Poor Mojo's Newswire

The brief drew 278 signers, including more than 200 companies — among them giants like Citigroup, Apple, Mars and Alcoa — as well as city governments, law firms and other groups. In statements on Wednesday, many declared their firm opposition to discrimination based on sexual orientation. But the “friend of the court” brief focused more on the burdens imposed by the 1996 law on companies that offer benefits to same-sex spouses. . . . In the brief, the signers said the federal law “puts us, as employers, to unnecessary cost and administrative complexity.” But the law also, the brief stated, “forces us to treat one class of our lawfully married employees differently than another, when our success depends upon the welfare and morale of all employees.”

For companies operating in the states where same-sex marriage is legal, the ban on federal benefits under the law has proved a headache. Contradictory marriage laws in different states have also complicated benefits and other programs of companies operating in multiple states.

Treating heterosexual and same-sex married employees differently under federal law, the brief said, imposed high administrative costs as companies maintained dual systems of tax withholding and payroll. It results in extra tax burdens for both companies and employees with health plans, and can affect payments including retirement, pension and life insurance as well as having a bad effect on morale.
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