HR Policy Manual Quick Links View/Print Entire Manual Table of Contents Forward 1. Hours 2. Definitions of Employee Groups 3. Recruitment and Appointment 4. Compensation Policies 5. Benefits 6. Other Benefits 7. Tuition Program Benefits 8. Privileges and Amenities 9. Leave Benefits 10. Leaves of Absence 11. Performance Evaluation 12. Separation/Termination 13. Institutional Policies and Procedures * Appendix A: Worker's Compensation * Appendix B: ERISA * Appendix C: Sexual Harassment * Appendix D: Disaster Emergency Plans * Appendix E: Section 504/ADA Policy & Appeals Procedure * Appendix F: Short-Term Disability * Appendix G: Animals on Campus

Seattle University
Human Resources Policy Manual

5. General Benefits

Introduction
Eligibility for Benefits
*University Insurance Programs
*Medical, Dental, and Vision Insurance
*Options to Waive Coverage
*Short-Term Disability
*Long-Term Disability
*Group Term Life Insurance and Accidental Death & Dismemberment (AD&D)
*Retirement Plan
*Benefits on Re-employment at the University
*Recognition of Prior Service Credit at an Accredited Institution for Some Benefits

* = Policies and procedures that apply to Faculty.

Introduction

This section of the policy manual is an overview and summary of general benefits the University provides for its employees without mandate from any governmental agency. HR provides specific details of each plan in formal benefit plan documents. If there is a conflict between the documents and this manual, information in the plan documents supersedes information in this manual.

5.1 *Eligibility for Benefits

Regular employees are eligible for benefits as described below and receive vacation, sick leave, and holiday pay. The benefits are pro-rated for part-time employees.

The groups of individuals listed in Section 2.2 are not eligible.

5.2 *University Insurance Programs

The following is only a summary of benefits. Refer to plan documents located in the HR Benefits Office for complete details.

A. Section 125 Plan - Flexible Benefits Plan (Flex Plan)

The University maintains combined group health insurance, disability insurance, and life insurance programs for University employees in benefit eligible positions. The plan is termed Flexible Benefits Plan (Flex Plan). The Flex Plan allows employees to pay for their healthcare and/or dependent premium medical contributions with pre-tax dollars. Benefits eligible employees may enroll in the benefits plan on the first (1st) of the month following date of hire or during the University's benefits open enrollment period. A Health Care Spending Account, Dependent Care Spending Account, and Transportation Plan (bus, ferry, parking) are also available under this program.

The University shares the cost of benefits with employees in the form of "benefit dollars." The University provides a fixed amount of benefit dollars to each eligible employee and the employee can designate choices of coverage and distribute the benefit dollars among a menu of benefits. Through the Section 125 Plan, pre-tax dollars can be used to pay premiums not covered by benefit dollars.

The plan covers the following:

1. Health Care Benefits (medical, dental, vision, prescription drug, and mental health coverage)
2. Long-Term Disability Benefits (this benefit are available following twelve (12) months continuous service)
3. Life Insurance (Basic and Supplemental) and Accidental Death and Dismemberment

B. Health and Dependent Care Spending Account

Under the healthcare and dependent care spending account programs, employees estimate the amount of eligible health care and/or dependent care expenses they will incur during a calendar year, January through December, and authorize a monthly payroll deduction to meet the estimate. The account is spread equally over the employee's pay periods and deposited into the employee's flexible spending account. Employees then submit documentation of healthcare/dependent care expenses, and the third party administrator mails or direct deposits a check directly to the employee. The maximum deferral amounts are subject to IRS regulations and, therefore, may change.

The deferral amount can be changed only if a qualifying event occurs during the plan year. Some examples of qualifying events are: birth, adoption, death, marriage, divorce, or termination of spouse's employment. Contact the HR Benefits Office or see the Flexible Spending Account Employee Change Form for more detailed information.

Note: Under IRS regulations, an employee must forfeit any money that remains in the flexible spending account at the end of the plan year.

5.3 *Medical, Dental, and Vision Insurance

A. Coverage Commencement

For regular, benefits eligible employees (see Section 2.1) benefits begin the first (1st) day of the first (1st) full month of employment.

