Legal Update

Apr 4, 2005

AARP At Odds With EEOC Over Retiree Medical Benefits

Click for PDF

A federal district court judge has blocked efforts by the Equal Employment Opportunity Commission (EEOC) to begin enforcing a rule that would have allowed employers to differentiate benefits for Medicare-eligible retirees without running afoul of the Age Discrimination in Employment Act (ADEA). On March 30, 2005, the U.S. District Court for the Eastern District of Pennsylvania (E.D. Pa.) granted summary judgment to the AARP in a case it had brought against EEOC earlier this year to keep the agency from officially adopting that agency’s ADEA Exemption for Retiree Health Benefits. In response to the AARP’s strong opposition, and in light of the 2004 presidential election, the EEOC held off taking further action on the proposed exemption last year.

Seyfarth Shaw LLP provides this information as a service to clients and other friends for educational purposes only. It should not be construed or relied on as legal advice or to create a lawyer-client relationship. Readers should not act upon this information without seeking advice from their professional advisers.