Final answer:
Federal law does not require employers to eliminate benefits upon termination; instead, under COBRA, former employees can continue health coverage at their expense. Employer Mandate requires large employers to offer insurance. Anti-discrimination laws protect benefits provision in employment.
Step-by-step explanation:
The statement that federal law requires an employer to eliminate a worker's medical, optical, and dental insurance on the termination of the worker's employment is mostly false. While it is true that the employer's responsibility to maintain a terminated employee's benefits typically ends with their employment, under the Consolidated Omnibus Budget Reconciliation Act (COBRA), former employees may be eligible to continue their health insurance coverage at their own expense for a limited period of time.
Employers with more than 50 employees are mandated under the Employer Mandate to offer health insurance to their employees. Additionally, laws such as Title VII of the Civil Rights Act and the Pregnancy Discrimination Act make it illegal to discriminate in any aspect of employment, including termination and the provision of benefits.
Therefore, while employers are not generally required to maintain health benefits after termination, federal law does provide some protections and options for continued coverage to former employees.