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FAMILY AND MEDICAL LEAVE ACT
      Regulations Updates




             Effective 01/16/09
Employee Eligibility


“12 months of employment requirement”
    –   Prior Legal Framework
           Employee must work for employer for a total of 12
            months.
Employee Eligibility

12 months of employment “PRIOR” regulations stated that
the 12 months need not be consecutive so there was an open
issue with respect to counting periods of employment prior to a
break in service, e.g., Employee works for employer for 3 years,
quits and does not work for employer for 5 years. When employee
returns to work, when does employee become eligible for FMLA
leave?
Periods of employment prior to a five year break in
service would count toward the 12 months of
employment eligibility requirement.
Left open issue of impact of longer break in service.
Employee Eligibility
FINAL REGULATIONS
In determining whether an employee has been employed
for a total of 12 months:
Employment periods prior to break in service of 7 years or more need
not be counted; however, an employer may consider prior
employment falling outside of cap, provided uniform application.
Except that, periods of employment prior to a break in service of more
than 7 years must be counted where:
                   •   Break due to National Guard or Reserve military service
                       duty; time served counts toward 12 months
                   •   Written agreement (e.g., Collective Bargaining
                       Agreement) exists concerning intention to rehire after
                       break in service
Employee Eligibility

Impact of final regulations on “12 months of
employment requirement”
    FMLA only requires 3 year retention of
       employment records
    Final regulations create proof issue because of
       need to review prior employment within 7 year
       period.
       It appears that the employee may have the burden of
       proof if employer doesn’t have documents after 3 years.
       However, if the employee establishes proof and the
       employer can’t disprove it, the employer have to
       recognize the prior service.
Employee Eligibility
Final Regulations

Determining employee eligibility for FMLA leave while
employee is on non-FMLA leave
   Determination of 12 months and 1,250 eligibility requirements
    must be made as of the “date FMLA leave commences”
   An employee may be on “non-FMLA leave” at the time he or
    she meets the eligibility requirements; the period of leave
    taken for an FMLA-qualifying reason after the employee meets
    the eligibility criteria will be FMLA leave
                   Carefully consider whether to provide non-FMLA leave to
                    new employees
                   New employees will in some instances become eligible for
                    more leave than employees with longer lengths of service
                    (DOL views this as employer policy issue)
Employee Eligibility

Final regulations also coordinate with USERRA
regulations to provide that an employee’s absence
due to National Guard or Reserve military
obligations count toward employee eligibility
requirements
    –   12 month requirement
    –   1,250 hour requirement
Joint Employer and PEO Issues

 Employee leasing arrangements’’—like those involving
 temporary services firms and other staffing companies—
 refer to arrangements in which the staffing firm places its
 own employees at a customer’s place of business to
 perform services for the recipient’s enterprise.

 The PEO, or "HR Outsourcing Vendor" in contrast, contracts
 with client employers merely to perform administrative
 functions for its clients such as payroll and benefits
 coverage and administration (including workers’
 compensation insurance and health insurance). The PEO
 typically has no direct responsibility over the employees of
 its clients including ‘‘hiring, training, supervision,
 evaluation, discipline or discharge, among other critical
 employer functions.’’
Joint Employment and Work Site Provision


In joint employer relationship, primary employer must give FMLA
notice, provide FMLA leave, and continued health benefits.
       For employees of temporary help or leasing entities, placement agency is
        typically the primary employer. Job restoration is the primary responsibility of
        the primary employer.
       The secondary employer is responsible for accepting the employee returning
        from FMLA leave in place of the replacement employee if the secondary
        employer continues to utilize an employee from the temporary or leasing
        agency, and the agency chooses to place the employee with the secondary
        employer.
       Secondary employer must comply with prohibited acts provisions since an
        employee on leave who is working for a secondary employer is considered
        employed by the secondary employer, and must be counted for coverage and
        eligibility purposes, as long as the employer has a reasonable expectation
        that that employee will return to employment with that employer.
       Employees jointly employed by two employers must be counted by both
        employers, whether or not maintained on one of the employer's payroll, in
        determining employer coverage and employee eligibility.
Joint Employment & Work Site Provision

PRIOR Regulations
For employees who are jointly employed, for purposes of
calculating “50 employees within 75 miles,” employee’s worksite is
primary employer’s office from which the employee is assigned or
reports

Final Regulations
   Adds provision that where employee has physically
   worked for at least one year at a facility of a secondary
   employer (e.g. client employer), the employee’s worksite
   is the facility of the secondary employer
Joint Employer Issues and PEO


Final Regulations add reference to Professional
Employer Organization (PEO)
     •   PEO not joint employer where PEO performs only
         administrative functions
     •   PEO may be joint employer where PEO retains right to
         hire, fire, directs or controls employees or benefits from
         work performed by the client employees
     •   Impact of Final Regulations - Review agreements with
         PEO to determine to what extent PEO or client employer is
         directing employees and retaining responsibility
Serious Health Condition

Retains six (6) general categories of a
“serious health condition”
     1.   Inpatient care (minimum of 1 night hospitalization)
     2.   A period of incapacity of more than 3 consecutive calendar
          days plus treatment by healthcare provider
     3.   Any incapacity due to pregnancy or prenatal care
     4.   Chronic conditions requiring treatment by a healthcare
          provider
     5.   Period of incapacity that is permanent or long-term due to a
          condition for which treatment may not be effective
     6.   Multiple treatments for non-chronic conditions that if left
          untreated would become serious health condition
Serious Health Condition

Final regulations provide clarification to
2 categories of SHC:
 –  Incapacity Plus Treatment
 –  Chronic Conditions
Serious Health Condition

Prior regulations on Incapacity Plus Treatment
SHC defined to include period of incapacity in excess of 3 calendar days and
subsequent treatment or period of incapacity - plus - Treatment 2 or more
times by a healthcare provide or Treatment 1 time by a healthcare provider
which results in regimen of continuing treatment (e.g., course of antibiotics)
under supervision of healthcare provider.
Final regulations on Incapacity Plus Treatment
Treatment by a HCP must be an “in-person visit” and the first (or only,
depending upon which definition) to the HCP must be within 7 days of first
day of incapacity With respect to requiring treatment by HCP “two or more
times,” treatment must occur within 30 days of the first day of incapacity,
absent extenuating circumstances.
             Determination of whether additional treatment visits or regimen of
             continuing treatment is necessary within the 30-day period shall be
             made by HCP (See New Certification prototype)
Medical Certification for
“SERIOUS HEALTH CONDITION”


 With the exception of certifications to support a
 request for injured service member leave,
 annual medical certifications may be required
 in cases where a “Serious Health Condition”
 extends beyond a single leave year.
CHRONIC Health Condition

 Prior Regulations - SHC defined to include chronic conditions
             •   Requiring periodic visits for treatment by a healthcare
                 provider
             •   Continuing over extended period of time
             •   Causing episodic periods of incapacity

