Supreme Court cancels arguments in Medicaid work requirement case

The Supreme Court on Thursday called off upcoming arguments over a Trump-era plan to impose work requirements on Medicaid recipients after the Biden administration said it was considering scrapping the policy.

Arguments had been slated for March 29, but were removed from the court calendar after the Biden administration asked the justices last month to put the case on hold while it undertook a policy review. 

In a court brief, the administration said it had made a preliminary determination that placing work requirements on Medicaid benefits was at odds with the goal of providing health care to low-income people, an indication that the Trump policy could soon be formally dropped. 

The dispute arose after the Trump administration allowed states to apply for waivers to impose work requirements on Medicaid benefits, arguing the move would help lift people out of poverty. 

Critics say the policy adds bureaucratic hurdles and leads to vulnerable people losing health coverage, in conflict with the goals of the Medicaid program.

Residents of several states that sought to impose the restrictions sued the Department of Health and Human Services, arguing that the Trump policy lacked an adequate legal justification.

Lower federal courts in D.C. sided with the challengers and blocked the work requirements from taking effect, prompting Trump’s appeal to the Supreme Court.

Biden in a January executive order directed Medicaid work requirements to be reexamined.

— Updated at 1:14 p.m.