Maryland Judge Strikes Down Wal-Mart Health Insurance Law
Jul 19, 2006 -Linknet Health News

July 19, 2006 - Linknet Health News

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Maryland Judge Strikes Down Wal-Mart Health Insurance Law

Last January the state of Maryland passed a law that required employers with more than 10,000 employees to pay at least 8% of their payroll on health benefits, or else pay the balance into a state low-income health insurance fund, according to the law. The legislature overrode the Governor's veto to pass the bill.

The only company in the state to which the law applied was Wal-Mart Stores Inc. The law was considered by many an outright attempt to get the company to pay for health insurance premiums for its employees rather than letting their employees turn to state funded Medicare.

This week that law was struck down by a U.S. District Judge J. Frederick Motz in Baltimore, who ruled that a 1974 federal law had precedence over the Maryland state law.

Most consider this a victory for Wal-Mart and other major retailers. Supporters of the law claim that Wal-Mart is not paying its fair share of health care costs.

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