Administrator Instructions
INTRODUCTION
Leave of Absence
Benefits may be maintained on a Leave of Absence without pay for a period of up to 3 months for layoffs, 18 months for a general leave or suspension, and 24 months for an Education Leave. PROCEDURES If the employee wishes to continue benefit coverage, they must fill in an Option to Continue Employee Benefits and a Leave Management Transaction form. These forms are then submitted to their supervisor for approval then to the Personnel/Pay office for recording and certification. Pay/Personnel then forwards the Option to Continue Benefit form to Employee and Family Benefits to prepare a billing for the cost to continue benefits which is forwarded to the employee with a copy to the Payroll Supervisor, Victoria. LEAVES WITH PAY Benefit coverage continues uninterrupted at no additional cost to the employee. LEAVES WITH PARTIAL PAY If the employee is on a leave with partial pay, they may choose to top up their Long Term Disability premium to 100% coverage. If they DO NOT top up their LTD premium and subsequently become disabled, their LTD benefits - if they are eligible - will be based on the partial pay rate received during the leave. LAYOFF REGULAR BARGAINING UNIT EMPLOYEE ON LAYOFF Regular employees on layoff who elect to be placed on a recall list may pay premiums for a maximum of three calendar months immediately following layoff. Coverage, otherwise, terminates the end of the month on which layoff occurs. The ministry and employee complete the "Regular Employees on Layoff Election" form (see forms section) and follow the payment procedure outlined in Section 5.2.
Regular employees who have been laid off 12 months or less will have coverage reinstated the first day the employee returns to work, otherwise the employee has to re-qualify. AUXILIARY BARGAINING UNIT EMPLOYEE (WITH BENEFITS) ON LAYOFF Auxiliary employees on layoff and on a recall list may pay premiums for a maximum of three calendar months immediately following layoff. Coverage, otherwise, terminates at the end of the month in which layoff occurs. The ministry and employee complete the Option to continue benefits form and follow the payment procedure outlined. Auxiliaries (with benefits) who have been laid off nine months or less will have coverage reinstated the first day the employee returns to work, otherwise the employee has to re-qualify. Employee and Family Benefits will terminate coverage when the maximum three-month period has expired and the employee has paid to maintain their benefits during the three month period. It is very important for the Ministry to: • inform Employee and Family Benefits when an employee has been recalled and to specify the exact dates of absence; and • take the appropriate payroll action when an auxiliary employee is entitled to resume benefit plan coverage upon return to work. AUXILIARY (WITH BENEFITS) ON WCB Auxiliary employees on WCB direct pay may pay premiums for the period on WCB direct pay where they would have continued to be employed and not lost their seniority. They may continue benefit coverage as long as absent on WCB direct pay except where the employee would have been laid off. From the end of the month of layoff, the employee may continue coverage for a further three months. Coverage continues for the remainder of the month in which WCB direct pay starts at no additional cost. The Ministry and employee complete the Option to continue benefits form, follow the procedures outlined and add a note that the employee is on WCB direct pay. Where the coming date of layoff is known, it should be added to the note.
If the employee wishes to continue benefits for the first three months of lay off, the employee must complete an “ Option to Continue Benefits” form.
DEFERRED SALARY LEAVE The employee may choose to continue monthly contributions to the Deferred Salary Leave Program while on a leave of absence without pay by contributing directly to the carrier. Not contributing will terminate participation in the Deferred Salary Leave Program. For more information on the Deferred Salary Leave Program see (LEAVES WITHOUT PAY) WHEN CONTRIBUTIONS ARE REQUIRED An employee who has been granted a leave of absence without pay of less than a full calendar month and who has received pay within that month will remain covered by benefits and will not be required to pay a premium. An employee who has been granted leave of absence without pay for a full calendar month or more, can elect to maintain benefits coverage by paying the premium directly. NOTE: AUXILIARY BARGAINING UNIT EMPLOYEES ARE NOT ENTITLED TO A LEAVE OF ABSENSE. PROCEDURES TO CONTINUE BENEFIT COVERAGE • a copy of the approved Option to Continue Benefits while on Leave without pay is to be forwarded to Employee and Family Benefits before the start of the leave of absence. • a statement will be forwarded by Employee and Family Benefits to the employee for the premiums owing for the leave period with a copy to the pay office. • to maintain coverage for benefits, the employee must submit a cheque payable to the "Minister of Finance and Corporate Relations" for the full cost of the benefits in advance of the leave of absence or prior to each month of absence. • Coverage must be continuous from date leave begins. It cannot be picked up after the leave has started or ended after the decision to continue benefits has been implemented. • all premium payments are to be forwarded to Employee and Family Benefits.
Note: Failure to pay a premium terminates benefit coverage. If an employee elects to maintain coverage it must be continuous e.g. starts immediately on first day of leave of absence. Coverage will not be reinstated retroactively during the leave. Coverage can only be continued for benefits in place prior to the leave. COVERAGE WHILE WAITING FOR LTD APPROVAL An employee is considered to be on a leave of absence without pay if benefits under the STIIP have run out and they are waiting for a decision on LTD benefits. If the employee pays premiums for selected benefits and is subsequently accepted on Long Term Disability, any premiums they paid after the date LTD coverage begins will be refunded. SUSPENDED WITHOUT PAY An employee suspended pending termination is not eligible to continue benefit coverage. An employee on suspension for part of a calendar month continues to be covered by benefits for that month providing pay was received for part of the month. An employee who has been suspended without pay for a full calendar month or more, is eligible to continue coverage provided the employee pays the premium as described in the Leave of Absence section. An employee on suspension can elect coverage for a period not to exceed 18 months. Employee and Family Benefits must be notified of any suspensions without pay to ensure that proper contributions are made where an employee elects to maintain coverage. A copy of the approved Option to Continue Benefits while on Leave without pay and a copy of the approved Leave Management Transaction form (or equivalent form) are to be forwarded to Employee and Family Benefits before the start of the suspension. MATERNITY, PARENTAL AND ADOPTION LEAVES Benefit coverage is maintained by the employer for these leaves.
Long Term Disability and Group Life Insurance during these leaves are compulsory. If there is not a return to work that matches the duration of the Maternity/Parental leave, these two benefits MUST be paid back on a pro-rata basis. Extended Health Care and Dental and Medical Services Plan coverage are optional (as they are at any other time). The employee must submit change forms if they wish the coverage cancelled. The ministry should notify Employee and Family Benefits if an employee does not return to work from Maternity/Parental. If the employee terminates he/she will be sent a bill. The employee may pay back in a lump sum or on a month to month basis equivalent to the length of their leave. e.g. if the leave was six months, they have six months from date of our bill to pay back the full cost of the continued benefits. Group Life Insurance The employee's share of Group Life premiums (e.g. any amount over their minimum coverage) will be deducted from their first pay cheque upon return to work, or from the top up cheque.