Health & Welfare Plans Newsletter |
|
|
| September 3, 2009 \ Compliance \ Costs \ Administration \ Design \ Policy | ||
International Foundation of Employee Benefit Plans (Advert.)
What Rick Wellner, CEBS, says about International Foundation membership: "We became members of the Foundation because of our commitment to the Foundation’s educational content. We leverage our membership in many ways: We use the library for research, the Certificate Series for training, CEBS classes to credential our folks and E-learning courses to get our associates up and running quickly. If there is any kind of article or research in the employee benefits field, we know where to go to get it. You really need to be part of the Foundation if you’re in the employee benefit market." |
[Guidance Overview]
New HIPAA Security Breach Notification Rules Requiring Prompt Action by Covered Entities (PDF)
Pages 1-4 of 10 pages. Excerpt: "[T]he interim rule will take effect on September 23, 2009. Although HHS has stated in the preamble to the interim rule that it will not impose sanctions for any failure to provide notification for breaches discovered before 180 calendar days from the publication of the interim rule on August 24, 2009 (February 22, 2010), affected organizations should act immediately to ensure compliance including, but not limited to, updating policies and procedures and the notice of privacy practices, training employees and other applicable workforce members on these requirements, and revising business associate agreements." (Trucker Huss)
[Guidance Overview]
Group Health Plan Sponsors Should Be Aware of Changes Made by the HITECT Act
Excerpt: "The Health Information Technology for Economic and Clinical Health Act (the 'HITECH Act'), which was part of the American Recovery and Reinvestment Act of 2009, made some significant changes to the privacy and security rules. Most of the changes are effective on, or after February 17, 2010, although some of the requirements have earlier or later effective dates. The new requirements under the HITECH Act are described [in the target page]. Sponsors of group health plans should familiarize themselves with the changes and begin to take steps to comply with the new requirements." (Snell & Wilmer LLP.)
Illinois Leave Law for Victims of Domestic or Se.xual Violence
Excerpt: "Originally enacted in 2003, the Illinois Victim's Economic Security and Safety Act ('VESSA') provides certain protections to employees who are, or whose family or household members are victims of domestic or se.xual violence. Among other things, VESSA prohibits discrimination against such employees, requires employers to provide them with reasonable accommodations, and allows them to take up to 12 weeks of statutorily protected leave. Effective August 24, 2009, Public Act 96-0635 amends VESSA by, among other things, extending the law's coverage to smaller employers and expanding the definition of 'family or household member' so that more employees are covered by the Act." (Workplace Prof Blog)
Employer and Business Groups Push Private-Sector Health Care Reform Solutions
Excerpt: "Twenty state chambers of commerce and employer groups have formed Employers for Quality Health Care, a new coalition advocating for private-sector solutions to the health care crisis. Members include the chambers of commerce in Arkansas, Georgia, Michigan, Montana, New Jersey, North Dakota and other states; Associated Oregon Industries; the Iowa Association of Business and Industry; the Texas Association of Business; and Wisconsin Manufacturers and Commerce. The coalition opposes an employer mandate and public insurance option as part of reform." (Workforce Management; free registration required)
Global Business Operations and Preparing for the Swine Flu Pandemic
Excerpt: "When evaluating your organization's preparedness, think about Hurricane Katrina and its aftermath, but on a global scale. A sales force scattered across the world and far from home poses one of many complex challenges. A global supply chain and overseas service outsourcing centers are other potential challenges to consider that could 'severely disrupt travel, trade, and tourism' if nations were to tighten border controls. The CDC has issued important guidance to businesses on how to prepare and respond to an increased swine flu outbreak. A company should evaluate this guidance before a problem actually occurs." (Snell & Wilmer LLP.)
