South-Western - Management  
Eli Lilly Extends Health Benefits to Employees' Domestic Partners
Topic Employee Benefits
Key Words Domestic partnership benefits
InfoTrac Reference CJ102966110
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News Story

Eli Lilly and Co. announced that it will offer health and other benefits to unmarried domestic partners of its U.S. employees and retirees. The move comes after the nation's largest homosexual political group, Human Rights Campaign, targeted pharmaceutical companies for not offering the benefit. Most pharmaceutical companies now offer the benefit.

TA Lilly spokesman stated that the company needs to offer this benefit to remain competitive in the industry. It will cover Lilly retirees and about 22,000 U.S. employees. Lilly expects its health care costs to increase about 1 percent. Lilly is offering benefits to both same- and opposite-sex unmarried partners.

While Human Rights Campaign applauded the move, the American Family Association of Indiana is opposing it, saying that corporations and public policy should support marriage rather than unmarried living arrangements.

Besides health benefits, Lilly will also offer unmarried partners and their children the use of Lily's gym, credit union, child care facilities and youth summer camp.

Without this change, Eli Lilly faced the possibility of losing government contracts. The California Assembly has passed a bill that prohibits the state from contracting with businesses that don't offer benefits to their employees' unmarried domestic partners.

Questions
1.

Define domestic partnership for the purpose of health coverage?

Source "Eli Lilly Extends Health Benefits to Employees," Knight Ridder/Tribune Business News, June 10, 2003.
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