 Final Regulations
             •   Specifies that “periodic visits” must occur at least
                 twice per year
             •   Preamble: Determination of whether periodic visits
                 are required two times per year is made by the HCP
Re-certifications for Chronic Medical
Conditions

   The Company may request medical
   re-certifications for Chronic, i.e.,
   continuing, open-ended conditions,
   “every 6 months”

   Medical re-certifications may be
   requested on a more frequent basis if
   there are other change circumstances
   or reasons
Holidays Occurring
During FMLA Leave

Prior Regulations
 •   Holiday occurring during a week taken as FMLA leave has no
     effect; full week counts as FMLA leave
 •   Open issue in regulations on impact of Holiday on FMLA
     absences of less than a full week
Final Regulations
 •   Same rule with respect to holiday occurring within week of FMLA
 •   Leave Specifies that if employee is using FMLA leave in
     increment of less that 1 week, Holiday does not count against
     FMLA leave unless employee was otherwise scheduled and
     expected to work during the Holiday
Intermittent/Reduced Schedule
 FMLA Leave

Prior Regulations
      Employees needing intermittent leave or leave on a reduced
      leave schedule “must attempt to schedule their leave so as
      not to disrupt unduly the employer’s operations”
Final Regulations
      Employee needing intermittent leave or leave on a reduced
      leave schedule must “make a reasonable effort to schedule
      the treatment so as not to disrupt unduly the employer’s
      operations”
               Slightly stronger standard
               No definition of “reasonable effort”
                  *No clear enforcement mechanism
Calculating FMLA Leave where
Employee’s Schedule Varies

 Prior Regulations
    Where schedule varies from week to week, calculation of
     FMLA leave used based upon weekly average of hours
     worked over the 12 weeks prior to the beginning of the leave
     period
 Fina l Re g ula tions
    Where employee’s schedule varies from week to week such that
     employer cannot determine with certainty what hours would have
     been worked but for FMLA leave, calculation of FMLA leave used
     based upon a weekly average of the hours scheduled over the 12
     months prior to the beginning of the leave period (including any
     periods of non-FMLA leave)
FMLA QUALIFYING EVENTS

1.   Because of the birth of a son or daughter of the
     employee and in order to care for such son or
     daughter
2.   Because of the placement of a son or daughter with
     the employee for adoption or foster care
3.   In order to care for the spouse, or a son, daughter, or
     parent, of the employee, if such spouse, son,
     daughter, or parent has a serious health condition
4.   Because of a serious health condition that makes the
     employee unable to perform the functions of the
     position of such employee
NEW Qualifying Event (Number 5)
January 16, 2009

                 Qualifying Exigencies
 Eligible employees with a spouse, son, daughter, or
 parent on active duty or call to active duty status in
 support of a contingency operation may use their 12-
 week leave entitlement to address certain qualifying
 exigencies.
 The Final Regulations clarify that qualifying exigency leave generally
 applies only to families of service members on or called to active duty in
 the armed services.
“Qualifying Exigency”

 The need for leave by the eligible employee must
 arise out of the fact that the spouse, son, daughter, or
 parent of the employee is a covered military member
 in support of a contingency operation.

 With one exception, QE leave is family leave: it is not
 leave available to an employee who is also a covered
 military member.
Qualifying *Exigency under FMLA includes the
following eight (8) categories:

1.   Short-notice deployment,
2.   Military events and related activities,
3.   Childcare and school activities,
4.   Financial and legal arrangements,
5.   Counseling,
6.   Rest and recuperation,
7.   Post-deployment activities, and
8.   Additional activities to address other events which arise out of the
     covered military member’s active duty or call to active duty status,
     provided the employer and employee agree that such leave shall
     qualify as an exigency, and agree to both the timing and duration
     of such leave.
       * Dictionary Definition of Exigency is a pressing or urgent situation requiring
       much effort or immediate action.
“Qualifying Exigency”

    (1) Short-notice deployment

    Where the covered military family member is notified
    of a deployment of 7 or less days, an eligible
    employee may take up to 7 days of leave for any
    reason related to that deployment. The 7 days
    begins to run when the covered family member is
    provided the short-notice deployment.
“Qualifying Exigency”

  (2) Military events

  Allows leave to attend any official ceremony, program
  or event sponsored by the military, and to attend
  family support and assistance programs and
  information briefings sponsored by the military, military
  service organizations, or the American Red Cross.
“Qualifying Exigency”

(3) Child care and school activities

Eligible employee may take leave to arrange for child
care or attend certain school functions of the son or
daughter of a covered military family member, including
leave to (i) arrange for alternative school or childcare; (ii) provide
childcare on an urgent, immediate need (not regular) basis; (iii)
enrollment or transfer of a child in a new school or day care facility; and
(iv) attend meetings with school or day care staff regarding discipline,
parent-teacher conferences, and school counselors.
DOL indicates that QE leave is not intended to be used to meet with staff at a
school or daycare facility for "routine" academic concerns. Obviously, in many
circumstances it will be very difficult to determine whether the need to meet with
school staff is casually related to the active duty of a covered military family
member or merely for routine academic concerns.
“Qualifying Exigency”

  (4) Financial and Legal arrangements

  Eligible employees are allowed leave to make or
  update financial or legal arrangements to address the
  covered military family member's absence while on
  active duty/call to active duty, such as preparing
  or executing a will, powers of attorney, transferring
  bank account signature authority, obtaining military
  identification cards, and securing military
  service benefits. DOL specifically mentions coverage
  to enroll in the Defense Enrollment Eligibility Reporting
  System (DEERS). Leave is not available for routine
  matters, such as paying bills.
“Qualifying Exigency”

   (5) Counseling

   QE leave is available for the employee to attend
   counseling by a non-health care provider. Leave is
   available where the counseling is needed by the
   employee, the covered military member, or the son or
   daughter of the covered military member needs
   counseling, PROVIDED that the counseling arises
   from active duty service or call to active duty. As
   examples, DOL cites counseling by a military
   chaplain, pastor, or minister, or counseling offered by
   the military or a military service organization that is not
   a health care provider.
“Qualifying Exigency”

   (6)   R&R

   The Rest and Recuperation category provides leave
   to spend time with a covered military member who is
   on short-term, temporary rest and recuperation leave
   during the period of deployment. Eligible employees
   may take up to five days of leave for each instance of
   rest and recuperation.
“Qualifying Exigency”

  (7) Post-Deployment Activities
  QE leave is available for the eligible employee to attend ceremonies
  incident to the return of the covered military family member, including
  arrival ceremonies, reintegration briefings and events, and any other
  official ceremony or program sponsored by the military for a period of
  90 days following the termination of the covered military member's
  active duty status.
  It is also available for the employee to take leave to address issues
  arising from the death of a covered military family member, such as
  meeting and recovering the body and making funeral arrangements.
  The DOL specifically noted coverage for participation in the DOD-
  sponsored Yellow Ribbon Reintegration Program. Such participation,
  moreover, is covered even if it exceeds the general 90-day limitations
  period (be a few days) for post-deployment activities.
“Qualifying Exigency”

