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Maryland Wal-Mart law, and ERISA preemption
February 12, 2006 by Ross Runkel at LawMemo
Maryland's "Wal-Mart law" says companies with more than 10,000 in Maryland must either (1) spend at least 8 percent of payroll on health care or (2) contribute the difference to the Maryland Medicaid Fund.
It's called the "Wal-Mart law" because Wal-Mart is the only company that comes within the 10,000 employee requirement and does not spend at least 8 percent on health care.
Inevitably, there is a law suit challenging the new (January 12, 2006) statute. The Retail Industry Leaders Association (RILA) sued in federal court. The main claim is that the statute is preempted by the federal Employee Retirement Income Security Act (ERISA).
Here are some resources:
- The court complaint.
- RILA's legal arguments: Legal Overview: Discriminatory Health Care Mandates
- Discussion at BenefitsBlog
- Discussion at WorkplaceProf Blog
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