COBRA subsidy extended: The 65% COBRA subsidy has been extended by six months from the ARRA’s original nine months under provisions enacted effective December 21^st. The subsidy will now be available for individuals involuntarily terminated thru 2/28/2010. (was 12/31/09)  Employees are eligible as long as the qualifying event occurs by February 28^th.

Notice update: The Dept. of Labor will be issuing model notices to reflect changes. These notices must be sent by plan administrators to affected individuals by 2/17.  Plan administrators must provide these new notices of the extension rights to individuals who became eligible on or after 10/31/09. The emergency review of the revised notices by DOL should have been completed by January 8^th. Check for notice at www.dol.gov/ebsa/cobra.html.

FLSA misclassification continues: Although the Fair Labor Standards Act controlling wages paid and hours worked has been around since 1938, it remains a hot area of litigation to this day. Exemptions from the law dealing with its overtime provisions - professional, administrative, executive, computer professionals and outside sales - are  allowed by the law – but the qualifying factors can be tricky.  Note also that the focus of litigation is shifting to small to mid-size firms.

Thoughts of spring? There’s a growing (?) idea among employers – sponsoring company gardens. Employers like PepsiCo find the concept a plus for encouraging employee health and dietary awareness. Along with vegetables and fruits, morale grows as well. Employee participation is voluntary and usually conducted during off hours.  Produce is shared among volunteers with surpluses donated to local food banks. [I’m interjecting this feature precisely because it’s January and I’m in Buffalo – ed]

These articles have been drawn from HRNotes, a monthly on-line publication from LOOMIS Associates.  For the complete newsletter, please go to www.loomisassociates.vpweb.com.