  (8) Additional Activities

  This category allows leave to address other events
  which arise out of the covered military member’s
  active duty or call to active duty status provided that
  the employer and employee agree that such leave
  shall qualify as an exigency, and agree to both the
  timing and duration of such leave.
Reasonable & Practicable Notice
 Employees seeking qualifying exigency leave must
 give reasonable and practicable notice if the exigency
 is foreseeable.
 The notice must inform the employer that a family
 member is on active duty or called to active duty
 status, cite a listed reason for leave, and give the
 anticipated length of absence.
 Family members generally are defined broadly.
 –   A son or daughter on active duty, for example, includes an
     employee’s biological, adopted, or foster child, stepchild, legal
     ward, or
 –   one for whom the employee stood in loco parentis, regardless
     of age.
NEW Qualifying Event (Number 6)
January 16, 2009 (MILITARY CAREGIVER)

 Eligible employees may take up to 26 weeks of leave
 to care for a covered service member during a single
 12-month period.

 A covered service member is a current member of the Armed
 Forces, including a member of the National Guard or Reserves,
 who has a serious injury or illness incurred in the line of duty on
 active duty that may render the service member medically unfit to
 perform his or her duties for which the service member is
 undergoing medical treatment, recuperation, or therapy; or is in
 outpatient status; or is on the temporary disability retired list.
# 6 MILITARY CAREGIVER

Eligible employees may take more than one
period leave if the leave is to care for different
eligible covered service members or to care for
the same service member with a subsequent
serious injury or illness, except that no more
than 26 work-weeks of leave may be taken
within any “single 12-month period
# 6 MILITARY CAREGIVER

 Eligible covered service member may be a “*Next of Kin” and
 can be in the regular armed forces, Reserves, Guard, or
 anyone in those categories on a temporary disability retired
 list (TDRL).
 “*Next of Kin” excludes the covered service member’s spouse,
 parent, son, or daughter, as they already are entitled to leave for this
 purpose.
 The eligible covered service member must have a serious
 illness or injury incurred in the line of duty on active duty, as
 determined by the Department of Defense (DOD), that may
 render him medically unfit to perform the duties of his office,
 grade, rank, or rating and for which he is undergoing medical
 treatment, recuperation, therapy, or outpatient treatment or is
 on TDRL.
# 6 MILITARY CAREGIVER


 “Single 12-Month Period”

 The method for establishing the “single 12-month
 period” for purposes of military caregiver leave is a
 period that commences on the date an employee first
 takes leave to care for a covered service member with
 a serious injury or illness.

 Employers do not have the option of using the
 calendar-year method as they do for other types of
 FMLA leave.
FMLA MAY EXTEND BEYOND 26
WEEKS IN UNIQUE CIRCUMSTANCES


The 12-month period for military caregiver leave begins
on the first day of such leave, regardless of the
employer's method of calculating the 12-month leave
period for other types of FMLA leave.

As a result, an employee who has taken other FMLA
leave before beginning military caregiver leave may be
entitled to more than 26 weeks of leave in the 12-
month period beginning with the earlier FMLA leave.
# 6 MILITARY CAREGIVER

As in the case of defining a son or daughter, “parent” is defined broadly
but does not include in-laws. “Next of kin” also is defined as categories
of blood relatives, in order of priority, but the “covered service member”
may make a written designation of a specific blood relative as next of
kin, and that will control under the FMLA.

When no such designation is made, and there are multiple family
members with the same level of relationship to the covered service
member, all such family members shall be considered the covered
service member’s next of kin and may take FMLA leave to provide care
to the covered service member; either consecutively or simultaneously.

The Company can ask employees for reasonable documentation of
family relationships; a simple statement will suffice.
# 6 MILITARY CAREGIVER

  Employer may require a certification from the
  covered military member’s healthcare
  provider. In addition, Employer may request:
         Military member’s name, branch, rank, and
          assignment
         Relationship of Employee to military member
         Name of the facility where military member is
          receiving care
         A description of the care to be provided and
          estimate of the time needed
No Overlap of Service Member and
Family/Medical Leaves

 Leave that qualifies both as leave to care for a
 covered service member and leave taken to
 care for a family member with a serious health
 condition during the “single 12-month period”
 cannot be designated and counted as both
 leave to care for a covered service member and
 leave to care for a family member with a serious
 health condition.
MARRIED EMPLOYEES

In cases where the married couple is employed by the
same Company the two spouses together may take a
combined total of :
1.   12 weeks' leave during any 12-month period for reasons 1 and 2,
     or to care for the same individual pursuant to reason 3.
2.   The aggregate number of workweeks of leave to which both that
     husband and wife can take for reason 5 is 12 weeks.
3.   When both husband and wife work for The Company, the
     aggregate amount of leave that can be taken by the husband
     and wife is 26 weeks in a single 12 month period for reason 5, or
     a combination of reasons 5 and 6.
Medical Certifications

 Final regulations represent significant changes
 with new forms for all types of leave
   –   Employer must request certification within 5
       business days after receiving employee notice
   –   Employee must still provide certification within 15
       days
NEW FORMS AVAILABLE

The DOL has updated the optional forms provided to assist employers in
administering FMLA. It also has developed forms to implement the new
Military Family Leave Amendments.
The new list of optional FMLA forms include:
     1) WH-380E: New Certification of Health Care Provider for Employee’s
        Serious Health Condition
     2) WH-380F: New Certification of Health Care Provider for Family
        Member’s Serious Health Condition
     3) WH Publication 1420: Notice to Employee of Rights Under FMLA
     4) WH-381: Notice of Eligibility and Rights and Responsibilities
     5) WH-382: Designation Notice
     6) WH-384: Certification of Qualifying Exigency for Military Family
        Leave
     7) WH-385: Certification of Serious Injury or Illness of Covered Service
        member for Military Family Leave
Different Medical Certifications for
Employee and Family Members

 Recognizing that employers could benefit from having
 greater insight into the reasons why employees could
 not perform essential job functions, the DOL has
 created a new medical certification form for use in
 evaluating the medical need for leave prompted by an
 employee’s own serious health condition. (WH-380E)

 The DOL also created a separate medical certification
 form for use when employees request leave to care for
 a family member with a serious health condition. This
 form seeks information on the type of care being
 provided by employees. (WH-380F)
New “Rights & Responsibilities” Form
(WH-Publication 1420)