2009 Family Medical Leave Legislation in the States (PDF)
36 pages. Excerpt: "More than 250 legislative bills related to family medical leave were introduced during the 2009 legislative session. Laws were adopted in 13 states, most making changes to existing laws or providing for leave benefits. As of August 28, 2009, states enacting laws were Colorado, Connecticut, Hawaii, Illinois, Indiana, Maine, Nevada, New Jersey (2008-09 biennial), New Mexico, North Carolina, Oregon, Texas and Washington." (National Conference of State Legislatures)
Company Wellness Programs Improve Health and Cut Costs
Excerpt: "It is [the concept of preventative care that spurred the CEO of Quest Diagnostics] to implement the company's wellness program four years ago, said Steve Burton, vice president of health and wellness services at Quest Diagnostics. The company's voluntary program, Healthy Quest, provides employees, their spouses and domestic partners with a personalized health report -- called Blueprint for Wellness -- based on laboratory testing. The program also provides educational materials, weight-loss support groups, fitness classes, a smoking cessation program and personal counseling sessions. Employees who participate in the free program are given $10 bi-weekly as an incentive, Burton said. . . . So what's in it for the company? Healthy Quest is designed to focus on health issues that 'drive a lot of costs, and drive a lot of lost productivity,' like obesity, smoking and stress, Burton said. Since Healthy Quest was established, the company has benefited from lower health care costs, fewer sick days and more satisfied employees, he said. 'Through an independent researcher, we determined that for about every dollar that we invest behind Healthy Quest, there's a savings of about $4.80,' Burton said." (Cable News Network)
General Motors Agrees to Pay $50M More for Delphi Retiree Health Care
Excerpt: "General Motors Co. has agreed to pay another $50 million to fund health benefits to nearly 50,000 hourly retirees and dependents at Delphi Corp. who were represented by the IUE-CWA and other smaller unions, union officials said today. GM also agreed to a number of other concessions in the deal announced Tuesday, the IUE-CWA announced. It said the unions have reached a tentative agreement with GM for the automaker 'to provide baseline security for retirees who are facing the loss of health care and pensions.'" (The Detroit News)
Academic Health Experts Urge Changes to Health Insurance Regulation
Excerpt: "Limits to employer tax breaks for insurance as well as a bidding process for private Medicare plans would also help foster insurance competition and lower costs, [the academic experts] said. Robert Zirkelbach, spokesman for the industry group America's Health Insurance Plans, declined to comment on the recommendations but said the group supports efforts aimed at containing costs and making insurance more affordable." (Reuters)
$5-a-Day Cinergy Health Insurance Piles Up Complaints
Excerpt: "TV ads touted Cinergy Health's low-cost medical insurance for as little as $5 a day -- the cost of a pack of cigarettes or a hamburger. But the policies promoted by the Aventura company delivered far less coverage than the ads promised, say New York state insurance regulators, who ordered Cinergy to take the ads off the air in mid-August. Florida may soon take action, as well. After an investigation, state insurance regulators also determined that the company that actually writes the policies, American Medical and Life Insurance, defrauded consumers with ads indicating that its limited-benefit health insurance plan offers comprehensive medical coverage. American Medical's license to sell insurance in Florida could be revoked." (The Miami Herald)
Document Released by Senate Committee Details Plan to Promote Costly Drug
Excerpt: "No drug better demonstrates the [pharma.ceutical] industry's salesmanship than Lexapro, an antidepressant sold by Forest Laboratories. And a document quietly made public recently by the Senate's Special Committee on Aging demonstrates just how Forest managed to turn a medicinal afterthought into a best seller. The document, 'Lexapro Fiscal 2004 Marketing Plan,' is an outline of the many steps Forest used to make Lexapro a success. Because of concerns from Forest, the Senate committee released only 88 pages of the document, which may have originally run longer than 270 pages. 'Confidential' is stamped on every page." (The New York Times; free registration required)
Small Businesses Back Overhaul of Health Care
Excerpt: "The National Federation of Independent Business opposes both an employer mandate, arguing it would cause job loss, and a government health plan, which it says would lead to a nationalized system. The Small Business Majority survey stopped short of asking respondents whether they support mandates or a public option, but their answers showed some support for those programs. According to the survey, 61 percent of California's small businesses said they see some role for the federal government in improving the country's health care system. And 53 percent agreed that employers should pay some percentage of their payroll toward employees' coverage if they don't offer a plan themselves." (San Francisco Chronicle)
