Scheduling
Time & Attendance
Forecasting
Employee App
Payroll Integrations
Communications
HR Administration
By Staff Report
Sep. 7, 2011
Dear Small Bites:
The COBRA subsidy does affect companies not currently governed by federal COBRA regulations, but only if there is a comparable state COBRA-type law and the plan is insured. Currently, 40 states have COBRA-type mandates. The insurer, rather than the employer, will be responsible for paying and being reimbursed for the subsidy.
If your company downsized, for the remainder of 2008 you will be subject to COBRA because COBRA applies to employers that normally employed at least 20 employees on at least 50 percent of its typical business days during that year. If you do not hire any additional employees during at least 50 percent of 2009, you will not be subject to the federal COBRA laws in 2009. However, you will remain obligated to provide COBRA coverage to anyone who had a qualifying event in 2008, and, if you plan is insured, the insurer may be subject to state continuation coverage laws.
SOURCE: Chantel Sheaks, Buck Consultants, Washington, and Richard Stover, Buck Consultants, Secaucus, New Jersey
LEARN MORE: Tool: Resources for Keeping Up With COBRA Changes; new COBRA guidelines from the Internal Revenue Service clarify key questions for employers.
The information contained in this article is intended to provide useful information on the topic covered, but should not be construed as legal advice or a legal opinion. Also remember that state laws may differ from the federal law.
Come see what we’re building in the world of predictive employee scheduling, superior labor insights and next-gen employee apps. We’re on a mission to automate workforce management for hourly employees and bring productivity, optimization and engagement to the frontline.
Compliance
Minimum Wage by State in 2023 – All You Need to KnowSummary Twenty-three states and D.C. raised their minimum wage rates in 2023, effective January 1. Thr...
federal law, minimum wage, pay rates, state law, wage law compliance
HR Administration
Is your employee attendance policy and procedure fit for purpose?Summary: Lateness and absenteeism are early warning signs of a deteriorating attendance policy. — More ...
compliance, HR technology, human resources
HR Administration
Clawback provisions: A safety net against employee fraud lossesSummary Clawback provisions are usually included as clauses in employee contracts and are used to recou...
clawback provisions, human resources, policy