 At the time of their eligibility notice employees
 also must receive a written notice of “Rights &
 Responsibilities” from the Company detailing
 the specific expectations and obligations of
 employees and explaining any consequences
 of their failure to meet these obligations.
 Among other things, the Company must inform
 FMLA-eligible employees of
     1.   Any requirement to provide medical certification,
     2.   The right to substitute paid leave,
     3.   Whether and how to pay premiums for continuing benefits, and
     4.   Job restoration rights upon expiration of FMLA leave.
New “Eligibility Notice” Clarifies
Employee Rights to Leave:
 A new mandatory WH-381 form replaces the existing optional
 Form WH-381, and combines the written notice of “Rights and
 Responsibilities” required by the regulations.
     •   When an employee requests leave or employer acquires knowledge
         that an employee’s leave may be for FMLA qualifying reason, employer
         must notify employee of employee’s eligibility for FMLA leave within 5
         business days, absent extenuating circumstances
     •   Must state whether employee is eligible
     •   If employee is not eligible, employer must state at least one reason why
         employee is not eligible
     •   Employer’s notice must include how much time is designated, if known
            For unspecified leave, employer must send notice every 30 days as to
             how much leave was designated in the prior month
            Retroactive designation is permitted if no harm to employee
“Designation Notice” (WH-382)

 Once an employer has obtained sufficient information
 to determine whether an employee’s leave will be
 protected by the FMLA, the employer must notify the
 employee within five business days (a change from the
 current requirement of two business days) that the
 leave is designated as FMLA leave, absent extenuating
 circumstances.

 Of course, employers may provide the “Eligibility” and
 “Designation” notices at the same time, if they have
 sufficient information to do so.
Certifying Qualified Exigency Leave

 Employers may require certification for qualified
 exigency leave
 For example, requiring the employee to provide a copy
 of the service member’s active duty orders
 There’s an optional form, WH-384, for qualifying
 exigency certification.
  –   The regulations also allows employers to verify with a third
      party that an employee met with the third party (a teacher, for
      example) during the leave.
  –   If the employee submits a complete, sufficient certification
      supporting a request for the leave, the employer may not
      request additional information from the employee.
  –   Recertification isn’t permitted.
Certification of Need
for Caregiver Leave
 The DOL offers an optional form, WH-385, for
 certifying military caregiver leave.
        An employer must accept “invitational travel orders” (ITO) or
         “invitational travel authorizations” (ITA) issued by the DOD to
         family members for medical purposes as sufficient certification
         of the need for military caregiver leave, at least until the
         expiration date of the order or authorization.
        The government issues an ITO and ITA so that one to three
         family members can immediately travel, at government
         expense, to the bedside of an injured service member, and
         they’re not issued routinely, so the DOL believes they’re
         sufficient certification.
        Employers may seek authentication and clarification of military
         caregiver certifications but may not seek second or third
         opinions or recertification.
Employers Must Notify Employees
 of Certification Deficiencies
The Company can contact health care providers directly, but only to
authenticate certification
      – Direct supervisors may not be the Company’s representative
      – Comply with HIPAA privacy requirements with respect to
         clarification
The Company must notify the employee in writing of the additional
information that is necessary to complete the medical certification and
allow the employee seven calendar days to provide the additional
information.
If the employee fails to submit a complete and sufficient certification
despite the opportunity to cure the deficiency or give permission for
the clarification discussion, the Company may deny FMLA leave.
Fitness For Duty Certifications

 If reasonable safety concerns exist, the
 Company may now require more than a
 “simple statement” of the ability to return to
 work and may require a “fitness for duty”
 certification
Intermittent Leave
Minimum Increment

Final regulation clarifies
“minimum increment of FMLA leave”
       – Must account for leave using increment no greater
         than the shortest period of time that employer uses to
         account for other forms of leave, provided not greater
         than one hour and provided that employee’s FMLA
         leave entitlement is not reduced by more than FMLA
         leave actually taken
       – Preamble – Do not have to account for FMLA leave in
         6 minute increments, just because time system is
         capable of doing so
Inability to work overtime
protected by FMLA

The DOL has clarified that missed overtime must be
counted against the employee’s FMLA leave
entitlement if the employee would otherwise have been
required to report for duty but for the taking of FMLA
leave.
     Inability to work normally required overtime counts against
      FMLA entitlement
     Inability to work voluntary overtime does not count against
      FMLA entitlement
Full Explanation Required

   Calling in sick is not considered a sufficient notice to
    trigger an FMLA absence.
   Employees must explain sufficiently reasons for leave
    to allow the Company to determine whether the leave
    qualifies under the Act. If employee fails to explain the
    reasons, leave may be denied.
   When an employee seek leave due to an FMLA-
    qualifying reason for which the Company has
    previously provided FMLA-protected leave, the
    employee must specifically reference the qualifying
    reason for leave or the need for FMLA leave
Employees must comply with usual
and customary call-in procedures

 All employees must comply with *usual and customary
 notice and procedural requirements for requesting
 leave, absent unusual circumstances.
     Examples of “unusual circumstances” may include:
          no one answered telephone number employee called
          company voice mail box is full
          employees are unable to use telephone because they are
           seeking emergency medical treatment
 *You may have requirements providing written notice
 of the reasons and anticipated start and duration of
 the leave or requirement that employees contact a
 specific individual to request leave.
Impact of FMLA Leave
on Bonus Payments/Pay Increases

Final Regulations on Equivalent Pay
      1.   Pay increases conditioned upon seniority, length of service or
           work performed must be granted in accordance with the
           employer’s policy or practice with respect to other employees on
           an equivalent leave status for a reason that does not qualify as
           FMLA leave (no special treatment for FMLA leave)
      2.   Recognizes that attendance and safety awards are predicated
           on the achievement of a performance based goal
      3.   If bonus or other payment is based upon achievement of a
           specific goal, such as hours worked, products sold or perfect
           attendance, and employee does not meet the goal due to FMLA
           leave, then payment may be denied (so long as consistent with
           other employees on equivalent non-FMLA leave)
           Note – take into account vacation
Time spent performing light duty does
not count toward FMLA entitlement
 An employee’s right to FMLA leave and job restoration
 are not affected by light duty assignments. Thus, the
 employee’s right to job restoration is essentially on hold
 during the period of time an employee performs a light
 duty assignment.

