The class certified by Bough consists of all workers who participated in PNG’s group health plan from 2016 to 2020 and had a tobacco surcharge deducted from their wages. The workers say that violated ERISA’s requirement that outcome-based wellness programs must give participants notice of a “reasonable alternative standard” to qualify for a discount or rebate. That’s because the plaintiffs claim PNG didn’t notify plan participants of an alternative way to avoid the surcharge.Īnd while workers could avoid the surcharge if they completed a smoking cessation program, they weren’t reimbursed for the surcharges they were hit with before completing the program. Those claimants have also been certified as a class, by agreement of the parties.Īt issue in Tuesday’s ruling is whether the casinos’ health plans, which included a $50 monthly tobacco surcharge for smokers, violated ERISA, the federal law governing employee health plans. The lawsuit also alleged that PNG operated an illegal tip pool and unlawfully deducted from workers’ wages what it cost the casinos to obtain and renew the workers’ gaming licenses. But PNG moved it to federal court, as it was entitled to do, a month later. The lawsuit was originally filed in Platte County Circuit Court in March 2020 by three casino workers, on behalf of similarly situated workers.
