BlueCross BlueShield of Tennessee agreed to a settlement with employees who said the company denied their COVID-19 vaccine exemption requests, thus affecting their careers, according to a Dec. 8 filing in the U.S. District Court for eastern Tennessee.
The employees will receive payment according to a common formula. They include BCBS of Tennessee workers who requested medical or religious accommodation, received a 30-day extension to find another role internally that did not require vaccination, and either refused it, could not find another job or accepted a position of lower pay.
The initial complaint alleged BCBS of Tennessee denied the religious accommodations and dismissed the affected employees in the fall of 2021, despite validating the sincerity of their beliefs.
BCBS of Tennessee does not admit any wrongdoing in agreeing to the settlement. The employees also give up the right to sue the insurer over the same matter in the future.
“We still believe we made the right decisions for the health of our colleagues and communities, and as an organization subject to a federal vaccine mandate under the Biden administration,” a BCBS of Tennessee spokesperson told Becker’s. “We remain grateful for the service of our former employees. Settling this case allows us to focus on moving forward in support of our members.”
Earlier this year, the carrier won a separate case in the Tennessee Supreme Court involving the termination of an employee who emailed state lawmakers about the mandate.
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