Health Reform Lessons from Massachusetts
Excerpt: "As Congress debates comprehensive national health reform, the Kaiser Family Foundation has two reports and an updated fact sheet that examine state-level health reform in Massachusetts and the lessons it offers for policymakers in Washington. Consumers' Experience in Massachusetts: Lessons For National Health Reform and In Pursuit of Affordable Health Care: On the Ground Lessons from Families in Massachusetts, examine the impact of health reform on the lives of ordinary people in the state, including a look at coverage provided by both public programs and private sources. The updated fact sheet Massachusetts Health Care Reform describes the basic components of the 2006 reform law, examines how many people have gained coverage and discusses cost containment and affordability goals and implementation challenges. [The target page also contains links to materials from the related Sept. 1, 2009, briefing.]" (Kaiser Family Foundation)
[Opinion]
Defending Paid Parental Leave
Excerpt: "One of the side effects of the bad economy is that good ideas that sound expensive begin getting ignored. Take paid parental leave. Making sure that parents can afford to take time off to have a baby is a good idea on a number of fronts. It protects families from the choice of financial calamity or time with a newborn. It helps employers retain and recruit staff. It appears to improve child health. And -- everywhere else in the world -- it is pretty much standard." (The Washington Post; free registration required)
EmployeeBenefitsJobs.com (Advert.)
EmployeeBenefitsJobs.com is where the best employers find the best candidates!
|
Links to Items on Executive Comp, Benefits in General
[Guidance Overview]Severance Plans as Regulated by the Internal Revenue Code and ERISA (PDF)
Pages 5- of 10 pages. Excerpt: "Many companies have implemented severance plans due to the current economic situation. While companies typically consider the employment law implications of severance plans (such as the Age Discrimination in Employment Act), many have not considered how these plans are governed by the Internal Revenue Code of 1986, as amended (the'Code') and the Employee Retirement Income Security Act of 1974, as amended ('ERISA'). This article briefly summarizes how the Code and ERISA govern severance plans." (Trucker Huss)
[Guidance Overview]
Employer Practice of Payments in Exchange for Releases Does Not Constitute ERISA Plan
Excerpt: "The Second Circuit recently addressed an important issue that can arise in the context of employment termination. In this case, the plaintiff, on behalf of herself and similarly situated employees, alleged that her employer had an ongoing practice of offering payments in exchange for a release of claims. The key issue: was this practice, in effect, an employee welfare benefit plan? This is a issue frequently overlooked. While an ERISA plan is required to be described in a written document, an ERISA plan can be created through pattern and practice even though not described in a written document. This fact creates substantial risk that a course of payments on termination of employment may give rise to a severance pay plan. That is essentially what the plaintiff alleged in Kawski." (Roy Harmon III via Health Plan Law)
[Guidance Overview]
SEC's Interpretive Guidance on New Executive Compensation Disclosure Rules (PDF)
6 pages. Excerpt: "The guidance is in the form of questions and answers of general applicability to the disclosure rules, as well as interpretive responses regarding particular situations. The guidance replaces staff interpretations issued in previous years, and is drafted in a manner that facilitates periodic future updates. The interpretative guidance is briefly summarized [in the target document] with the August 14, 2009 guidance presented in italics. [Originally published January 29, 2007.]" (Frederic W. Cook & Co., Inc.)
[Guidance Overview]
Accounting for Stock Compensation Under FASB ASC Topic 718 (PDF)
13 pages. Excerpt: "The SEC staff In Section 718-10-S99 further provides that companies may disclose the amount of non-cash equity compensation cost included in specific line items in financial statements, footnotes, or within MD&A. In addition, companies may disclose non-GAAP financial measures such as net income excluding equity compensation cost within MD&A, provided they are accompanied with appropriate descriptive disclosures. However, pro forma presentations excluding equity compensation cost are prohibited. [Originally published April 29, 2005.]" (Frederic W. Cook & Co., Inc.)
