Welcome to Foresight and Insight.

The Hartford’s Group Benefits Division is pleased to provide updates on newsworthy legislative and regulatory actions related to group disability and life insurance. Periodically, we’ll also offer more in-depth reports on workplace, workforce and benefit trends.

In the May 2009 edition:

Survey Says FMLA is the Number One Employment Law Headache

A recent survey by Human Resources, Business & Labor Reports shows that the Family and Medical Leave Act (FMLA) causes bigger headaches for human resource professionals than any other federal employment-related law.

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EEOC Issues Employer Best Practices Document on Caregiver-Friendly Policies

On April 22, 2009, the U.S. Equal Employment Opportunity Commission (EEOC) held a meeting to receive testimony and discuss EEOC guidance for employers to steer clear of practices that are, or may appear to be, discriminatory against workers with caregiving responsibilities. The agency has released  a supplement to its 2007 guidance document.

See also: Questions and answers excerpted from the EEOC’s enforcement guidance on Unlawful Disparate Treatment of Workers with Caregiving Responsibilities.

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Obama Nominates Kathleen Martinez as Assistant Secretary of Labor for the Office of Disability Employment Policy

On April 20, 2009, President Barack Obama nominated Kathleen Martinez as assistant secretary of labor for the Office of Disability Employment Policy, Department of Labor.  ODEP is responsible for developing disability employment policies and collecting data regarding the employment of individuals with disabilities.

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Dr. Quincy Krosby Offers Observations on the Economy and the Markets

In her second quarter commentary, The Hartford’s chief investment strategist offers her perspective on the economic outlook.

Connecticut Insurance Commissioner Addresses Ethical Sales Practices

Connecticut Insurance Commissioner Thomas Sullivan recently released a bulletin addressing responsible and ethical business behavior during these unprecedented economic times. Addressed to CEOs of all insurance companies licensed in Connecticut, the message warned companies and their representatives against making “unfair or misleading statements, implications or innuendos about the financial condition or solvency of other companies.”

• Read the full article

Challenge Your Employees to Test Their "PDQ"

PDQ stands for Personal Disability Quotient. If you provide disability insurance to your employees or offer it on a voluntary basis, here is an engaging and clever way to help them appreciate the value of this protection benefit. Provide a link to an easy-to-use calculator, offered by the Council for Disability Awareness, at www.WhatsMyPDQ.org. Employees can use this interactive tool to determine if they have enough coverage to meet their needs.

Survey Says FMLA is the Number One Employment Law Headache¹

When asked “Which federal employment-related law gives you the biggest headache?”, nearly half of the respondents (49%) said it was FMLA. COBRA was a distant second at 13%, followed closely by the FLSA at 12%.  Other laws cited by respondents included HIPPA at 8%, the ADA at 8%, OSHA at 5%, and ERISA at 5%.

Late last year the Department of Labor issued new FMLA regulations, which made several changes designed, in part, to improve communication between employers and employees. Several months have now passed since the new regulations took effect (January 16, 2009), but it appears that many HR professionals still find the law difficult to navigate.

EEOC Issues Employer Best Practices Document on Caregiver-Friendly Policies²

The agency’s new guidance, Employer Best Practices for Workers with Caregiving Responsibilities supplements Unlawful Disparate Treatment of Workers with Caregiving Responsibilities, a guidance document issued by the EEOC in 2007. “Caregiving responsibilities” include child care, elder care, and care for immediate family members with disabilities.

The 2007 guidance explains the circumstances under which discrimination against workers with caregiving responsibilities might constitute discrimination based on sex, disability or other characteristics protected by Title VII, the Americans with Disabilities Act, and the Rehabilitation Act. The new best practices guidance was explained by Dianna Johnston, Assistant Legal Counsel, and includes:

• a general overview that encourages employers to become familiar with applicable discrimination laws and to educate employees about prohibited conduct and common caregiver stereotypes;
• suggestions to facilitate the equitable recruitment, hiring, and promotion of individuals with caregiving responsibilities; and
• proactive practices regarding the terms, conditions and privileges of employment to accommodate caregivers.

Acting EEOC Chairman, Stuart Ishimaru, and Acting Vice Chair, Christine Griffin, spoke in favor of the guidance. They focused their remarks on the importance of steering clear of practices that are, or may appear to be, discriminatory against workers with caregiving responsibilities, particularly during the current economic climate. Acting Chairman Ishimaru expressed concern about the stigma sometimes associated with employees who use caregiver accommodations.

Commissioner Constance Barker, expressed concern that the best practices guidance might not state as clearly as the 2007 guidance that caregivers are not a protected class under EEOC-enforced statutes. Commissioner Naomi Earp expressed the same concern, and questioned Ms. Johnston about the relegation to a footnote of the clarifying statement, which states that “[n]either the 2007 Guidance nor this document create a new prohibited basis for discrimination.” 

Additional information on the meeting, including the speakers’ bios and remarks, as well as links to the 2007 guidance document and recent supplement, is available at the EEOC Web site.

Obama Nominates Kathleen Martinez as Assistant Secretary of Labor for the Office of Disability Employment Policy⁴

Blind since birth, Martinez has served in numerous posts promoting the rights of disabled individuals. She currently serves as the executive director of the World Institute on Disability in Oakland, California.

Martinez also directs Proyecto Visión, a center designed to increase employment opportunities for Latinos with disabilities in the United States, and Access to Assets, an asset-building project designed to help reduce poverty among individuals with disabilities.

Prior to this role, Martinez was appointed by Condoleezza Rice to serve on the State Department’s advisory committee on disability and foreign policy. Martinez has also served on the National Council on Disability. 

President Obama first announced Martinez’s intended nomination on March 20, 2009.

Connecticut Insurance Commissioner Addresses Ethical Sales Practices

The bulletin, dated April 20, 2009, reminds insurance sales representatives and the entire insurance industry of its responsibility to avoid contributing to the loss of public confidence especially as it relates to the continued financial challenges of U.S. life insurers.

Commissioner Sullivan specifically addresses the scare tactics used by companies and their representatives as they attempt to persuade consumers to replace or liquidate their policies in response to misleading statements or innuendos about the financial condition or solvency of other insurance companies. These acts are defined as unfair methods of competition and deceptive practices in the business of insurance.

The Connecticut Insurance Department says it is committed to holding all insurers accountable, and all replacement activities will be scrutinized to ensure that all insurers operate with integrity and the best interest of consumers in mind.

Challenge Your Employees to Test Their "PDQ"

PDQ stands for Personal Disability Quotient. If you provide disability insurance to your employees or offer it on a voluntary basis, here is an engaging and clever way to help them appreciate the value of this protection benefit. Provide a link to an easy-to-use calculator, offered by the Council for Disability Awareness, at www.WhatsMyPDQ.org. Employees can use this interactive tool to determine if they have enough coverage to meet their needs.

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