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House Passes COBRA Subsidy Extension and..What's This? Restrictions on Arbitration Clauses??
From: Connecticut Employment Law Blog
The health care bill debate seems all consuming. At least in terms of press coverage. But yesterday, the House of Representatives passed a defense

spending bill (H.R. 3326) that, according to the DC Employment Law Update:  "prevents most defense contractors and subcontractors from forcing their employees or independent contractors to sign, as a condition of employment, agreements to arbitrate certain employment-related claims. The Senate approved this provision ... in October." The arbitration provision conditions the receipt of a federal defense contract worth more than $1 million on two agreements by the company. Detail...
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Defense Contractors May Be Barred From Using Pre-Dispute Arbitration Provisions With Employees
Connecticut is chock-full of defense contractors. Which is why an amendment that was slipped into the Senate defense appropriations bill should now be one that is closely followed by those contractors. This week, the Senate approved of an amendment that will prohibit

Copyright 2009 Daniel A. Schwartz

defense contractors from requiring their employees sign arbitration agreements as a condition of their employment. Specifically, the measure states: None of the funds appropriated or otherwise made available by this Act may be used for any existing or new Federal contract if the contractor or a subcontractor at any tier requires that an emplo...
More | Connecticut Employment Law Blog
Congress Extends COBRA Subsidy
Over the weekend, the Senate passed a defense spending bill that included -- among many other things -- an extension of the COBRA premium subsidy provision that's about to expire. (You can find the entire bill at the website of the Library of Congress; search for the bill number, H.R. 3326, then skip ahead to Section 1010). The House already passed the bill, and it's been sent to the President for signing. Currently, the COBRA subsidy allows those who are involuntarily terminated from September 1, 2008, through December 31, 2009 to receive a subsidy of 65% of their COBRA premium payments for up to nine months. The subsidy went into effect on March 1, 2009, which means that the first group of eligible folks -- those who had already lost their jobs and have been receiving the subsidy s...
More | Nolo's Employment Law Blog
Twas the Night Before Christmas: COBRA Subsidy Extension and Health Care Bill Special Edition
Twas the night before Christmas With a whole bunch of laws, A new COBRA was stirring, with a health bill (and flaws?) Congress sure has been busy the last few days. This Christmas Eve morning, the Senate passed a landmark health care bill.  No doubt, it will continue to be tweaked and modified as the House and Senate seek to reconcile their respective bills.  I don't think you will find anyone who believes it is perfect and without flaws. But the passage today ensures that employers are going to have some new work cut out for them in 2010 as the provisions of the bill start getting implemented.  I will recap the provisions affecting employers once it becomes a little clearer in the reconciliation process. Until then, employers can (and should) focus on the COBRA subsidy exte...
More | Connecticut Employment Law Blog
COBRA Subsidy Extension Becomes Law; What Employers Need to Do Now
So, President Obama signed a bill that extends the COBRA subsidy. No big deal, right? Well, not exactly. First, let's go over what's in the final provision: The eligibility period to receive the COBRA subsidy has been extended two months -- to February 28, 2010. That means that individuals w

ho have been laid off recently who were going to start on COBRA on 1/1/10 are now eligible for COBRA. More importantly, the COBRA subsidy period (i.e. the time that individuals can get the government to subsidize part of the cost of the premium) has now been extended to 15 months (up from 9 months.) This means that individuals who ...
More | Connecticut Employment Law Blog
COBRA Subsidy Coming to an End, Kind Of - What Employers Need to Know
This week, both the Hartford Courant and the Hartford Business Journal,  have run lengthy articles suggesting that the COBRA subsidy -- which went into effect in February of this year -- is coming to end for most workers.  Unfortunately, the articles miss the big picture of the law and, in doing so, add to the confusion surrounding the law. So, let's take a moment to understand the context.

Before February 2009, laid off workers who wished to continue their health benefits had an option to do so but typically by paying the full amount of the premiums. They could do so under the law known as COBRA. Then in February 2009, Congr...
More | Connecticut Employment Law Blog
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