 At the conclusion of the voluntary light duty
 assignment, the employee has the right to be restored
 to the position the employee held at the time the
 employee’s FMLA leave commenced or the employee
 may use the remainder of his or her FMLA leave
 entitlement.
Employer Notice Requirements

 Final regulations Consolidates all employer
 notice requirements into 4 parts:
    •   General Notice
    •   Eligibility Notice
    •   Rights and Responsibilities Notice
    •   Designation Notice
General Notice

Poster (new prototype form)
       •   Post in conspicuous place - Where employer has
           eligible employees, contents of the general notice (the
           contents of the poster) must be included in handbook
           or guidance (if such exist) or by distributing to new
           employees upon hire (not annual)
       •   May be distributed electronically so long as
           available to all employees
       •   May be posted electronically so long as available to
           all employees
       •   Must be posted even if no eligible employees
       •   Increase in daily penalty for failure to post - $110
Rights and Responsibilities Notice

Contents of Notice:
    •   That the leave may be designated FMLA leave if qualifying and 12
        month period
    •   Certification requirements
    •   Employee right or employer requirement to substitute paid leave
    •   Health premium payment requirements
    •   Key employee rights
    •   Employee’s right to benefits and job restoration
    •   Employee’s potential liability for failure to pay health insurance
        premiums paid by employer if employee fails to return to work
    •   Other information (such as requirement for periodic reports) may be
        included, but not required
Designation Notice

 •   Employer responsible for designating leave
 •   Prototype notice- must be in writing
 •   When employer has enough information to determine whether leave
     is taken for an FMLA qualifying reason, employer must notify
     employee within 5 business days (or earlier, if have enough
     information)
 •   Notice must address concurrent use of PTO benefits
 •   Notice must address fitness for duty (exception if covered in
     handbook policy); include list of essential functions
 •   Notice must identify amount of leave being counted against FMLA
     entitlement; if amount unknown, must provide (upon employee
     request) update on amount of leave used (but no more often than
     every 30 days and only if leave taken in that period)

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Family and medical leave act 01 16 09 updates

