Target Sued by Worker Over Health Plan’s Penalty for Smokers

Target Corp. wrongly discriminates against workers who smoke by charging them more for health insurance without giving them a valid method for avoiding the penalty, an employee alleged in a new lawsuit.

Target workers who use tobacco products are charged an extra $800 each year for health coverage, and the retailer doesn’t give them an opportunity to have the full penalty removed, the employee said in a proposed class action complaint. Workers can have the charges removed on a forward-looking basis if they participate in a smoking cessation program, but they’re not eligible to have previously paid penalties reimbursed, ...