jiffy Lube Files Notice of Agreement to Settle Class Action on Employee No-Poach Policy
Jiffy Lube and a class of employees have filed their notice of agreement to settle a class action over the employer’s no-poach policy as to its employees. The parties intend to present a formal settlement agreement and a motion for the court to approve the settlement agreement within 30 to 45 days. The no-poach policy prohibits franchisees from hiring employees who worked at another Jiffy Lube location. The Read More
Employer’s Misleading SPD Breached Its ERISA Fiduciary Duty
Johnson v. Ballad Health, 2022 WL 214488 (E.D. Tenn. 2022) Johnson's employer automatically enrolled her in an employer-paid long-term disability plan as a benefit of her employment. Johnson also opted to enroll in the plan's employee-paid "buy-up" benefit feature. The employer's summary plan description (SPD) described the employee-paid "buy-up" benefit as “additional coverage” of 60%, while the employee’s Read More
Home Depot Says $140M ERISA Class Action Should Be Axed
The Home Depot Inc. argued that a Georgia federal district court should dismiss the pending $140 million ERISA class action as per its summary judgment motion, as a better 401(k) plan with lower fees for its employees does not exist. The Home Depot 401(k) plan is the largest of its kind, holding about $9 billion in investments for hundreds of thousands in employees. In response, plan participants argued that they Read More
AZ Workers Vote in 3rd American Unionized Starbucks Store
Workers at the Mesa, AZ Starbucks, located at Powers and Baseline Roads, overwhelmingly voted to unionize, choosing Workers United, which is affiliated with the Service Employees International Union, as its collective bargaining representative. The 25-3 vote in favor of unionizing came after Starbucks’ objections delayed an initial vote in February. The Mesa location is the third unionized Starbucks store in the Read More
COVID-19 Test Lab Sues Plans and TPAs for Failing to Cover Cost of Tests as Per FFCRA and CARES Act
The Families First Coronavirus Response Act (FFCRA) and the Coronavirus Act, Relief, and Economic Security Act (CARES) Act and related guidance require group health plans and insurers to cover the costs of COVID-19 diagnostic testing without cost-sharing, prior authorization, or other medical management requirements. If plans do not negotiate a rate for the testing, they must pay for the testing at the cash rate Read More