  • 1. FAMILY AND MEDICAL LEAVE ACT Regulations Updates Effective 01/16/09
  • 2. Employee Eligibility “12 months of employment requirement” – Prior Legal Framework  Employee must work for employer for a total of 12 months.
  • 3. Employee Eligibility 12 months of employment “PRIOR” regulations stated that the 12 months need not be consecutive so there was an open issue with respect to counting periods of employment prior to a break in service, e.g., Employee works for employer for 3 years, quits and does not work for employer for 5 years. When employee returns to work, when does employee become eligible for FMLA leave? Periods of employment prior to a five year break in service would count toward the 12 months of employment eligibility requirement. Left open issue of impact of longer break in service.
  • 4. Employee Eligibility FINAL REGULATIONS In determining whether an employee has been employed for a total of 12 months: Employment periods prior to break in service of 7 years or more need not be counted; however, an employer may consider prior employment falling outside of cap, provided uniform application. Except that, periods of employment prior to a break in service of more than 7 years must be counted where: • Break due to National Guard or Reserve military service duty; time served counts toward 12 months • Written agreement (e.g., Collective Bargaining Agreement) exists concerning intention to rehire after break in service
  • 5. Employee Eligibility Impact of final regulations on “12 months of employment requirement”  FMLA only requires 3 year retention of employment records  Final regulations create proof issue because of need to review prior employment within 7 year period. It appears that the employee may have the burden of proof if employer doesn’t have documents after 3 years. However, if the employee establishes proof and the employer can’t disprove it, the employer have to recognize the prior service.
  • 6. Employee Eligibility Final Regulations Determining employee eligibility for FMLA leave while employee is on non-FMLA leave  Determination of 12 months and 1,250 eligibility requirements must be made as of the “date FMLA leave commences”  An employee may be on “non-FMLA leave” at the time he or she meets the eligibility requirements; the period of leave taken for an FMLA-qualifying reason after the employee meets the eligibility criteria will be FMLA leave  Carefully consider whether to provide non-FMLA leave to new employees  New employees will in some instances become eligible for more leave than employees with longer lengths of service (DOL views this as employer policy issue)
  • 7. Employee Eligibility Final regulations also coordinate with USERRA regulations to provide that an employee’s absence due to National Guard or Reserve military obligations count toward employee eligibility requirements – 12 month requirement – 1,250 hour requirement
  • 8. Joint Employer and PEO Issues Employee leasing arrangements’’—like those involving temporary services firms and other staffing companies— refer to arrangements in which the staffing firm places its own employees at a customer’s place of business to perform services for the recipient’s enterprise. The PEO, or "HR Outsourcing Vendor" in contrast, contracts with client employers merely to perform administrative functions for its clients such as payroll and benefits coverage and administration (including workers’ compensation insurance and health insurance). The PEO typically has no direct responsibility over the employees of its clients including ‘‘hiring, training, supervision, evaluation, discipline or discharge, among other critical employer functions.’’
  • 9. Joint Employment and Work Site Provision In joint employer relationship, primary employer must give FMLA notice, provide FMLA leave, and continued health benefits.  For employees of temporary help or leasing entities, placement agency is typically the primary employer. Job restoration is the primary responsibility of the primary employer.  The secondary employer is responsible for accepting the employee returning from FMLA leave in place of the replacement employee if the secondary employer continues to utilize an employee from the temporary or leasing agency, and the agency chooses to place the employee with the secondary employer.  Secondary employer must comply with prohibited acts provisions since an employee on leave who is working for a secondary employer is considered employed by the secondary employer, and must be counted for coverage and eligibility purposes, as long as the employer has a reasonable expectation that that employee will return to employment with that employer.  Employees jointly employed by two employers must be counted by both employers, whether or not maintained on one of the employer's payroll, in determining employer coverage and employee eligibility.
  • 10. Joint Employment & Work Site Provision PRIOR Regulations For employees who are jointly employed, for purposes of calculating “50 employees within 75 miles,” employee’s worksite is primary employer’s office from which the employee is assigned or reports Final Regulations Adds provision that where employee has physically worked for at least one year at a facility of a secondary employer (e.g. client employer), the employee’s worksite is the facility of the secondary employer
  • 11. Joint Employer Issues and PEO Final Regulations add reference to Professional Employer Organization (PEO) • PEO not joint employer where PEO performs only administrative functions • PEO may be joint employer where PEO retains right to hire, fire, directs or controls employees or benefits from work performed by the client employees • Impact of Final Regulations - Review agreements with PEO to determine to what extent PEO or client employer is directing employees and retaining responsibility
  • 12. Serious Health Condition Retains six (6) general categories of a “serious health condition” 1. Inpatient care (minimum of 1 night hospitalization) 2. A period of incapacity of more than 3 consecutive calendar days plus treatment by healthcare provider 3. Any incapacity due to pregnancy or prenatal care 4. Chronic conditions requiring treatment by a healthcare provider 5. Period of incapacity that is permanent or long-term due to a condition for which treatment may not be effective 6. Multiple treatments for non-chronic conditions that if left untreated would become serious health condition
  • 13. Serious Health Condition Final regulations provide clarification to 2 categories of SHC: – Incapacity Plus Treatment – Chronic Conditions
  • 14. Serious Health Condition Prior regulations on Incapacity Plus Treatment SHC defined to include period of incapacity in excess of 3 calendar days and subsequent treatment or period of incapacity - plus - Treatment 2 or more times by a healthcare provide or Treatment 1 time by a healthcare provider which results in regimen of continuing treatment (e.g., course of antibiotics) under supervision of healthcare provider. Final regulations on Incapacity Plus Treatment Treatment by a HCP must be an “in-person visit” and the first (or only, depending upon which definition) to the HCP must be within 7 days of first day of incapacity With respect to requiring treatment by HCP “two or more times,” treatment must occur within 30 days of the first day of incapacity, absent extenuating circumstances. Determination of whether additional treatment visits or regimen of continuing treatment is necessary within the 30-day period shall be made by HCP (See New Certification prototype)
  • 15. Medical Certification for “SERIOUS HEALTH CONDITION” With the exception of certifications to support a request for injured service member leave, annual medical certifications may be required in cases where a “Serious Health Condition” extends beyond a single leave year.
  • 16. CHRONIC Health Condition  Prior Regulations - SHC defined to include chronic conditions • Requiring periodic visits for treatment by a healthcare provider • Continuing over extended period of time • Causing episodic periods of incapacity  Final Regulations • Specifies that “periodic visits” must occur at least twice per year • Preamble: Determination of whether periodic visits are required two times per year is made by the HCP
  • 17. Re-certifications for Chronic Medical Conditions The Company may request medical re-certifications for Chronic, i.e., continuing, open-ended conditions, “every 6 months” Medical re-certifications may be requested on a more frequent basis if there are other change circumstances or reasons
  • 18. Holidays Occurring During FMLA Leave Prior Regulations • Holiday occurring during a week taken as FMLA leave has no effect; full week counts as FMLA leave • Open issue in regulations on impact of Holiday on FMLA absences of less than a full week Final Regulations • Same rule with respect to holiday occurring within week of FMLA • Leave Specifies that if employee is using FMLA leave in increment of less that 1 week, Holiday does not count against FMLA leave unless employee was otherwise scheduled and expected to work during the Holiday
  • 19. Intermittent/Reduced Schedule FMLA Leave Prior Regulations Employees needing intermittent leave or leave on a reduced leave schedule “must attempt to schedule their leave so as not to disrupt unduly the employer’s operations” Final Regulations Employee needing intermittent leave or leave on a reduced leave schedule must “make a reasonable effort to schedule the treatment so as not to disrupt unduly the employer’s operations”  Slightly stronger standard  No definition of “reasonable effort” *No clear enforcement mechanism
  • 20. Calculating FMLA Leave where Employee’s Schedule Varies Prior Regulations  Where schedule varies from week to week, calculation of FMLA leave used based upon weekly average of hours worked over the 12 weeks prior to the beginning of the leave period Fina l Re g ula tions  Where employee’s schedule varies from week to week such that employer cannot determine with certainty what hours would have been worked but for FMLA leave, calculation of FMLA leave used based upon a weekly average of the hours scheduled over the 12 months prior to the beginning of the leave period (including any periods of non-FMLA leave)
  • 21. FMLA QUALIFYING EVENTS 1. Because of the birth of a son or daughter of the employee and in order to care for such son or daughter 2. Because of the placement of a son or daughter with the employee for adoption or foster care 3. In order to care for the spouse, or a son, daughter, or parent, of the employee, if such spouse, son, daughter, or parent has a serious health condition 4. Because of a serious health condition that makes the employee unable to perform the functions of the position of such employee
  • 22. NEW Qualifying Event (Number 5) January 16, 2009 Qualifying Exigencies Eligible employees with a spouse, son, daughter, or parent on active duty or call to active duty status in support of a contingency operation may use their 12- week leave entitlement to address certain qualifying exigencies. The Final Regulations clarify that qualifying exigency leave generally applies only to families of service members on or called to active duty in the armed services.