California Court Strikes Down Furloughs for Compensation Insurance Fund Employees
Excerpt: "A San Francisco Superior Court judge overturned unpaid furlough days that were ordered for more than 6,000 employees of the State Compensation Insurance Fund. The National Law Journal reports that the Service Employees International Union Local 1000, the state's largest union of public employees, argued that insurance fund employees were exempt from furloughs under the California Insurance Code. The court agreed, pointing to a section of the code that exempts the employees from 'any hiring freezes and staff cutbacks otherwise required by law.'" (PLANSPONSOR.com; free registration required)
San Francisco Judge Rules California Compensation Insurance Fund Furloughs Illegal
Excerpt: "Gov. Arnold Schwarzenegger illegally furloughed 7,400 employees of the State Compensation Insurance Fund this year, a San Francisco judge ruled Tuesday in a case that may help workers in other state agencies challenge their unpaid leaves. Superior Court Judge Charlotte Woolard affirmed a tentative ruling she had issued Monday that the governor had no authority to cut the staff of the insurance fund. The fund, based in San Francisco, sells workers' compensation insurance to employers and uses the proceeds to run its operations, with no support from the state treasury. Woolard's tentative decision came in a suit by the Service Employees International Union, which represents the fund's nearly 6,300 clerical workers, claims adjusters and support staff. She granted the fund's request Tuesday to extend the ruling to another 1,100 employees not represented by the union. Schwarzenegger will appeal the ruling, said spokesman Mike Naple." (San Francisco Chronicle)
New Book: Equity Compensation for Limited Liability Companies (LLCs)
For many years, the most common advice on sharing equity with employees in a limited liability company (LLC) has been 'switch to S corporation status instead.' The argument was that it was too complicated to share equity in an LLC. Yet many LLC leaders want to share equity with employees and have very good reasons for retaining their company's status as an LLC. This book is the only detailed exploration of equity compensation in LLCs available. It includes a model plan on the accompanying CD. (National Center for Employee Ownership (NCEO))
Webcasts and Conferences
2009 Fall Tour: Advanced IRAs: Compliance Issuesin Minnesota on September 17, 2009
presented by Ascensus
2009 Fall Tour: Advanced IRAs: Compliance Issues
in Wisconsin on September 18, 2009
presented by Ascensus
2009 Fall Tour: Advanced IRAs: Compliance Issues
in California on September 23, 2009
presented by Ascensus
2009 Fall Tour: Advanced IRAs: Compliance Issues
in Minnesota on September 24, 2009
presented by Ascensus
2009 Fall Tour: Advanced IRAs: Compliance Issues
in California on September 25, 2009
presented by Ascensus
2009 Fall Tour: Advanced IRAs: Compliance Issues
Nationwide on September 30, 2009
presented by Ascensus
2009 Fall Tour: IRA Essentials
in Wisconsin on September 15, 2009
presented by Ascensus
2009 Fall Tour: IRA Essentials
in Minnesota on September 16, 2009
presented by Ascensus
2009 Fall Tour: IRA Essentials
in Wisconsin on September 16, 2009
presented by Ascensus
2009 Fall Tour: IRA Essentials
in Wisconsin on September 17, 2009
presented by Ascensus
2009 Fall Tour: IRA Essentials
in California on September 22, 2009
presented by Ascensus
2009 Fall Tour: IRA Essentials
in Minnesota on September 23, 2009
presented by Ascensus
2009 Fall Tour: IRA Essentials
in California on September 24, 2009
presented by Ascensus
2009 Fall Tour: IRA Essentials
in Arizona on September 29, 2009
presented by Ascensus
2009 Web/Telephone Seminar: 72(t) Payments
