Texas businesses face conflicting COVID-19 vaccine rules from state, feds

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Companies doing business in Texas face new and complicated challenges after Governor Greg Abbott this week banned COVID-19 vaccine mandates for all companies in the state – including private companies – for employees or customers.

The consequences for companies could begin as early as Friday, when companies that enter into contract work with the federal government are required to vaccinate all employees by order of the White House.

This contradicts Abbott’s ban on vaccine mandates, which puts the many Texan companies that get federal contracts in a difficult position: complying with federal laws and violating Abbott’s prohibition, or complying with Abbott and refusing to do business with the federal government.

In addition to federal contractors, President Joe Biden has also announced that companies with more than 100 employees will need to mandate vaccination against COVID-19 or regular testing.

For Texas nursing homes struggling during a pandemic that devastated residents and decimated their workforce, a federal rule announced in August requires all nursing home workers to be vaccinated in order for their facilities to continue to comply with Medicare and Medicaid Programs can participate. If nursing homes followed Abbott’s new rule instead, they could lose important federal funds.

More than 66,000 Texans have died from COVID-19, including 10% of nursing home residents in the first year of the virus.

“It hurts Texans directly,” said Karen Vladeck, an Austin employment lawyer, of Abbott’s new order. “I just think it wasn’t well thought out.”

Abbott’s office did not respond to a request for comment.

In addition to banning any facility in Texas from requiring vaccinations, Abbott’s order also lists several expanded exemptions. Vladeck and other labor lawyers said this exacerbated the vaccine dilemma Texas company. Abbott’s new rule allows people to opt out of compulsory vaccination for medical reasons even if they can show they have had a history of COVID-19, although scientists largely agree that doing so does not protect people from contracting the virus .

“The medical rationale for the Executive Ordinance is a bit strange because you usually exempt people for medical reasons if they have a severe allergic reaction to a vaccine,” said Elizabeth Sepper, law professor at the University of Texas at Austin. Abbott’s order is to “cover people who do not want to receive the vaccine because they mistakenly believe they are fully protected by already having COVID”.

Abbott’s rule also allows people to opt out of compulsory vaccination if they prove they have a deep personal belief in being stung.

Any company that does not follow Abbott’s rules can be fined up to $ 1,000.

Abbott’s Monday order is a reversal of his position in August when the Pfizer vaccine received final approval from the US Food and Drug Administration. At the time, the Abbott spokesman said that companies have the option to require vaccinations for employees and that “private companies do not need a government to run their business.”

“Texas is all about company choice, but now the point is that they don’t like what companies choose,” said Vladeck. “That puts a heavy burden on employers.”

Ted Shaw, president of the Texas Hospital Association, said Abbott’s move was political.

“Texas hospitals are strictly opposed to ongoing efforts to prevent them from requiring vaccination of their own staff, many of whom are bedside every day with children and adults susceptible to COVID-19,” Shaw said in an explanation. “This political action undermines the central mission of the hospitals and patients and staff cannot be unnecessarily endangered. Hospitals have fought for months at Ground Zero in this pandemic. As experts in healing and saving lives, hospitals must have the confidence, respect, and flexibility to prescribe vaccines in their own facilities to keep the people of Texas safe. “

White House press secretary Jen Psaki also condemned Abbott’s actions.

“I think it’s pretty clear when you make a decision that goes against all public health information and data out there that it’s not based on what is in the interests of the people you rule, but perhaps in the interests of the people you rule Of your own policies, ”said Psaki on Tuesday.

Ray Perryman, a Waco-based economist, said Abbott’s decision was not helping the state economy as it recovers from the economic impact of the pandemic.

“This arrangement will almost certainly lead to confusion with conflicting requirements for many companies,” Perryman said in an email to the Tribune. “From an economic point of view, it’s unnecessary and probably counterproductive.”

Two well-known Texas companies, American Airlines and Southwest Airlines, are already requiring employees to be vaccinated. Spokespersons for the two airlines told the Tribune that the requirements will not change despite Abbott’s new appointment.

“One of the hallmarks of the capitalist economy is the ability of the private sector to make decisions without government intervention unless there is a legitimate public concern that needs to be addressed,” Perryman said. “It is hard to imagine the compelling public benefit of forcing companies to put their employees, suppliers and customers at greater risk of a fatal disease and to encourage the spread and mutation of that disease.”

Harris County Attorney Christian D. Menefee encouraged Texans to sue Abbott for the move.

“The governor’s recent ordinance banning private companies from protecting their employees and customers is shameful,” Menefee said in a statement. “And we know this is mostly a political roar designed to create confusion and expose companies to burdensome legal proceedings that can only slow our economic recovery.”

The Greater Houston Partnership, a leading Harris County group, also condemned Abbott’s actions.

“The governor’s ordinance does not support the ability and duty of Texan companies to create safe jobs,” said Bob Harvey, the group’s president, in a written statement. “Although the courts are likely to rule on the validity of this order, we encourage all employers to continue promoting the importance of vaccinations to their employees. Vaccination is our way out of the pandemic, and the partnership remains focused on supporting steps that will lead to improved vaccination rates in our community. “

The Texas Restaurant Association questioned how Abbott’s new order would affect the occupational safety and health agency’s temporary emergency standard, due to be released in a few weeks. The restaurant association expects lawsuits to be filed in response to the conflict between Abbott’s ban and the requirements of the Biden administration. However, it said it will continue to support restaurants and is committed to protecting their employees and customers.

“Most importantly, we continue to urge our communities to partner with restaurants that are trying to stay in business after a very challenging 19 months,” said Kelsey Streufert, chief public affairs officer for the Texas Restaurant Association, in a statement. “By working together we can accelerate our recovery from the COVID-19 pandemic and protect our health and our economy.”

Abby Livingston, Karen Brooks Harper and Kailyn Rhone contributed to the coverage.

Disclosure: Greater Houston Partnership, the Texas Hospital Association, and the University of Texas at Austin were financial supporters of The Texas Tribune, a nonprofit, bipartisan news organization funded in part by donations from members, foundations, and corporate sponsors. Financial supporters play no role in the journalism of the Tribune. You can find a full list of them here.

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