  • 23. “Qualifying Exigency” The need for leave by the eligible employee must arise out of the fact that the spouse, son, daughter, or parent of the employee is a covered military member in support of a contingency operation. With one exception, QE leave is family leave: it is not leave available to an employee who is also a covered military member.
  • 24. Qualifying *Exigency under FMLA includes the following eight (8) categories: 1. Short-notice deployment, 2. Military events and related activities, 3. Childcare and school activities, 4. Financial and legal arrangements, 5. Counseling, 6. Rest and recuperation, 7. Post-deployment activities, and 8. Additional activities to address other events which arise out of the covered military member’s active duty or call to active duty status, provided the employer and employee agree that such leave shall qualify as an exigency, and agree to both the timing and duration of such leave. * Dictionary Definition of Exigency is a pressing or urgent situation requiring much effort or immediate action.
  • 25. “Qualifying Exigency” (1) Short-notice deployment Where the covered military family member is notified of a deployment of 7 or less days, an eligible employee may take up to 7 days of leave for any reason related to that deployment. The 7 days begins to run when the covered family member is provided the short-notice deployment.
  • 26. “Qualifying Exigency” (2) Military events Allows leave to attend any official ceremony, program or event sponsored by the military, and to attend family support and assistance programs and information briefings sponsored by the military, military service organizations, or the American Red Cross.
  • 27. “Qualifying Exigency” (3) Child care and school activities Eligible employee may take leave to arrange for child care or attend certain school functions of the son or daughter of a covered military family member, including leave to (i) arrange for alternative school or childcare; (ii) provide childcare on an urgent, immediate need (not regular) basis; (iii) enrollment or transfer of a child in a new school or day care facility; and (iv) attend meetings with school or day care staff regarding discipline, parent-teacher conferences, and school counselors. DOL indicates that QE leave is not intended to be used to meet with staff at a school or daycare facility for "routine" academic concerns. Obviously, in many circumstances it will be very difficult to determine whether the need to meet with school staff is casually related to the active duty of a covered military family member or merely for routine academic concerns.
  • 28. “Qualifying Exigency” (4) Financial and Legal arrangements Eligible employees are allowed leave to make or update financial or legal arrangements to address the covered military family member's absence while on active duty/call to active duty, such as preparing or executing a will, powers of attorney, transferring bank account signature authority, obtaining military identification cards, and securing military service benefits. DOL specifically mentions coverage to enroll in the Defense Enrollment Eligibility Reporting System (DEERS). Leave is not available for routine matters, such as paying bills.
  • 29. “Qualifying Exigency” (5) Counseling QE leave is available for the employee to attend counseling by a non-health care provider. Leave is available where the counseling is needed by the employee, the covered military member, or the son or daughter of the covered military member needs counseling, PROVIDED that the counseling arises from active duty service or call to active duty. As examples, DOL cites counseling by a military chaplain, pastor, or minister, or counseling offered by the military or a military service organization that is not a health care provider.
  • 30. “Qualifying Exigency” (6) R&R The Rest and Recuperation category provides leave to spend time with a covered military member who is on short-term, temporary rest and recuperation leave during the period of deployment. Eligible employees may take up to five days of leave for each instance of rest and recuperation.
  • 31. “Qualifying Exigency” (7) Post-Deployment Activities QE leave is available for the eligible employee to attend ceremonies incident to the return of the covered military family member, including arrival ceremonies, reintegration briefings and events, and any other official ceremony or program sponsored by the military for a period of 90 days following the termination of the covered military member's active duty status. It is also available for the employee to take leave to address issues arising from the death of a covered military family member, such as meeting and recovering the body and making funeral arrangements. The DOL specifically noted coverage for participation in the DOD- sponsored Yellow Ribbon Reintegration Program. Such participation, moreover, is covered even if it exceeds the general 90-day limitations period (be a few days) for post-deployment activities.
  • 32. “Qualifying Exigency” (8) Additional Activities This category allows leave to address other events which arise out of the covered military member’s active duty or call to active duty status provided that the employer and employee agree that such leave shall qualify as an exigency, and agree to both the timing and duration of such leave.
  • 33. Reasonable & Practicable Notice Employees seeking qualifying exigency leave must give reasonable and practicable notice if the exigency is foreseeable. The notice must inform the employer that a family member is on active duty or called to active duty status, cite a listed reason for leave, and give the anticipated length of absence. Family members generally are defined broadly. – A son or daughter on active duty, for example, includes an employee’s biological, adopted, or foster child, stepchild, legal ward, or – one for whom the employee stood in loco parentis, regardless of age.
  • 34. NEW Qualifying Event (Number 6) January 16, 2009 (MILITARY CAREGIVER) Eligible employees may take up to 26 weeks of leave to care for a covered service member during a single 12-month period. A covered service member is a current member of the Armed Forces, including a member of the National Guard or Reserves, who has a serious injury or illness incurred in the line of duty on active duty that may render the service member medically unfit to perform his or her duties for which the service member is undergoing medical treatment, recuperation, or therapy; or is in outpatient status; or is on the temporary disability retired list.
  • 35. # 6 MILITARY CAREGIVER Eligible employees may take more than one period leave if the leave is to care for different eligible covered service members or to care for the same service member with a subsequent serious injury or illness, except that no more than 26 work-weeks of leave may be taken within any “single 12-month period
  • 36. # 6 MILITARY CAREGIVER Eligible covered service member may be a “*Next of Kin” and can be in the regular armed forces, Reserves, Guard, or anyone in those categories on a temporary disability retired list (TDRL). “*Next of Kin” excludes the covered service member’s spouse, parent, son, or daughter, as they already are entitled to leave for this purpose. The eligible covered service member must have a serious illness or injury incurred in the line of duty on active duty, as determined by the Department of Defense (DOD), that may render him medically unfit to perform the duties of his office, grade, rank, or rating and for which he is undergoing medical treatment, recuperation, therapy, or outpatient treatment or is on TDRL.
  • 37. # 6 MILITARY CAREGIVER “Single 12-Month Period” The method for establishing the “single 12-month period” for purposes of military caregiver leave is a period that commences on the date an employee first takes leave to care for a covered service member with a serious injury or illness. Employers do not have the option of using the calendar-year method as they do for other types of FMLA leave.
  • 38. FMLA MAY EXTEND BEYOND 26 WEEKS IN UNIQUE CIRCUMSTANCES The 12-month period for military caregiver leave begins on the first day of such leave, regardless of the employer's method of calculating the 12-month leave period for other types of FMLA leave. As a result, an employee who has taken other FMLA leave before beginning military caregiver leave may be entitled to more than 26 weeks of leave in the 12- month period beginning with the earlier FMLA leave.
  • 39. # 6 MILITARY CAREGIVER As in the case of defining a son or daughter, “parent” is defined broadly but does not include in-laws. “Next of kin” also is defined as categories of blood relatives, in order of priority, but the “covered service member” may make a written designation of a specific blood relative as next of kin, and that will control under the FMLA. When no such designation is made, and there are multiple family members with the same level of relationship to the covered service member, all such family members shall be considered the covered service member’s next of kin and may take FMLA leave to provide care to the covered service member; either consecutively or simultaneously. The Company can ask employees for reasonable documentation of family relationships; a simple statement will suffice.
  • 40. # 6 MILITARY CAREGIVER Employer may require a certification from the covered military member’s healthcare provider. In addition, Employer may request:  Military member’s name, branch, rank, and assignment  Relationship of Employee to military member  Name of the facility where military member is receiving care  A description of the care to be provided and estimate of the time needed
  • 41. No Overlap of Service Member and Family/Medical Leaves Leave that qualifies both as leave to care for a covered service member and leave taken to care for a family member with a serious health condition during the “single 12-month period” cannot be designated and counted as both leave to care for a covered service member and leave to care for a family member with a serious health condition.
  • 42. MARRIED EMPLOYEES In cases where the married couple is employed by the same Company the two spouses together may take a combined total of : 1. 12 weeks' leave during any 12-month period for reasons 1 and 2, or to care for the same individual pursuant to reason 3. 2. The aggregate number of workweeks of leave to which both that husband and wife can take for reason 5 is 12 weeks. 3. When both husband and wife work for The Company, the aggregate amount of leave that can be taken by the husband and wife is 26 weeks in a single 12 month period for reason 5, or a combination of reasons 5 and 6.
  • 43. Medical Certifications Final regulations represent significant changes with new forms for all types of leave – Employer must request certification within 5 business days after receiving employee notice – Employee must still provide certification within 15 days
