Statement crossposted from the CEO Alliance for Mental Health where Steinberg Institute CEO Karen Larsen, LMFT is one of 16 members.
The CEO Alliance for Mental Health, a group of CEOs of the leading organizations dedicated to improving the lives of people with mental health and substance use conditions, is deeply disappointed by the ERISA Industry Committee’s (ERIC’s) decision to sue the Departments of Labor, Health and Human Services and Treasury to stop the 2024 Mental Health Parity and Addiction Equity Act (MHPAEA) final rule. If successful, this suit poses a setback for the mental health of all Americans, including employees and their loved ones who depend on access to insurance-covered mental health care.
The CEO Alliance urges employers who are committed to protecting the well-being of the workforce to speak out, support the final rule and strengthen mental health parity protections. ERIC’s suit undercuts one of the most important bipartisan policies for promoting access to MH/SUD care at a time when mental health, substance use and suicide crises are having a devastating impact on the workforce. This directly impacts employers, as untreated mental health conditions are associated with missed days and lost productivity and potential.
We need to advance access to care, not fight progress. In fact, ERIC’s lawsuit coincides with the 2024 MHPAEA Report to Congress, which found that, since 2021, MHPAEA oversight helped more than 7 million access mental health/substance use care.
Contrary to ERIC’s claims, the rule and the enforcement procedures used by the Department of Labor offer flexibility and transparency. The final rule explains throughout that the federal government offers deference to insurers on how to comply, as long as their approach is reasonable. Further, the report to Congress demonstrates that, in every investigation, the government worked closely with the insurers to collaboratively clarify and address any potential compliance issues. Rarely did the government take any enforcement actions and, instead, the report notes how well insurers worked to remedy issues. The places where ERIC claims that the parity rule is too specific are ironically the same places where the federal government tried to provide greater clarity for insurers to help them achieve parity compliance. Despite ERIC’s assertions, the rule’s flexibility and clarity will streamline parity compliance, especially under the government’s collaborative enforcement approach.
Before ERIC filed this lawsuit, the CEO Alliance reached out to current and past board members of ERIC — representatives of major employers that many Americans rely on for mental health care needs that are critical to their function as employees — to meet and find a collaborative path forward to avoid this outcome. We request that ERIC reconsider this suit and do what is right for the employers (and their employees) it represents. Ultimately, hardworking Americans deserve to access care to thrive in their workplaces, communities and families.
The CEO Alliance stands ready to work with all interested parties who are serious about addressing the crisis, as tens of thousands of lives are lost each year.