The Conference Committee invites you to register and attend the 21st Annual Kansas State SHRM Conference! We are excited to bring to you an informative, creative and professional conference where you have the opportunity to network, learn from industry leaders and expand your knowledge.
September 15-17, 2010 • Overland Park, KS
Early bird registration ends July 31st • Register at
www.ksshrm.com
Highlights of the conference include:
5th Annual Russ Blosser Memorial Golf Tournament
St. Andrew’s Golf Club – Overland Park, KS
Pre-conference workshop featuring Scott Christopher
Additional registration fees apply – first 100 to register receive Scott Christopher’s book “The Levity Effect” for free!
Welcome reception where you can network with other HR professionals from across the state and visit the Exhibitor Marketplace.
Sample the state conference signature drink “The HeaRt-tini”
Thursday Night Social Event
NEW for 2010: Join other attendees for a fun night of bowling, food and networking all for the low price of $30 (maximum 100 attendees – so register quickly).
Toys for Tots donations and raffle drawing
Bring a toy – help the US Marine Corp start their 2010 holiday toy drive
SHRM Foundation raffle drawings
Many items to purchase raffle tickets to raise money for this great foundation
Dynamic keynote speakers
Come hear these industry leaders speak about the latest trends in Human Resources
20 different breakout sessions
The Entire Conference has been approved for up to 13 hours total of HRCI re-certification credit
The breakdown of HRCI credit is below:
6.25 is STRATEGIC and
1.5 is INTERNATIONAL
We look forward to seeing you in Overland Park in September where we hope you will experience how HR is the HeaRt of your organization.
Sincerely,
Jackie Bond
2010 Kansas State SHRM Conference Chair
.... Health Care Reform 2010
Grandfathered Plans Rules Guide Current Benefit Decisions
On June 17, 2010, the Department of Treasury (“Treasury”), the Department of Labor (“DOL”) and the Department of Health and Human Services (“HHS”) jointly issued Interim Final Rules for Group Health Plans and Health Insurance Coverage Relating to Status as a Grandfathered Health Plan under the Patient Protection and Affordable Care Act (the “rules”).
The grandfathered plan rules will guide the actions of plans in the weeks and months ahead.
The rules clarify many important issues, but still leave certain key issues unanswered. For this reason, we repeat our mantra—plan sponsors and plans should not make changes without guidance from a respected benefits professional as to the effect of any proposed changes on maintaining or losing grandfathered plan status.
These email alerts provide a summary of the Act and our comments, which are in italics.
Effective date. The rules are effective for plan years beginning on or after September 23, 2010 (January 1 for calendar year plans).
Grandfathered plan definition. A “grandfathered health plan” is any group health plan or health insurance coverage in which an individual was enrolled and that was in effect on the date of the enactment of the Act (March 23, 2010). The rules add that a plan does not lose grandfathered plan status if individuals covered on that date cease coverage, so long as the plan has continuously covered someone (not necessarily the same person).
The rules amplify that the determination of grandfathered status is to be made separately with respect to each “benefit package” made under a plan.
Thus, an employer may make changes to an HDHP option, thereby losing grandfathered status with respect to that option, without affecting other plan options.
Adding new employees and family members. The Act provided that the enrollment of new employees and new family members of individuals will not cause the plan to lose its grandfathered status. The rules add two anti-abuse provisions. Grandfathered plan status will be lost when the principal purpose of a merger or acquisition is to cover new individuals under a grandfathered health plan, and when employees are transferred to a different plan for no bona fide employment based reason.
This anti-abuse rules will have far reaching effects. Plan sponsors should review carefully any merger or transfer options.
Changing insurance policy. If an employer enters into a new insurance policy after March 23, 2010, that new policy is not a grandfathered plan.
Any new insurance policies must comply with and bear the cost of the Act’s mandates. Separate provisions address insurance policies in collectively bargained plans, discussed below.
Changing TPAs. A change in TPA by a self funded plan will not cause a loss of grandfathered plan status.
We are glad to see that the rules recognize that a plan can change TPAs without changing the plan/benefits at all. Presumably, this rule also should protect the change of administrator under an ASO arrangement.
Changing benefits. The rules specify 6 changes to benefits that cause loss of grandfathered status.
· Elimination of benefits to diagnose or treat a particular condition.
· Increase in a percentage based cost-sharing provision such as coinsurance or copercentage.
· Increase in a fixed amount cost sharing requirement such as a deductible or out of pocket limit, if the total percentage increase is more than medical inflation plus 15 percentage points.
· Increase in a fixed amount copayment by the greater of $5 increased by medical inflation, or medical inflation plus 15 percentage points.
· Decrease in the employer contribution rate by more than 5 percentage points.
· Change in annual limits, including the addition of an annual limit, the decrease in limit for a plan with only a lifetime limit, or the decrease in limit for a plan with an annual limit.
