Image Credit: BCBST / Facebook
Press Release –
CHATTANOOGA, TN, April 22, 2025 – A group of employees terminated by BlueCross BlueShield of Tennessee (BCBST) in 2021 over a violation regarding religious discrimination pertaining to the COVID-19 vaccine mandate and filed a lawsuit in federal court, are now, more than 3 years later, settling their case prior to going before a judge or jury.
After a lengthy investigation process by the U.S. Equal Employment Opportunity Commission (EEOC) since November 2021, the terminated employees received their right to sue letters and filed a class action suit in federal court.
Over three years later, according to most recent court documents, “…the parties filed a joint status report stating, ‘they had reached an agreement regarding class certification for purposes of settlement and intend to file a Joint Motion for Conditional Certification of the proposed class.’
The parties further stated that they had participated in an alternative dispute resolution process on November 19, 2024, at which they had reached ‘a conditional settlement based on the satisfaction of certain conditions precedent,’ and they believed there was a high likelihood of settling the case.”
As of yesterday, the most recent court document read that “they had ‘identified a few matters within the settlement agreement that required further negotiating and drafting’ and ‘were finalizing the settlement agreement’…”
Terminated BCBST employee Matt Abernathy, one of three lead plaintiffs in the case and spokesman for the group, has been dropped as a client and lead plaintiff by the attorney representing the entire group, having his case dismissed because “the terms and conditions of the resolution put forward are not acceptable to me as an individual,” Abernathy states. “I believe my role was to bring the group to this point and there is no need to further restrict myself according to BlueCross’s terms.”
The lawsuit, now with the remaining plaintiffs representing et al, and “all others similarly situated” encompasses and represents ALL BlueCross BlueShield of Tennessee employees terminated due to the mandate. Between October and November 2021, BCBST terminated 41 of their employees after BCBST implemented a COVID-19 vaccine mandate for 900 “customer facing roles.”
Many of these 900 employees who were NOT “customer facing” were full time telecommuters and had been working from home during the entire pandemic. The livelihoods of these 900 employees were threatened if they refused to comply with BCBST’s vaccine mandate. Out of the 900, 41 refused to comply with BCBST’s mandate and were fired from their positions.
In October 2021, nineteen employees were terminated. In November 2021, twenty-two additional employees were fired weeks ahead of a Tennessee law being passed to prevent BCBST from moving forward with the mandate. Many submitted requests for religious exemptions and reasonable accommodations.
Rather than provide a reasonable accommodation such as a telecommuting option (an option that was currently in place and was continuing for the entire year) or a testing option, BCBST’s response was that you have 30 days to change your deeply held religious convictions and get the shot, find a new job, or be fired. Requests for religious exemptions were ultimately denied.
Throughout multiple media sources, BCBST has consistently denied any wrongdoing, with Dayla Qualls, senior vice president and chief communications officer for BCBST, stating “the vaccine requirement was the best decision for the health and safety of our employees, our members – some of whom are the most vulnerable in the state – and our communities.”
Of the terminated employees, some were employed by BCBST for nearly two decades. None received any severance pay; all lost years of accrued benefits and suffered humiliation and emotional distress.
Former lead plaintiff Matt Abernathy was employed by BCBST for almost 20 years. Fired in November 2021 because of the COVID-19 vaccine mandate, he chose to settle his portion of the lawsuit against BCBST at the mediated settlement in November 2024 for $1.00.
As stated above, Abernathy has since been dropped as a client and lead plaintiff by the attorney representing the entire group, having his case dismissed because “the terms and conditions of the resolution put forward are not acceptable to me as an individual,” Abernathy said. “From the beginning of this whole ordeal, it was about principles and convictions, about taking a stand. The consequences and effects of BCBST’s actions go far beyond the day they fired us.
The process was the punishment – and as difficult as this has been, I still wouldn’t do anything differently. Even today, there are reminders, and I imagine there always will be, yet throughout all the struggle and uncertainty – not knowing how we were going to get through some very dark days – the Lord has been faithful to us. He has provided and continues to provide for me and for my family.
He has increased our faith, and we know that He and He alone meets our needs. Psalm 16:5-6 sums it up: ‘5 The Lord is the portion of mine inheritance and of my cup: thou maintainest my lot. 6 The lines are fallen unto me in pleasant places; yea, I have a goodly heritage.’”
The money raised on the group’s Give Send Go page will go toward attorney fees and the cost of legal expenses from the lawsuit.
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*CASE NUMBER 3:23-cv-00322
One Response
Good. Employees SHOULD be reinstated with triple backpay for what they’ve endured plus everyone responsible for their firing should be fired and prohibited from employment in any company in any position to do anything similar.