Just because the term is defined doesn't mean that it's a valid reason to be overweight.
I never said it was a valid reason, I merely pointed that people don't have x-ray vision to see if you are fat due to muscle and bone or due to eating too much. The average person needs merely to look at someone fatter than a supermodel and quickly dismiss them as overweight. I'm sure from a medical point of view people who are overweight due to physical reasons not lifestyle choices will probably not got punished, but how would an employee who is large due to him just simply being large and not necessarily being fat (considering he eats normal or on a diet) get a lucrative incentive if the company sees him as overweight, not slim down as stated here in the article:
Looking for new ways to trim the fat and boost workers' health, some employers are starting to make overweight employees pay if they don't slim down. Others, citing growing medical costs tied to obesity, are offering fit workers lucrative incentives that shave thousands of dollars a year off health care premiums.