While many reports are still speaking to the economic slump, many are starting to predict that a turnaround is on the horizon!
As we continue to ride out the challenges our economy brings, I am reminded of the importance of working together to meet each other’s needs. It is during times of difficulty that we discover the true meaning of community and see relationships strengthened. I encourage you to look to your affiliates and friends for support as we head toward improving financial situations.
Please let me know if you have any HR needs that I can meet. My business door is always open for questions, concerns and discussions. I look forward to working alongside you through the good times as well as the times of struggle.
Have a wonderful month!
Terri Olson Spreen
You may have already heard that there are new health coverage laws in place as part of the American Recovery and Reinvestment Act of 2009 (the “Act"). Employers with 20 or more employees who offer group health insurance are already familiar with COBRA, which allows qualifying terminated employees to continue their group coverage for a specified period of time.
As part of the new Act, the federal government will now subsidize, on a limited basis, up to 65% of the COBRA health insurance premiums for employees who have been (or will be) involuntarily terminated between September 1, 2008 and December 31, 2009. Employees must otherwise qualify for COBRA benefit continuation to be “assistance eligible individuals.” Participants will be required to pay 35% of the COBRA premium; the employer paying the remaining 65%, which will be credited against payroll taxes. Individuals will be eligible for a maximum period of nine months.
Our employment attorney, Eric Sohlgren of Payne & Fears LLP, offers additional information and advice through the firm’s newsletter. Please click here for more information.
