U.S. Chamber Criticizes SCOTUS Ruling on Employee Benefits

The Supreme Court's recent decision in Cunningham v. Cornell has sparked concerns from business groups, with the U.S. Chamber of Commerce warning it could lead to a surge in litigation against employers who sponsor employee benefits plans. The Chamber argues that this threatens the intent of ERISA, which was designed to encourage employers to offer such plans without excessive legal burden, and calls for Congressional action to protect employers. Separately, the Supreme Court recently heard oral arguments in Kennedy v. Braidwood Management, a case that could significantly alter the Affordable Care Act’s (ACA) preventive care requirements. The challenge questions the authority of the U.S. Preventive Services Task Force, whose recommendations currently determine mandatory preventive care coverage, and reflects ongoing conservative efforts to curtail ACA provisions. Critics note that while previous attempts to undermine the ACA have largely failed, the current composition of the federal courts may increase the risk of significant changes. Both cases illustrate the Supreme Court’s central role in shaping the landscape of employee benefits and healthcare in the U.S.