  • 44. NEW FORMS AVAILABLE The DOL has updated the optional forms provided to assist employers in administering FMLA. It also has developed forms to implement the new Military Family Leave Amendments. The new list of optional FMLA forms include: 1) WH-380E: New Certification of Health Care Provider for Employee’s Serious Health Condition 2) WH-380F: New Certification of Health Care Provider for Family Member’s Serious Health Condition 3) WH Publication 1420: Notice to Employee of Rights Under FMLA 4) WH-381: Notice of Eligibility and Rights and Responsibilities 5) WH-382: Designation Notice 6) WH-384: Certification of Qualifying Exigency for Military Family Leave 7) WH-385: Certification of Serious Injury or Illness of Covered Service member for Military Family Leave
  • 45. Different Medical Certifications for Employee and Family Members Recognizing that employers could benefit from having greater insight into the reasons why employees could not perform essential job functions, the DOL has created a new medical certification form for use in evaluating the medical need for leave prompted by an employee’s own serious health condition. (WH-380E) The DOL also created a separate medical certification form for use when employees request leave to care for a family member with a serious health condition. This form seeks information on the type of care being provided by employees. (WH-380F)
  • 46. New “Rights & Responsibilities” Form (WH-Publication 1420) At the time of their eligibility notice employees also must receive a written notice of “Rights & Responsibilities” from the Company detailing the specific expectations and obligations of employees and explaining any consequences of their failure to meet these obligations. Among other things, the Company must inform FMLA-eligible employees of 1. Any requirement to provide medical certification, 2. The right to substitute paid leave, 3. Whether and how to pay premiums for continuing benefits, and 4. Job restoration rights upon expiration of FMLA leave.
  • 47. New “Eligibility Notice” Clarifies Employee Rights to Leave: A new mandatory WH-381 form replaces the existing optional Form WH-381, and combines the written notice of “Rights and Responsibilities” required by the regulations. • When an employee requests leave or employer acquires knowledge that an employee’s leave may be for FMLA qualifying reason, employer must notify employee of employee’s eligibility for FMLA leave within 5 business days, absent extenuating circumstances • Must state whether employee is eligible • If employee is not eligible, employer must state at least one reason why employee is not eligible • Employer’s notice must include how much time is designated, if known  For unspecified leave, employer must send notice every 30 days as to how much leave was designated in the prior month  Retroactive designation is permitted if no harm to employee
  • 48. “Designation Notice” (WH-382) Once an employer has obtained sufficient information to determine whether an employee’s leave will be protected by the FMLA, the employer must notify the employee within five business days (a change from the current requirement of two business days) that the leave is designated as FMLA leave, absent extenuating circumstances. Of course, employers may provide the “Eligibility” and “Designation” notices at the same time, if they have sufficient information to do so.
  • 49. Certifying Qualified Exigency Leave Employers may require certification for qualified exigency leave For example, requiring the employee to provide a copy of the service member’s active duty orders There’s an optional form, WH-384, for qualifying exigency certification. – The regulations also allows employers to verify with a third party that an employee met with the third party (a teacher, for example) during the leave. – If the employee submits a complete, sufficient certification supporting a request for the leave, the employer may not request additional information from the employee. – Recertification isn’t permitted.
  • 50. Certification of Need for Caregiver Leave The DOL offers an optional form, WH-385, for certifying military caregiver leave.  An employer must accept “invitational travel orders” (ITO) or “invitational travel authorizations” (ITA) issued by the DOD to family members for medical purposes as sufficient certification of the need for military caregiver leave, at least until the expiration date of the order or authorization.  The government issues an ITO and ITA so that one to three family members can immediately travel, at government expense, to the bedside of an injured service member, and they’re not issued routinely, so the DOL believes they’re sufficient certification.  Employers may seek authentication and clarification of military caregiver certifications but may not seek second or third opinions or recertification.
  • 51. Employers Must Notify Employees of Certification Deficiencies The Company can contact health care providers directly, but only to authenticate certification – Direct supervisors may not be the Company’s representative – Comply with HIPAA privacy requirements with respect to clarification The Company must notify the employee in writing of the additional information that is necessary to complete the medical certification and allow the employee seven calendar days to provide the additional information. If the employee fails to submit a complete and sufficient certification despite the opportunity to cure the deficiency or give permission for the clarification discussion, the Company may deny FMLA leave.
  • 52. Fitness For Duty Certifications If reasonable safety concerns exist, the Company may now require more than a “simple statement” of the ability to return to work and may require a “fitness for duty” certification
  • 53. Intermittent Leave Minimum Increment Final regulation clarifies “minimum increment of FMLA leave” – Must account for leave using increment no greater than the shortest period of time that employer uses to account for other forms of leave, provided not greater than one hour and provided that employee’s FMLA leave entitlement is not reduced by more than FMLA leave actually taken – Preamble – Do not have to account for FMLA leave in 6 minute increments, just because time system is capable of doing so
  • 54. Inability to work overtime protected by FMLA The DOL has clarified that missed overtime must be counted against the employee’s FMLA leave entitlement if the employee would otherwise have been required to report for duty but for the taking of FMLA leave.  Inability to work normally required overtime counts against FMLA entitlement  Inability to work voluntary overtime does not count against FMLA entitlement
  • 55. Full Explanation Required  Calling in sick is not considered a sufficient notice to trigger an FMLA absence.  Employees must explain sufficiently reasons for leave to allow the Company to determine whether the leave qualifies under the Act. If employee fails to explain the reasons, leave may be denied.  When an employee seek leave due to an FMLA- qualifying reason for which the Company has previously provided FMLA-protected leave, the employee must specifically reference the qualifying reason for leave or the need for FMLA leave
  • 56. Employees must comply with usual and customary call-in procedures All employees must comply with *usual and customary notice and procedural requirements for requesting leave, absent unusual circumstances. Examples of “unusual circumstances” may include:  no one answered telephone number employee called  company voice mail box is full  employees are unable to use telephone because they are seeking emergency medical treatment *You may have requirements providing written notice of the reasons and anticipated start and duration of the leave or requirement that employees contact a specific individual to request leave.
  • 57. Impact of FMLA Leave on Bonus Payments/Pay Increases Final Regulations on Equivalent Pay 1. Pay increases conditioned upon seniority, length of service or work performed must be granted in accordance with the employer’s policy or practice with respect to other employees on an equivalent leave status for a reason that does not qualify as FMLA leave (no special treatment for FMLA leave) 2. Recognizes that attendance and safety awards are predicated on the achievement of a performance based goal 3. If bonus or other payment is based upon achievement of a specific goal, such as hours worked, products sold or perfect attendance, and employee does not meet the goal due to FMLA leave, then payment may be denied (so long as consistent with other employees on equivalent non-FMLA leave) Note – take into account vacation
  • 58. Time spent performing light duty does not count toward FMLA entitlement An employee’s right to FMLA leave and job restoration are not affected by light duty assignments. Thus, the employee’s right to job restoration is essentially on hold during the period of time an employee performs a light duty assignment. At the conclusion of the voluntary light duty assignment, the employee has the right to be restored to the position the employee held at the time the employee’s FMLA leave commenced or the employee may use the remainder of his or her FMLA leave entitlement.
  • 59. Employer Notice Requirements Final regulations Consolidates all employer notice requirements into 4 parts: • General Notice • Eligibility Notice • Rights and Responsibilities Notice • Designation Notice
  • 60. General Notice Poster (new prototype form) • Post in conspicuous place - Where employer has eligible employees, contents of the general notice (the contents of the poster) must be included in handbook or guidance (if such exist) or by distributing to new employees upon hire (not annual) • May be distributed electronically so long as available to all employees • May be posted electronically so long as available to all employees • Must be posted even if no eligible employees • Increase in daily penalty for failure to post - $110
  • 61. Rights and Responsibilities Notice Contents of Notice: • That the leave may be designated FMLA leave if qualifying and 12 month period • Certification requirements • Employee right or employer requirement to substitute paid leave • Health premium payment requirements • Key employee rights • Employee’s right to benefits and job restoration • Employee’s potential liability for failure to pay health insurance premiums paid by employer if employee fails to return to work • Other information (such as requirement for periodic reports) may be included, but not required
  • 62. Designation Notice • Employer responsible for designating leave • Prototype notice- must be in writing • When employer has enough information to determine whether leave is taken for an FMLA qualifying reason, employer must notify employee within 5 business days (or earlier, if have enough information) • Notice must address concurrent use of PTO benefits • Notice must address fitness for duty (exception if covered in handbook policy); include list of essential functions • Notice must identify amount of leave being counted against FMLA entitlement; if amount unknown, must provide (upon employee request) update on amount of leave used (but no more often than every 30 days and only if leave taken in that period)