Nationwide on December 10, 2009
presented by Ascensus
2009 Web/Telephone Seminar: Direct Rollovers and Other Portability Issues
Nationwide on December 8, 2009
presented by Ascensus
2009 Web/Telephone Seminar: Establishing and Amending IRAs
Nationwide on November 10, 2009
presented by Ascensus
2009 Web/Telephone Seminar: HSA Basics
Nationwide on October 22, 2009
presented by Ascensus
2009 Web/Telephone Seminar: Introduction to 401(k) Plans
Nationwide on October 27, 2009
presented by Ascensus
2009 Web/Telephone Seminar: IRA Beneficiary Distributions
Nationwide on November 5, 2009
presented by Ascensus
2009 Web/Telephone Seminar: IRA Frontline Fundamentals –Part 2
Nationwide on October 20, 2009
presented by Ascensus
2009 Web/Telephone Seminar: IRA Reporting
Nationwide on November 3, 2009
presented by Ascensus
2009 Web/Telephone Seminar: IRA Reporting
Nationwide on November 19, 2009
presented by Ascensus
2009 Web/Telephone Seminar: IRA Required Minimum Distributions
Nationwide on December 3, 2009
presented by Ascensus
2009 Web/Telephone Seminar: Roth 401(k)/403(b) Provision
Nationwide on December 1, 2009
presented by Ascensus
2009 Web/Telephone Seminar: Roth IRA Distributions
Nationwide on November 17, 2009
presented by Ascensus
2009 Web/Telephone Seminar: IRA Frontline Fundamentals – Part 1
Nationwide on October 15, 2009
presented by Ascensus
COBRA Compliance Checkup: Administrative Challenges and Strategies
Nationwide on October 1, 2009
presented by EBIA / Thomson Reuters
HIPAA Privacy Breach Notification Regulation Requirements
Nationwide on September 2, 2009
presented by Gallagher Benefit Services, Inc.
(Click to post your webcast or conference)
Press Releases
Watson Wyatt Data Services Releases 2009/2010 Survey Report on Human Resources Personnel CompensationWatson Wyatt Data Services
U.S. Labor Department Proposes Civil Penalty Rules for Multiemployer Defined Benefit Pension Plans That Fail to Take Corrective Funding Action
U.S. Department of Labor, Employee Benefits Security Administration (EBSA)
Great-West Retirement Services Rolls Out Program To Help Companies Promote Retirement Savings On “401(k) Day”
Great-West Retirement Services
CPI Selected For LPL Financial Retirement Plus Program
CPI Qualified Plan Consultants, Inc.
A Simple Solution to Reduce Retirement Plan Costs
Penchecks, Inc.
MassMutual Achieves Highest Q2 and YTD 401k Sales Increases
MassMutual
World Economic Forum and Mercer Offer Strategies to Address the Challenge of Financing Retirement and Health Care in an Ageing World
Mercer
(Click to post your press release)
Employee Benefits Jobs
Client Relationship Managerfor Alliance Benefit Group of Michigan
in MI
Actuarial Compliance Leader
for Polycomp Administrative Services
in CA
Pension Administrator
for Primark Benefits
in CA
(Click to post your job opening | View all jobs |
RSS feed of all jobs )
EmployeeBenefitsJobs.com (Sponsor)
(Click on banner to learn more.)
| Where the best employers find the best candidates! |
Handy Links:
- View Today's Active Message Threads
- Using the Web for Employee Benefits Research (hypertext article)
- Employee Benefits Library
Subscribe to the BenefitsLink Retirement Plans Newsletter, Too!
Sign-up form is at https://benefitslink.com/newsletter (free).
This email has been published by:
BenefitsLink.com, Inc.
1298 Minnesota Avenue, Suite H
Winter Park FL 32789
(407) 644-4146
Fax: (407) 644-2151
David Rhett Baker, J.D., Editor
Copyright 2009 BenefitsLink.com, Inc.; except that you can forward this email in full (including this boilerplate part) or otherwise reprint this email in full (including this boilerplate part) without obtaining our permission.
Anyone can receive these emails; just have them sign up at this web page: https://benefitslink.com/newsletter/
Other useful links: