Voluntary Benefits

Fred Lorenz

Labor & Employee Relations Consultant

Washington Employers

 

 

Relatively new buzzwords around many company HR offices are �Voluntary Benefits.�� Voluntary benefits are non-core (e.g., medical, dental) optional plans offered to the company�s employees at the employer�s group discount rates.� The plans, such as vision, financial planning, legal services, long-term care, auto and homeowners insurance, are usually paid for entirely by the individual employee (often with pre-tax dollars), although the employer typically picks up the tab for associated administrative and related costs

 

Some employers believe that voluntary benefits are a cost-effective way to give their workers �value added,� and thus �become an employer of choice for both recruiting and retention purposes,� according to a spokesman for New York-based Towers Perrin, a national benefits consulting firm.� In addition, they �fit naturally into today�s flexible employment world,� and unlike traditional benefits furnished and paid by the employer, �many voluntary benefits are not tied to the employer and may be taken with the� employees when they leave the organization.�

 

In the Seattle area one of the major newspaper companies launched a voluntary benefits program three years ago, consisting of life insurance, on-site day care, sick child care, and dry-cleaning services.� Soon they will be offering to their employees �everything from travel planning to pet insurance,� according to a spokesperson for the company.� She added that this voluntary benefits program �goes hand-in-hand with the company�s work/life programs, and helps to give the company the look of a leading-edge employer.�� Further, some 25% of eligible employees take advantage of the program, and the company �has yet to receive any negative feedback,� even though she says the employees, not the company, pay the full cost of the voluntary benefits.

HAPPY MILLENIUM

 

Well hopefully everyone survived Y2K and the new Millenium with minimum disruption.� Apparently it was a big yawn for most everyone, but if it was not for you�be sure to send Lisa your story to print in the next Newsletter.� We are not beyond deriving enjoyment from other's mishaps!!

 

EEOC Issues Guidelines

Lisa McDaniel

In light of the recent Supreme Court decisions in Burlington Industries, Inc v. Ellerth and Faragher v. City of Boca Raton, the EEOC issued� a guidance for Vicarious Employer Liability for Unlawful Harassment by Supervisors on June 18th, 1999.

Rule Applies to Unlawful Harassment on All Covered Bases

For organizations who have narrowly defined sexual harassment policies excluding other type of harassment, the clear guidance is that companies should establish anti-harassment policies and complaint procedures covering all forms of harassment including: harassment based on race, color, sex (whether or not of a sexual nature), religion, national origin, protected activity, age or disability.�

 

Who Qualifies As A Supervisor?

"An employer is subject to vicarious liability for unlawful harassment if the harassment was committed by 'a supervisor with immediate (or successively higher) authority over the employee'."� Furthermore, employers may also be subject to vicarious liability by supervisors who do not have actual authority over the employee, but the employee reasonably believes that the harasser has such power.

 

Tangible Employment Action

According to the EEOC guidelines: "An employer is always liable for harassment by a supervisor on a prohibited basis that culminates in a tangible employment action.� A tangible employment action is 'a significant change in employment status'.� Unfulfilled threats are insufficient."

 

Employer Defense

"The defense consists of two necessary elements:

(a)     the employer exercised reasonable care to prevent and correct promptly any harassment; and

(b)     the employee unreasonably failed to take advantage of any preventive or corrective opportunities provided by the employer or to avoid harm otherwise."

 

Reasonable Care

The EEOC provides assistance is defining reasonable care: "Such reasonable care generally requires an employer to establish, disseminate, and enforce an anti-harassment policy and complaint procedure.� Even the best policy and complaint procedure will not alone satisfy the burden of proving reasonable care if, in the particular circumstances of a claim, the employer failed to implement its process effectively.� An employer should provide every employee with a copy of the policy and complaint procedure, and redistribute it periodically.� Other measures to ensure effective dissemination of the policy and complaint procedure include posting them in central locations and incorporating them into employee handbooks.� If feasible, the employer should provide training to all employees to ensure that they understand their rights and responsibilities.� An employer should ensure that its supervisor and managers understand their responsibilities under the organization's anti-harassment policy and complaint procedure.� Periodic training of those individuals can help achieve that result.� Reasonable preventive measures include screening applicants for supervisory� jobs to see if any have a record of engaging in harassment.� Finally, it is advisable for an employer to keep records of all complaints of harassment."

 

Employee's Duty To Exercise Reasonable Care

Unfortunately the EEOC identifies a number of reasons that would be considered rationale for failure to complain including: risk of retaliation, obstacles to complaints, and perceptions that the complaint process was ineffective.� According to the EEOC, "the employer must prove that the belief or perception underlying the employee's failure to complain was unreasonable."

 

Effect of Standard

The EEOC provides this sobering view: "If the employer cannot prove that it discharged its duty of reasonable care and that the employee unreasonably failed to avoid the harm, the employer will be liable.� While this result may seem harsh to a law abiding employer, it is consistent with liability standards under the anti-discrimination statutes which generally make employers responsible for the discriminatory acts of their supervisors."

 

For the complete guidelines you can go to the following web site: http://www.eeoc.gov/docs/harassment.html#

Web Page

Correction: Washington Services not Washington Hospital Insurance Trust sponsors our Web Page in conjunction with Point Share.� The Web Page is here!� The site address is: http//www.wshhra.org.� Please take a few moments to check it out and let me know what you would like added, deleted, or expanded.� Let me know if you have a job opportunity you would like posted, or have any other suggestions.

 

Fall Conference

The Fall Conference at Leavenworth was a smashing success.� There are a number of photos on the Web Page highlighting our grand time. Be sure to check them out and give the appropriate amount of grief to those featured on the Web Page!

 

Membership Forms Are Attached -Be Sure to Complete them ASAP

 

New Officers

Announcing the new WSHHRA Board:

 

Past President:���������������������

Julie Meyer����������

509-922-9478���

[email protected]

 

President:������������������������

Rozanne Martin�����������������������

360-802-3293��������������

 

President Elect:�����������������

Connie DiGregorio�������������������������

360-435-2133���������������������������

[email protected]

 

Vice President: ��������������������

Lisa McDaniel

360-678-7656

[email protected]

 

Treasurer:

Gordon Spunich

509-473-7119

 

Secretary:

Carla Wheeler

509-586-5848              �

[email protected]�

 

Legislative Liaison

Diane Weisenberger

206-731-3366

[email protected]

 

 

Available for Rent�.

"Everyday Creativity", the video that kicked off our Fall Conference is available for rent.� Rental price is $60 for 14 days (the price includes shipping cost and insurance coverage).� Anyone interested in renting this

video should contact Jody Oster at 360-802-3293.

 

Spring Conference

Mark your calendars for the Spring Conference at Cavanaughs on 5th Avenue in Seattle on March 23rd and 24th. Room rates are $104-Single and $119-Double.� Please call Connie DiGregorio at 360-435-2133 with any suggestions you may have for speakers.�� Anyone who has done some new and interesting things with computer technology please give Connie a call.