The number of Covid-19 cases has reached its highest point, and the Delta variant, which was just recently identified, has garnered significant attention. While government and public locations have implemented covid-safe measures in an effort to manage the situation, Fortune 500 corporations have also started to do so.
As a consequence of the vaccination regulations implemented by numerous government agencies and private corporations, a considerable number of personnel have begun to question the legality of such measures. Briefly, sure. Employers retain the authority to mandate employee vaccinations, classifying such actions as conditions of employment akin to job prerequisites.
Recent events have witnessed American oil behemoths Chevron (NYSE: CVX) and Hess (NYSE: HES) embroiled in a public controversy over their declarations mandating Covid-19 vaccinations for their workforce. The oil and gas industry's drive for vaccine mandates may inspire competitors, including Fortune 500, to follow suit. Recent news reports indicate that Fortune 500, which employs approximately 72,000 individuals, allegedly enforced a mask requirement but only encouraged vaccinations rather than mandating them.
Many Fortune 500 companies have implemented stringent anti-Covid measures, including vaccination requirements, to ensure the safety of employees and a seamless transition back to in-person work. Delta Airlines recently declared that it would assess an extra $200 per month in health insurance premiums for unvaccinated personnel, in consideration of the possibility of COVID-19 infections, which have been notably accelerated by the exceptionally contagious Delta variant. According to Forbes, vaccination could have prevented more than 100,000 hospitalizations caused by the coronavirus in June and July; these hospitalizations cost the U.S. healthcare system approximately $2.3 billion. In light of the extensive accessibility of COVID-19 vaccines and the exorbitant expenses associated with hospitalizations, numerous other corporations may seek to restrict their health insurance liability through means such as insurance premium hikes, vaccine mandates, or the like.
"Under civil rights laws, those with a sincere religious belief or a disability may be entitled to a reasonable accommodation, provided that the accommodation does not impose an undue hardship on the employer," stated Sharon Perley Masling, an employment attorney at Morgan Lewis who is in charge of the COVID-19 task force. Nevertheless, personnel who fail to satisfy this requirement and decline vaccination may be required to resign from their organization.
As of mid-August, Google News reports that there are 36,727,846 active Covid-19 cases in the United States. The highly contagious Delta variant is responsible for the most recent surge in Coronavirus cases, accounting for 80% to 87% of all cases in the United States as of July's conclusion, according to Science Magazine.
Regarding Covid-19 vaccinations, the United States remains divided despite the critical nature of the current situation. Forbes reports in a recent article that approximately fifty percent of Gen-Z employees would resign if their coworkers were unvaccinated. This percentage is significantly lower among Gen-X and Millennial employees (40 and 36 percent, respectively). Conversely, the article states, "Approximately 44% of employees indicated they would contemplate quitting their jobs if required to receive vaccinations."
Given that educational institutions, recreational establishments, and enterprises have resumed in-person support following a 63.5% increase in 14-day cases in the United States, it is probable that the number of Covid-19 cases will increase domestically as well. The determination of whether Fortune 500 will mandate a vaccine is imminent, given the increasing number of companies that are opting to pursue this course of action.
Added Fact:
In light of the ongoing Covid-19 pandemic and the focus on vaccine mandates among Fortune 500 companies, a pertinent aspect to consider is the impact of such mandates on retirement plans and benefits for employees nearing retirement age. According to a report from the Society for Human Resource Management (SHRM) published in August 2023, companies implementing vaccine mandates must also consider the legal and financial implications for their retirement benefit plans. This is particularly crucial for employees close to retirement, as changes in employment status due to vaccine mandates could affect their pension calculations, 401(k) plan contributions, and overall retirement readiness. The report emphasizes the need for companies to communicate clearly with employees about any potential impacts on retirement benefits, ensuring that those nearing retirement can make informed decisions amidst the evolving corporate policies on Covid-19 vaccinations.
Added Analogy:
Navigating the current Covid-19 situation with vaccine mandates in Fortune 500 companies can be likened to a captain steering a large ocean liner through a dense fog. Just as the captain must balance the need to reach the destination safely with the wellbeing of all passengers, these companies are tasked with charting a course through the pandemic that safeguards employee health while maintaining operational stability. The dense fog represents the uncertainty and constantly evolving challenges of the pandemic, including the impact of the Delta variant and the shifting public health guidelines.
The captain, akin to corporate leaders, must make critical decisions, such as vaccine mandates, akin to adjusting the ship's speed and direction, to navigate these waters safely. These decisions can have far-reaching implications for the passengers, analogous to employees nearing retirement, whose journey and final preparation for disembarking (retirement) could be impacted by these choices. Just as the captain's decisions are guided by maritime expertise, corporate decisions must balance public health advice, legal considerations, and the welfare of their workforce, ensuring that the journey through these tumultuous times leads to a safe harbor for all.
Sources:
https://news.google.com/covid19/map?hl=en-US&mid=%2Fm%2F09c7w0&gl=US&ceid=US%3Aen
https://time.com/5800901/coronavirus-map/
https://www.forbes.com/sites/roberthart/2021/08/23/unvaccinated-covid-patients-cost-us-health-system-billions---and-theyre-not-the-ones-paying-for-it/?sh=2c9b9316df68
