A New Jersey-based health provider is being sued over its practice of charging tobacco-using workers an extra $100 a month for health-care coverage.
RWJBarnabas Health takes the fee out of tobacco-users paychecks but doesn’t provide employees a reasonable alternative to waive that fee in violation of the Employee Retirement Income Security Act, according to a Tuesday complaint filed to the US District Court for the District of New Jersey.
“Tobacco surcharges have become more prevalent in recent years but to be lawful plans must make available a compliant ‘wellness program’ that provides ...