In some respects, the inflationary provisions are surprisingly generous, by allowing inflationary adjustments, measured as of March 23, 2010. However, the preamble expressly rejects the option of an annual change allowance, thereby expecting plans eventually to lose grandfathered status prior to the implementation of the 2014 rules. The application of the inflationary provisions is quite complex, as is evidenced by the examples in the rules.
Collectively bargained plans. The rules clarify that any health insurance coverage under a collectively bargained agreement ratified before March 23, 2010 is a grandfathered health plan even if there is a change in insurers. The preamble also states that this rule applies only to insured plans, not self funded plans. Finally, the rules provide that both insured and self funded collectively bargained plans must comply with all the reforms under the Act that apply to grandfathered plans by the effective dates applicable to other plans.
These interpretations are surprisingly narrow, and do not favor collectively bargained plans.
Notice and recordkeeping requirements. The rules require grandfathered plans to include a statement in any plan materials that the plan believes that it is a grandfathered plan. The rules provide model language for this purpose. In addition, the plan must maintain records documenting its coverage as of March 23, 2010, and any other documents necessary to clarify its status.
Timing issues. Changes made to a plan on or before March 23, 2010 but not effective until later will not cause loss of grandfathered plan status. Additionally, changes made to a plan after March 23, 2010 and adopted prior to issuance of regulations will not cause loss of grandfathered plan status if the changes are revoked or modified as of the first day of the plan year beginning on or after September 23, 2010 and the modified terms would not cause loss of such status.
No preemption. The preamble states that the Act does not preempt state laws relating to insurers that are more strict than the Act.
Outstanding issues. The rules specifically leave unanswered, and invite comments on, whether the following changes lead to loss of grandfathered plan status:
· Changes to a plan structure, such as from a fully insured plan to a self funded plan.
· Changes (or the magnitude of changes) to a plan’s provider network.
· Changes (or the magnitude of changes) to a plan’s prescription drug formulary.
· Any other substantial change to the overall benefit design.
We can think of a few other items not addressed. The issue of whether a plan can switch from fully insured to self funded remains a critical issue, as many plan sponsors might desire to change funding mechanisms in order to avoid the provisions specifically directed at insured plans such as the cost reporting and rebate rules (also known as medical loss ratio rules).
Definition of group health plan. The preamble clarifies some issues raised by imprecise language in the Act. The preamble states that the Act does not apply to plans with less than 2 employees, retiree only plans and excepted benefits under the HIPAA portability rules. The preamble further states that HHS will not enforce these provisions against retiree only plans or excepted benefits offered by nonfederal governmental plans, and that states have the primary authority to enforce the provisions with respect to individual and group market insurers.
Reprinted with permission of The Power Group, www.pgcompanies.com. No other republication or external use is allowed without permission of The Power Group. The information is not intended to serve as a substitute for legal advice.
Keep Teens Safe This Summer
By Alice Andors
June 7, 2010
Teen workers are far more likely than adults to be injured at work, even though they work fewer hours and are prohibited by law from working in high-risk jobs. According to the National Institute for Occupational Safety and Health (NIOSH), teens tend to switch jobs more frequently than adults (making them more likely to perform unfamiliar tasks), often lack experience and receive only cursory training, and frequently perform jobs without receiving any training at all.
NIOSH estimates that 200,000 workers younger than 18 are injured on the job each year and that 70,000 are injured seriously enough for a trip to the emergency room. In 2008, 34 of those injuries were fatal.
For managers at companies employing teens, these statistics should be a clarion call to review training procedures for young workers.
Train from Day One
Each year as summer approaches, the Saint Louis Zoo begins recruiting seasonal employees, many in their teens, to supplement regular full- and part-time staff. Dusty Deschamp, director of human resources, says the zoo will hire as many as 200 teens as young as 15 to work in gift shops, food and guest services, and grounds crews. Workplace safety begins during the application process—potential employees are screened for drug use and criminal records.
Safety training is paramount, Deschamp says, and all workers receive basic safety training, including use of personal protective equipment, how to put out fires, first aid and CPR.
Managers and seasonal supervisors are responsible for ensuring that teens work only on tasks permitted by law, says Wyndell Hill, vice president of internal relations at the zoo. “No one under 18 drives a vehicle or operates power equipment,” he adds.
Child Labor Law Job Restrictions
The Fair Labor Standards Act (FLSA) sets forth the following restrictions for younger workers:
Age 18 and older: No restrictions.
Ages 16 and 17: May work unlimited hours in any job except those declared hazardous by the U.S. Department of Labor (DOL). Examples of jobs declared hazardous: excavation, manufacturing explosives, mining and operating many types of power-driven equipment. Hazardous equipment in food service includes power-driven meat processing machines, such as meat slicers, saws, patty-forming machines, grinders or choppers; commercial mixers; and power-driven bakery machines, including mixers. Sixteen-year-olds may not drive; limited driving for 17-year-olds is permitted.
