Workers say they were not told about government-subsidized insurance Walmart could face millions in penalties under COVID relief law (Reuters) - Walmart Stores Inc has been accused of failing to notify workers across the country who lost their jobs amid the COVID-19 pandemic of their right to continuing health insurance coverage temporarily paid for by the government. Former Walmart employee Elba Vazquez and her husband filed a proposed class action in Fort Myers, Florida, federal court on Wednesday, claiming notices the retail giant sent out this year omitted key information, including that the federal government would subsidize insurance premiums until Sept. 30 under the American Rescue Plan Act of 2021 (ARP). A spokesman for Arkansas-based Walmart did not immediately respond to a request for comment Thursday. Under the Consolidated Omnibus Budget Reconciliation Act of 1985 (COBRA), employers must provide insurance coverage for up to 18 months after qualified employees lose their jobs but can require workers to cover the premiums. The ARP required companies to provide free continuing coverage for up to six months, with the cost offset by new tax credits. Walmart, the largest private U.S. employer with about 1.6 million employees, could face penalties of $110 per violation per day if it is found to have violated the notice requirements included in the ARP. The nationwide class proposed by Vazquez could include "hundreds or thousands" of people, according to the complaint. The case is Vazquez v. Walmart Stores Inc, U.S. District Court for the Middle District of Florida, No 2:21-cv-00848. For the plaintiffs: Donna Smith of Wenzel Fenton Cabassa For Walmart: Not available