Practical HR Tips, News & Advice. Updated Daily.
The U.S. Supreme Court’s landmark ruling on June 28 to uphold nearly all provisions of President Obama’s health-reform law removes any excuse for employers to drag their feet implementing reform-driven changes to their health plans. Uncertainty on whether the law still would be binding on plans was hindering implementation, many sources say, but with the […]
The health care reform law was upheld today in the U.S. Supreme Court, which concluded that the controversial individual mandate is a tax and therefore falls into Congressional authority in the Taxing Clause of the Constitution. Chief Justice Roberts’ ruling was based on logic that was not the key focus of in oral arguments last […]
Voters in Washington state and Maryland will weigh in on whether same-sex marriage should be legal in their states. Employers in these states — as well as those in adjacent states where same-sex marriage is not legal — would be wise to monitor developments and use the upcoming months to prepare for any possible changes […]
The U.S. Supreme Court agreed on June 25 to decide whether an employee health plan is subject to equitable limits when it demands reimbursement of benefits paid to care for a covered employee who also recovers money from third parties. A 2011 ruling on this issue by the 3rd U.S. Circuit Court of Appeals troubled […]
We recently received the following question from a California Employer Advisor subscriber: We have a policy we’re planning to change. We told the affected employees that we will be handling the issue a particular way, but we didn’t explicitly tell them that the new practice is contrary to what is in the handbook, or that […]
Most of the plans the IRS has checked for compliance with the grandfathering requirements of 401(k) money purchase pension plans had acted appropriately, says the agency’s Employee Plans Compliance Unit. However, some plans made reporting mistakes on their annual Forms 5500. The 401(k) Money Purchase Pension Plan project is a study the EPCU conducted to […]
After two years of implementing health reform’s “insurance mandates,” American businesses are now thinking about unraveling the arrangements they put in place to respond to it, in the waning days before the U.S. Supreme Court decides on the constitutionality of the individual mandate. Health reform is going to pose compliance challenges for American businesses whether […]
Plan administrators must distribute funds even when there is a dispute between an estate and an ex-spouse who waived beneficiary rights, says the 3rd U.S. Circuit Court of Appeals. It recently ruled in Kensinger v. URL Pharma, 674 F. 3d 131 (March 20, 2012) that a decedent’s estate could directly sue the recipient of ERISA-governed […]
Exempt Employees and Disasters Exempt employees are generally paid their normal amount if the workday is shortened. Docking, or reducing pay of exempt employees who are scheduled to work, but who do not because of an emergency, may affect the employees’ status of being exempt from overtime, because, by docking, you are treating them like […]
As you must know by now, regardless of how the U.S. Supreme Court rules on the federal health care reform, a couple of very large insurers announced they would continue several of health reform’s insurance mandates. The impact of this announcement directly applies to companies that buy full insurance. But self-insured plans and employers big enough […]