Ages 14 and 15: During the school year, work is limited to three hours a day and 18 hours a week. On days off from school and in the summer, students may work eight hours a day and 40 hours a week. They may not work earlier than 7 a.m. or later than 7 p.m. during the school year; from June 1 through Labor Day, they may work until 9 p.m.
Jobs exempt from child labor law regulations: In general, children of any age are permitted to work for businesses entirely owned by their parents, but those younger than 16 may not work in mining or manufacturing and no one under 18 may work in a DOL-designated hazardous occupation. Minors who deliver newspapers to consumers are exempt from the child labor provisions in the FLSA as well as wage and hour provisions. Child actors and performers are also exempt.
On-the-Job Injuries
According to NIOSH, the most common injuries received by working teens are cuts, bruises, scrapes, sprains and strains, burns, and fractures or dislocations. Not surprisingly, most injuries occur in places that employ the most teens—retail shops, restaurants and grocery stores.
The leading causes for young worker fatalities are motor vehicle accidents, homicides, machine-related accidents, electrocution and falls. Workers younger than 18 are often killed or seriously injured while performing tasks or jobs prohibited by child labor laws, such as operating heavy equipment, according to the U.S. Occupational Safety and Health Administration (OSHA). Even safe and well-supervised workplaces can pose hazards for young workers. Common teen complaints include repetitive trauma from scanning groceries or typing, and neck, back and shoulder pain.
To keep teen workers safe, NIOSH offers employers the following suggestions:
Know and comply with the laws. Child labor laws vary by state, and many state regulations are even more restrictive than federal laws. Post government regulations in a location visible to all workers.
Recognize hazards. Managers can reduce the potential for injury or illness by assessing and eliminating workplace hazards and by ensuring that equipment used by young workers is safe and legal.
Supervise young workers. Supervisors and adult co-workers of teens must be aware of tasks young workers may or may not perform. Make sure supervisors understand that teen workers require more and closer supervision than adult workers, and clearly label equipment that young workers cannot use. OSHA provides stickers for equipment that workers younger than 18 are prohibited from operating.
Provide training. Train young workers to recognize and avoid workplace hazards, and teach them safe work practices. Have them demonstrate that they can perform tasks safely. Include training on how to prepare for fires, accidents and violent situations, and what to do if they get injured.
Develop an injury and illness prevention program. OSHA offers consultation services in every state to help employers identify hazards and improve safety and health management. Employer programs and materials should be age-appropriate, with processes for identifying and solving safety and health problems.
Encourage teens to speak up. Managers should foster an environment where teens can ask questions if they are unfamiliar or uncomfortable with tasks they are asked to perform. Make sure they know where to go for help, and encourage them to come forward with concerns. Be sure they understand that they are safe from retaliation if they report a safety hazard or inappropriate conduct.
Raise Awareness
Teens have all the same protections as adults have in the workplace, though younger workers tend to be less aware of their legal rights. In 2004, the U.S. Equal Employment Opportunity Commission (EEOC) created the Youth@Work initiative to educate teen workers about their rights to:
- Work free of discrimination.
- Work free of harassment.
- Complain about job discrimination without punishment.
- Receive accommodations for religion or disability.
- Keep medical information private.
EEOC officials report that the percentage of claims by young workers is increasing, even though teens may be less inclined than adult employees to report coercive treatment to managers, employers or even their parents.
“Teens are more naive about what’s acceptable in the workplace, and they’re less confident about speaking out,” says Jennifer A. Drobac, an Indiana University law professor who studies sexual harassment. “Too many employers simply hand teens an information packet and have them sign a form that they’ve received it.”
In many instances, supervisors of teens are young and inexperienced. The kind of banter they use in social settings may be unacceptable at work. A supervisor’s lack of understanding of contextually acceptable behavior can have serious consequences for employers.
The restaurant industry has been especially vulnerable to harassment claims, though lawsuits also have targeted supermarkets, retailers, car dealerships, distribution centers, health clubs and hotels.
Tap the Resources
Federal and state governments are teaming up with schools to offer age-appropriate work safety awareness and training programs. Many of these programs can also be used in the workplace.
NIOSH’s “Talking Safety” web site includes curricula tailored to all 50 states and Puerto Rico. OSHA’s “Young Workers” web site provides information on teen worker rights and responsibilities, along with resources for employers. The State Compensation Insurance Fund has a comprehensive curriculum for training teen workers in California on workplace safety, and many state labor departments offer similar guidance.
The author is a freelance writer based in Arlington, Va. Reprinted with permission of the Society for Human Resource Management, www.shrm.org. Copyright 2007. No other republication or external use is allowed without permission of SHRM. The information is not intended to serve as a substitute for legal advice.