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By Jane Meacham An appellate court sided with a plan administrator’s decision that a deceased plan participant’s stepsons are not entitled to his pension benefits, a ruling that may set the direction for similar plan interpretations under ERISA law. In the case, Herring v. Campbell , Case 11-40953 (Aug. 7, 2012), John Wayne Hunter, a retiree […]
Branches of the federal government have taken divergent actions affecting same-sex partners. A federal district court upheld a state law defining marriage as occurring between a man and a woman; meanwhile, the U.S. Office of Personnel Management has issued final and proposed regulations to expand federal employees’ benefits coverage to their same-sex partners and those […]
Health reform’s requirement that employers insure work forces will hit the retail and hospitality industries harder than others, because they are staffed with more low-wage and part-time workers, consulting firm Mercer LLC reported on Aug. 8. Forty-six percent of surveyed firms in the retail and hospitality sectors predicted health care cost increases of at least […]
To bring a discrimination claim, a trainee with a disability needs only show that she was qualified to participate in the job training; she doesn’t need to prove that she was qualified for prospective job, the 6th U.S. Circuit Court of appeals ruled Aug. 8. The case, Rosebrough v. Buckeye Valley High School, involved Tammy […]
Employers that own aircraft and find the tax treatment of their use complicated did not see much relief from final regulations IRS issued Aug. 1 in T.D. 9597. The final regulations on the operation of company aircraft leave intact many of the limitations to deductions contained in regulations it issued in 2007. In the end, […]
As we discussed yesterday, employers are required to maintain existing health insurance coverage under a group health plan for employees during FMLA leave—and you can require the employee on leave to pay his or her share. But what happens if the employee fails to do this?
By Jane Meacham The funded status of the average U.S. corporate pension plan slid to a record low in July, according to several measurements of the health of the plans’ finances. Funding status of the typical plan surveyed for BNY Mellon Pension Summary data touched a low of 68.7 percent, off 2.9 percentage points from […]
Sending a COBRA election notice shortly after an employee began military duty was not evidence that an employer fired the employee due to his military status in violation of the Uniformed Services Employment and Reemployment Rights Act, a federal district court in Arkansas held. In generally rejecting the USERRA claims, the court indicated, among other […]
There is some persistent confusion over what the implementation of the health reform law means for health flexible spending accounts and health savings accounts. The short answer is that with one exception, employers and plan administrators must follow different steps for health FSAs and HSAs. Understanding these steps is crucial, because the time to prepare […]
By Jane Meacham Employers should exercise oversight of third-party administrators, to ensure they distribute accurate plan notifications and information about beneficiary distributions. That’s because in the case of certain errors, the TPA may end up not being defined as a fiduciary, as Judge James Graham in the U.S. District Court for the Southern District of Ohio, Eastern Division, ruled in Stark […]