Benefits and Compensation, HR Management & Compliance

EEOC: Clarity on Wellness Incentives under GINA; Tongue-tied on ADA

The U.S. Equal Employment Opportunity Commission (EEOC) once again refused to a take a position on whether employers may use financial incentives to encourage employee participation in wellness programs — without violating the Americans With Disabilities Act (ADA).

In an informal opinion letter from the EEOC’s Office of Legal Counsel, the commission assured employers that such an incentive does not violate the Genetic Information Nondiscrimination Act (GINA) … but it would not comment on its legality under the ADA.

The letter was written in response to a request for information from an unidentified employer. The employer asked whether it could offer incentives for participation in a workplace wellness program without violating either law.

The commission answered the GINA question easily: While employers may not offer financial incentives in return for employees’ genetic information, they many do so to encourage employees to complete a health risk assessment or participate in a disease-management program. Employers must make clear, however, that questions about genetic information are completely voluntary and that individuals need not answer them to receive the incentive.

As for the ADA however, the EEOC remains indecisive. “As you know, the Commission has not taken a position on whether, and to what extent, Title I of the ADA permits an employer to offer financial incentives for employees to participate in wellness programs that include disability-related inquiries (such as questions about current health status asked as part of a health risk assessment) or medical examinations (such as blood pressure and cholesterol screening to determine whether an employee has achieved certain health outcomes),” the commission answered. “However, we will carefully consider your comments and the comments of other stakeholders that we have received on this important issue.”

In past letters, the EEOC has rejected employers’ attempts to require completion of a health risk assessment in order to enroll in the group health plan, or to get funds from a health reimbursement arrangement. But the EEOC did not rule out any financial inducement, and business groups have urged the commission to bring its ADA standard for “voluntary” in line with its recent GINA rules so employers aren’t jumping through multiple hoops just to send out a questionnaire.

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