B. Insurance Coverage Applications

To obtain coverage under the insurance plans, an eligible employee must complete the Flex Plan Enrollment form and return the form to HR within thirty (30) days of the start date of regular employment. Applications by subscribers are also accepted annually during the University's benefits open enrollment period, and in the event of a qualifying status change (e.g., marriage, birth of a child). Employees who fail to submit enrollment forms within thirty (30) days of eligibility will be enrolled in default levels of coverage.

No person acquires any right to services and benefits under any group medical, dental, or vision coverage plans until the applications are accepted.

C. Dependent Coverage

A new employee may enroll any of the following persons for comprehensive health care coverage as part of the initial application during the first (1st) full month of employment:

1. a legal spouse; and
2. unmarried dependent children under 25 years of age (over 25 years of age if disabled prior to reaching the limiting age).

Employees can make dependent coverage changes:

1. annually during open enrollment; or
2. when a qualifying status change occurs. Employees must complete a status change request within thirty (30) days (60 days for birth/adoption).

5.4 *Options to Waive Coverage

Employees may be eligible to "waive" or opt-out of enrollment in the University's insurance programs under defined circumstances. Full-time benefit eligible employees covered under another medical or dental plan may waive their medical and dental benefits if they provide proof of coverage on an annual basis. Part-time benefit eligible employees may waive medical and dental coverage without showing proof of other coverage.

The following benefits are not waivable:

1. Basic Life Insurance
2. Long-Term Disability Insurance (after twelve (12) months continuous service)
3. Basic Accidental Death & Dismemberment Insurance

5.5 *Short-Term Disability

Short-Term Disability is a benefit offered by the University to preserve partial income of those benefits eligible employees who are unable to work because of a medical condition.

A. Eligibility Requirements

An employee who has completed twelve (12) continuous months of active employment (see Section 2.3) with the University prior to the onset of the disability is eligible for this benefit. An employee must be disabled for thirty (30) consecutive calendar days to apply for this benefit.

B. Coverage

This plan takes effect on the 31st calendar day of disability. Total sick leave and Short-Term Disability payments will cease at the end of 180 days from the date of the onset of disability.

C. Benefits

As long as the employee remains in paid status, benefits and leave accrual will continue. The employee may elect to use accrued sick leave and/or vacation to supplement the partial income replacement under Short-Term Disability. A written authorization to use accrued sick leave or vacation hours during Short-Term Disability must be submitted to Human Resources.

Refer to Appendix F for more information about Short-Term Disability.

5.6 *Long-Term Disability

Long-Term Disability (LTD) is a benefit offered by the University to preserve partial income of those benefits eligible employees who are unable to work because of a medical condition. LTD picks up when Short-Term Disability benefits have been exhausted.

A. Eligibility Requirements

An active, benefits eligible employee (see Sections 2.1 and 2.3) working at .80 FTE or more (30 hours/week) is eligible to apply for LTD Insurance. Coverage begins on the first (1st) day of the thirteenth (13th) month of active employment.

B. Coverage

LTD benefits take effect after satisfying 180 consecutive calendar days of disability. The benefit under the LTD plan is sixty percent (60%) of salary up to a maximum of $9,000 per month. The employee's LTD benefit may be reduced by the amount of other income replacement benefits (such as Social Security or workers' compensation) the employee receives for the same disability.

C. Employment Status

If it is determined that the employee is unable to return to work, their employment will be terminated as of the date the employee qualifies for LTD unless it appears that the employee may be able to return to work in the near future.

D. Benefits

An employee on long-term disability may continue to participate in the University's health care benefits program. Coverage cost and period of coverage are determined by the rules and regulations of the federal COBRA program.

Refer to the plan documents maintained in the HR Benefits Office for more information about the LTD plan. LTD benefits continue as long as the employee remains disabled according to the standards set forth by the insurance carrier.

5.7 *Group Term Life Insurance and Accidental Death & Dismemberment (AD&D) Insurance

All active, benefits eligible employees (see Sections 2.1 and 2.3) and Union employees are eligible to participate in the basic life and AD&D insurance programs. Employees may also purchase supplemental life, dependent life, and family AD&D insurance coverage for eligible spouses and dependents (supplemental amounts and premiums are age-based). Contact the HR Benefits Office for details.

