Florida Workers’ Compensation Joint Underwriting Association Operations Committee Report: October 9

Oct 12, 2009

The Florida Workers’ Compensation Joint Underwriting Association (“FWCJUA”) Operations Committee (“Committee”) met via teleconference on October 9, 2009 to consider a proposed severance package for employees affected by a planned staff reduction.  No other items were on the agenda.

The staff reduction is scheduled for January 1, 2010 and would affect three employees. During discussion, the Committee decided that since the FWCJUA is such a small agency and unlikely to have many future workforce reductions, that a separation agreement could be used in lieu of creating an agency severance policy.

The proposed severance package would include one week of pay for every year of service with the FWCJUA, plus a lump sum payment of $4,500.

The separation agreement also would include standard protections for the FWCJUA, such as a confidentiality clause.

FWCJUA Executive Director Laura Torrence pointed out that, because of provisions in the American Recovery and Reinvestment Act of 2009, employees eligible for Consolidated Omnibus Budget Reconciliation Act (“COBRA”) health coverage prior to January 1, 2010 would only have to pay 35 percent of the premium for the first nine months. After that, the insured would be responsible for the full premium.

The Committee unanimously voted to authorize Ms. Torrence to present the proposed severance package to the full FWCJUA Board of Governors for approval.

 

Should you have any questions or comments, please contact Colodny Fass.

 

To unsubscribe from this newsletter, please send an e-mail to ccochran@cftlaw.com.