On December 26, the EEOC announced a new rule that makes it easier for employers to help retirees maintain adequate healthcare benefits. In particular, employers that provide retiree healthcare benefits may coordinate those benefits with Medicare benefits without engaging in age discrimination based on the difference in ages between younger non-Medicare-eligible retirees and older Medicare-eligible retirees. This effectively provides an exemption to the ADEA and is a solution to the problem created by the Third Circuit’s decision in Erie.
Continue Reading New EEOC Rule Makes an Exemption to Erie Decision and Allows Coordination of Healthcare Benefits for Retirees with Medicare