Austin (KXAN) — With the proliferation of COVID-19 cases and hospitals across Texas full of virus-fighting patients, large companies are considering using new tools to encourage vaccination.
Delta was the first major employer to announce its adoption of this tactic. In August, Delta CEO Ed Bastian announced that unvaccinated employees enrolled in a healthcare plan would have to pay an additional $ 200 monthly health insurance.
Bastian said raising premiums for unvaccinated workers is necessary to offset the costs of covering medical costs for workers admitted to hospitals with COVID-19.
“The average hospitalization fee for COVID-19 was $ 50,000 per person for Delta Air Lines,” Bastian said in August.
In October, the US Department of Labor gave businesses a green light to impose similar insurance surcharges on unvaccinated individuals – with provisions. First, the surcharge could not exceed 30 percent of the worker’s total monthly premium.
“There are growing concerns and concerns about employers’ ability to provide affordable health insurance to all employees, but in reality, the cost impact and increased costs of that compensation are personally based at this point. It’s getting bigger and bigger. Health insurance claims and costs are higher because we choose not to get vaccinated, “said the principal of the Kansas-based Jackson Lewis law firm. Brian Johnston said.
Joseph Frazalotti, head of the New Jersey-based Jackson Lewis law firm, has been trained in employee benefits, and this new federal guidance will allow workers to be unvaccinated by out-of-pocket insurance employers. You should expect to impose an additional fee on your employees.
“As the number of questions increases, so does we,” Lazarotti said. “This idea of needing a booster and what does it mean to be fully vaccinated? It can affect these programs,” said Lazzarotti.
The Ministry of Labor likened the extra charge for unvaccinated employees to a “smoke tax” on workers who use cigarettes and arc pens. The Ministry of Labor states that through personal health plans, workers who choose not to smoke or who choose to be vaccinated with COVID-19 at a lower premium can be “rewarded”. increase.
Federal agencies warn that employers need to decide whether employees will be vaccinated and give them the opportunity to avoid additional charges at least once a year. Under federal regulations, employers must also provide reasonable alternative standards to avoid additional charges for employees who are unable to be vaccinated due to their medical condition.
“If you have a medical condition that prevents vaccination, it’s a completely different situation,” Johnston said. “If you are in such a situation, go to your employer and say this is my situation, and you can’t vaccinate for these reasons. They are in that situation. You have a duty to respond to you on the basis of it. That is your right. “