Custom Search

Friday, May 23, 2008

Consolidated Omnibus Budget Reconciliation Act 1986

Applies :
  • Applies to all organisation that have 20+ employees, who provides group health care coverage
  • Applies also to state and local govt.
COBRA Rule:
  • 30 days - Employer need to inform employee about the availability of COBRA coverage within 30 days of occurrence
  • 60 days - Qualified beneficiaries is given 60 days notice to elect coverage under COBRA.
Qualifying event and Period of coverage
  • Termination ------ 18 months
  • Reduction in Hour----- 18 months
  • Death ------- 36 months
  • Divorce -------- 36 months
  • Legal Separation ------ 36 months
  • Termination or reduction in hours of work due to disablement ----- 29 months
  • Employee become eligible to medicare -------- 36 months
  • Employee's child loses dependable status ------- 36 months
Payments for health coverage:
  • Employer may charge upto 102 % of the group premium for the coverage
  • If no payment are made, employer may discontinue COBRA coverage within 30 days of time they are due
Exception :

No COBRA coverage are given in case of termination of service due to misconduct

Discontinuation of COBRA:
  • when the employee or dependent ceases to pay the premium
  • Become eligible to medical insurance from the other new employer
  • gains medicare coverage
  • when the employer terminates its health care coverage( when goes out of business)

Family and Medical leave Act-1993

Benefits:
  • 12 weeks of unpaid leave within 12 month
  • Continuation of health benefits
  • Reinstatement to the same position or equivalent position at the end of the leave
Applicable:
  • Applies to all the public agencies and school regardless of size
  • Private employers - 50+ employees( full time or part time) within 75 miles radius during 20 pr more calendar week in current year or preceding years). This week need not be consecutive
Employee eligible
  • who work for an employer who is covered by FMLA
  • Employed for 12 months which need not be consecutive
  • Have worked for 1250 hours during 12 months
Employer Action
  • within 2 weeks from receiving the request they should confirm whether they are eligible or not
  • Once confirmed it cannot be revoked
  • If the employer neglects to inform the employee they they are ineligible for FMLA leave prior to the date the leave begins , the employee is considered to be eligible.
Key Employee Exception:
  • A key employee is defined by FMLA - a salaried employee among the highest 10% of employee at a work site
  • FMLA states that key employee may be denied reinstatement to the position they held or the similar position if the employer demonstrate that it would cause " substantial and grievous economic injury "
Reasons for FMLA leave
  • Birth of a child or caring for infant ( both father and mother are eligible, but if father and mother works for the same employer then the total of 12 weeks for 12 months are allowed.
  • Placement of adopted child
  • Care for spouse, parents , son/daughter with serious health condition
  • when employee is unable to perform function of the job due to serious health condition
  • Pregnancy incapacitation
  • continuing treatment by health care provider due to period of the incapacity for a period more than 3 consecutive day
  • Hospitalization for overnight is also eligible for FMLA
Types of FMLA
  • Continuous - Absent for extended period of time
  • Reduced- Employee regular work scheduled is reduced for certain time , either hours or workdays.
  • Intermittent- when employee is absent from work for multiple period of time due to single illness or injury.
Ending FMLA leave:
  • When employee has used all his 12 weeks
  • Illness ends
  • Family member dies
For the above 3 reasons employee may return to the same or equivalent position with no loss of benefits.If however employee wishes to continue leave beyond this, employer is under no obligation to grant unless there is a company's policy.

Employee notice for FMLA:
  • Employee should give 30 days notice
Note: If during an employee's FMLA leave, company shuts down for a week for vacation or business slowdown and employees are not expected to report to work, then the week would not be counted as FMLA.
However a week containing a holiday such as thanksgiving, still counts as a full week of FMLA.

Sunday, May 18, 2008

PHR Certification Introduction

Hi,
I am creating this blog to help everyone who is preparing for their PHR (Professional in Human Resource ) certification, conducted by HRCI.

I recently passed this certification exam.This is my attempt to help, guide and provide useful information about the certification.

Will try to post all the reading materials that I have collected during my preparation.

All the best !