What’s Wrong with Hobby Lobby? Navigating the Nuances of Faith, Business, and Law

What’s “wrong” with Hobby Lobby, if anything, boils down to a complex interplay of religious freedom, corporate rights, and the obligation to comply with federal law. The central criticism stems from their 2014 Supreme Court victory, Burwell v. Hobby Lobby, which granted closely held for-profit corporations a religious exemption from the Affordable Care Act (ACA) mandate requiring employers to provide coverage for certain contraceptives in their health insurance plans. This decision sparked widespread debate, raising concerns about the potential for religious beliefs to infringe upon employees’ access to healthcare and setting a precedent for similar challenges to other laws. Critics argue that Hobby Lobby selectively applied their religious beliefs, only objecting to specific contraceptives while still offering other medical services potentially conflicting with their stated values. Furthermore, some view the ruling as a slippery slope, potentially allowing corporations to discriminate against employees based on religious grounds. While Hobby Lobby maintained they were simply exercising their constitutionally protected religious freedom, opponents saw it as imposing those beliefs on employees and undermining established legal principles.

The Contraception Mandate and Religious Objections

The crux of the issue lies in the Affordable Care Act (ACA) and its requirement that most employer-sponsored health insurance plans cover preventive services, including contraception, without cost-sharing. Hobby Lobby, owned by the Green family, devout evangelical Christians, objected to providing coverage for two types of contraceptives: intrauterine devices (IUDs) and emergency contraceptives like Plan B. They argued that these methods could potentially prevent implantation of a fertilized egg, which they equated to abortion, thereby violating their religious beliefs.

Hobby Lobby’s argument hinged on the Religious Freedom Restoration Act (RFRA), a federal law passed in 1993 designed to protect religious freedom from government interference. RFRA states that the government cannot “substantially burden a person’s exercise of religion” unless it demonstrates a compelling government interest and uses the least restrictive means of achieving that interest. Hobby Lobby argued that the contraception mandate imposed a substantial burden on their religious exercise by forcing them to facilitate what they considered abortion-inducing drugs.

The Supreme Court Decision: Burwell v. Hobby Lobby

The Supreme Court, in a 5-4 decision, sided with Hobby Lobby. The majority opinion, written by Justice Samuel Alito, held that the contraception mandate did violate RFRA as applied to closely held corporations with sincerely held religious beliefs. The Court reasoned that the government had other ways to provide contraceptive coverage to employees of these companies, such as through direct government funding or by requiring insurance companies to provide the coverage separately.

The dissenting justices, led by Justice Ruth Bader Ginsburg, argued that the decision was a significant overreach of RFRA and that it could open the door to other religiously motivated challenges to laws and regulations. They emphasized the importance of ensuring equal access to healthcare for women and argued that employers should not be allowed to impose their religious beliefs on their employees.

Criticisms Beyond the Contraception Mandate

While the contraception mandate case brought Hobby Lobby into the national spotlight, other criticisms have been leveled against the company over the years:

• Selective Application of Religious Beliefs: Some critics argue that Hobby Lobby’s religious objections seem selectively applied. For example, the company offers health insurance that covers other medical services, such as fertility treatments, which some religious perspectives might also consider morally objectionable. This selective application raises questions about the genuineness and consistency of their religious objections.
• Wage and Labor Practices: Hobby Lobby has faced scrutiny regarding its wage and labor practices. While the company has raised its minimum wage above the federal minimum, some argue that its overall compensation and benefits package still fall short compared to other retailers. There have also been instances of alleged discrimination in hiring and promotion practices.
• Importation of Artifacts: In 2017, Hobby Lobby was fined $3 million and forced to forfeit thousands of ancient artifacts that had been illegally smuggled from Iraq. The artifacts were labeled as “tile samples” on shipping documents. This incident raised ethical concerns about the company’s sourcing practices and its respect for international laws and cultural heritage.
• Environmental Concerns: As a large retailer of craft supplies, Hobby Lobby’s environmental impact has also come under scrutiny. Critics point to the use of potentially harmful materials in some craft products and the company’s overall contribution to waste and pollution.

FAQs: Unpacking the Hobby Lobby Controversy

1. What exactly is a “closely held corporation?”

A closely held corporation is a corporation where the stock is owned by a small number of individuals or families, rather than being publicly traded on the stock market. This ownership structure gives the owners more direct control over the company’s operations and decisions.

2. How does RFRA protect religious freedom?

The Religious Freedom Restoration Act (RFRA) prohibits the federal government from substantially burdening a person’s exercise of religion, even if the burden results from a rule of general applicability. The only exception is if the government can demonstrate that the burden is in furtherance of a compelling government interest and is the least restrictive means of achieving that interest.

3. What were the specific contraceptives Hobby Lobby objected to?

Hobby Lobby specifically objected to providing coverage for intrauterine devices (IUDs) and emergency contraceptives like Plan B. They believed these methods could prevent implantation of a fertilized egg, which they considered to be equivalent to abortion.

4. Did the Supreme Court decision allow all corporations to claim religious exemptions from the ACA?

No, the Supreme Court’s decision in Burwell v. Hobby Lobby was limited to closely held corporations with sincerely held religious beliefs. It did not extend to publicly traded companies or other types of organizations.

5. What alternatives were suggested to the contraception mandate?

The Supreme Court suggested that the government could provide contraceptive coverage to employees of companies like Hobby Lobby through direct government funding or by requiring insurance companies to provide the coverage separately, without involving the employer.

6. Has the Hobby Lobby decision led to other similar cases?

Yes, the Hobby Lobby decision has been cited in other cases involving religious freedom claims, particularly in the context of healthcare and same-sex marriage. However, the specific outcomes of these cases have varied depending on the specific facts and legal arguments presented.

7. What is Hobby Lobby’s stated mission and values?

Hobby Lobby’s stated mission is to “honor the Lord in all we do by operating the company in a manner consistent with Biblical principles.” Their core values include integrity, honesty, and a commitment to serving their customers and employees.

8. How has Hobby Lobby addressed concerns about its wage and labor practices?

Hobby Lobby has raised its minimum wage above the federal minimum and provides some benefits to its employees. However, critics argue that its overall compensation and benefits package could be improved to better support its workforce.

9. What were the consequences of Hobby Lobby’s illegal importation of artifacts?

Hobby Lobby was fined $3 million and forced to forfeit thousands of ancient artifacts that had been illegally smuggled from Iraq. The company also agreed to implement stricter compliance procedures to prevent future violations.

10. How does Hobby Lobby address environmental concerns?

While Hobby Lobby has taken some steps to reduce its environmental impact, such as implementing recycling programs, critics argue that the company could do more to promote sustainable practices and reduce its reliance on potentially harmful materials.

11. What impact has the Hobby Lobby controversy had on public opinion?

The Hobby Lobby controversy has sparked significant debate about the role of religion in business and the balance between religious freedom and other rights. It has also contributed to a broader discussion about access to healthcare and the rights of employees versus the rights of employers. Public opinion on the issue is divided, with strong opinions on both sides.

12. What is the current status of the ACA’s contraception mandate?

The ACA’s contraception mandate remains in effect, but there are religious exemptions for certain employers, including closely held corporations with sincerely held religious beliefs. The government has implemented various accommodations to ensure that employees of these organizations still have access to contraceptive coverage.