5.8 *Retirement Plan

A. Eligibility and Enrollment

Eligibility for the University's Defined Contribution Retirement Plan is based on twelve (12) continuous months of service at half-time or greater, unless prior service credit applies (see Section 5.10). HR notifies employees when they become eligible. To participate in the plan, employees must complete the necessary form(s) before the date of eligibility.

B. 403(b) Defined Contribution Retirement Plan

The University offers a 403(b) Defined Contribution Retirement Plan to eligible employees. Once the employee is eligible, the University contributes ten percent (10%) of base salary to an account of the employee's choice with either TIAA-CREF or Fidelity Investments. Participating employees are immediately 100% vested (i.e., retirement account is owned by the employee) at enrollment. Enrollment materials and plan documents are available in the HR Benefits Office.

Special note: An employee who fails to return the enrollment form(s) by the end of the month in which eligibility occurs will by default be enrolled in a TIAA-CREF Group Retirement Account and contributions will be deposited in the CREF Money Market Account. At any subsequent time, by contacting TIAA-CREF, the participant may transfer account accumulations to either a Fidelity Investments account or into other funds offered by TIAA-CREF.

C. Supplementary Retirement Account Plan

Eligible employees may make additional, tax-deferred contributions by salary reduction, on a monthly basis (except for months in which no salary is paid). The premiums may be applied to regular group retirement contracts or TIAA-CREF's Group Supplemental Retirement Annuity (GSRA) contracts, or Fidelity Investments or both at the employee's election. Contributions are subject to the contribution limitations of Sections 402(g) and 415 of the Internal Revenue code.

Plan representatives offer limited counseling services about the options available through the University retirement plans. Plan representatives may also make referrals to investment professionals who offer in-depth planning services.

D. Plan Contributions During a Leave of Absence

Retirement contributions continue to be made based on compensation paid during a leave of absence. No contributions are made during an unpaid portion of any leave of absence.

5.9 *Benefits on Re-employment at the University

Employees who are rehired within one (1) year of separation of service from Seattle University are given recognition for prior service (unless a specific benefit contract requires a break in service when an employee separates) for the following employee benefits:

• Employees will be given credit for prior service and reinstated at the appropriate level of vacation accrual as before their break in service;
• Sick leave benefits accrued but unused prior to separation with be reinstated;
• Prior service will be counted in the 12-month waiting period for Class III covered dental benefits;
• Eligibility for tuition remission benefits will be reinstated at rehire if the eligiblity period had been satisfied during prior service;
• Prior Service will be counted toward the Year of Service eligibility requirement for the Retirement Plan provided that the employee completes 1000 or more hours of service within the period constituting their Year of Service.

Employees who separate and are re-hired after one (1) year of their separation date are considered new employees for the purpose of accruing and receiving benefits with the exception of the Retirement Plan.

For purposes of the Retirement Plan, an employee who had previously met the Year of Service requirement at Seattle University will be eligible to participate in the Plan the first of the month following re-employment provided they are an Eligible Employee.

5.10 *Recognition of Prior Service Credit at an Accredited Institution for Some Benefits

The University recognizes qualifying former employment, as defined below, to determine eligibility for certain benefits.

A. Two (2) Years Prior Service - Retirement Benefits

If an employee has established prior service based on the following criteria, the University will begin contributions to a retirement account the first (1st) full month of employment. Employees must:
i. Be at least 21 years of age;
ii. Have completed two (2) years of continuous full-time employment at accredited* institutions of higher education. "Continuous" is defined as two consecutive years in higher education allowing only non-working breaks of service.

B. Five (5) or More Years Prior Service - Vacation/Tuition Remission

Employees who have completed five (5) or more years of continuous full-time employment at a single accredited* institution of higher education immediately prior to employment will:
i. Accrue vacation benefits consistent with their prior years of service, provided they do not exceed the amount offered to university employees with equal years of service; and
ii. Have satisfied eligibility requirements for tuition remission programs.

* Prior university must be accredited in accordance with Seattle University policy.

"Immediately prior" is defined as higher education being the last place of employment. If during the course of employment at the prior university the employee has a non-working break in service of no longer than six months, and all other criteria are met, prior service requirements will be satisfied.

Resources

TIAA-CREF: http://www.tiaa-cref.com
Fidelity Investments: http://www.fidelityatwork.com