HUMAN RESOURCE MANAGEMENT. Human Resources Employee Benefits
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1 HUMAN RESOURCE MANAGEMENT Human Resources Employee Benefits
2 HUMAN RESOURCES MISSION STATEMENT The mission of the Human Resources Department is to be the leader in providing for and serving the human capital needs of the City s workforce so that we attract and retain diverse and skilled employees who deliver value to our citizens. The mission of Employee Medical Services is to provide limited on-site medical services for employees and promote comprehensive wellness initiatives that give City employees, their family members, and retirees the tools they need to take charge of their personal health and well-being, thereby reducing overall health care expenditures. PROGRAM DESCRIPTIONS Recruitment and Selection: Administers organizational staffing programs, which include direct and web-based recruitment, selection, promotions/transfers, pre-employment and promotional testing, career planning programs, and all related compliance programs. Coordinates contracted seasonal workforce, community volunteers, and a non-traditional workforce initiative. Human Resources Information Systems Management: Maintains electronic records and imaged employee database management systems to maximize access/utilization of employee records and applicant information. Classification and Pay Administration: Manages the City s classification and pay plan and performance appraisal system. Administers the City s diversity initiatives that support fairness and equal access in recruiting, selection, retention, training, and benefits, and weaves diversity considerations throughout all aspects of the organization. Benefits Administration: Designs, administers, and maintains a cost effective comprehensive benefits package for active and retired employees, which include health and dental insurance, medical and dependent spending accounts, life insurance, retirement, work/life counseling assistance, supplemental retirement, disability, longterm care, education assistance, retirement/deferred compensation/401k plans and various paid leaves. Employee Relations/General Administration: Administers and directs general human resource programs that enhance employee relations, policy development, long-range planning and overall program compliance with federal and state regulations. Administers and directs the City s wellness initiatives. Provides consultation to employees and supervisors in resolving discipline and morale problems and grievances, and administers internal employee communications regarding benefits and policy/procedure changes. Employee Training and Development: Provides an array of in-person and on-line services designed to develop and improve individual and work group employee performance. Assists with the Employee Service Excellence initiative which strives to create a culture of excellent customer service. Wellness Education and Training: Provides educational programs on personal health and holistic wellness, as well as occupational medical training mandated to meet regulatory requirements. Record Keeping: Maintains OSHA, Labor Department and Industrial Commission mandated records for employee injuries, medical records, and training requirements. Medical Services: Provides medical treatment and/or triage for employees injured on the job and nursing care for employees who have minor illnesses/injuries. Provides personal medical services for employees; blood pressure monitoring, allergy shots, general health consulting and referrals. Administers a comprehensive Wellness Program that includes on-site medical screening. Provides OSHA mandated medical surveillance, audiometric testing, TB skin tests, and pulmonary function tests. 148
3 HUMAN RESOURCES EXPENDITURES BY PROGRAM FY FY FY Change Human Resources $1,546,879 $1,669,310 $1,721, % Employee Wellness and Development 173, , , % Total Expenditures by Program $1,720,735 $1,862,500 $1,916, % PERFORMANCE MEASURES AND SERVICE TRENDS Actual FY Estimated FY Projected FY Effectiveness Percent of positions filled by the promotion from within program 27% 30% 33% Average cost of claims per member $319 $320 $321 Maintain a 95% accuracy rate for annual enrollment change 98% 97% 98% requests Resolve 75% of injuries within Employee Health 76% 70% 75% OSHA medical surveillance & compliance interactions Achieve 90% participation rate in voluntary health screenings 82% 82% 82% Workload Number of Applications Processed 16,295 21,000 18,647 Number of Medical Claims Processed 220, , ,055 Total training hours per employee Number of risk-reduction or patient education programs (i.e. 2,947 1,205 1,500 smoking cessation, weight management, diabetes) per year Number of flu shots 1,143 1,210 1,200 Number of injury clinic visits EXPENDITURES BY TYPE FY FY FY Change Personnel $859,186 $994,980 $1,019, % Supplies and Services 861, , , % Total Expenditures by Type $1,720,735 $1,862,500 $1,916, % RESOURCES BY TYPE Interfund Revenue $130 $0 $0 0% Contributions 1, % Other General Fund Revenues 1,719,255 1,862,500 1,916, % Total Resources by Type $1,720,735 $1,862,500 $1,916, % Positions Change Full-Time
4 EMPLOYEE BENEFITS MISSION STATEMENT The mission of the Employee Benefits program is to create, administer, and communicate a cost effective comprehensive benefits package for active and retired employees that includes health, dental, flexible benefits spending, life, retirement, supplemental retirement, employee wellness, disability, education assistance and various paid leaves of absence. PROGRAM DESCRIPTIONS Administers the employee benefits program, which combines subfunds used for employee health care, retiree health care and death benefit, dental, flexible benefits spending, and workers compensation. Accounts for employee benefits expenditures, such as social security (FICA), North Carolina retirement system contributions, 401(k), unemployment insurance, life insurance, tuition reimbursements, and deferred compensation. Funds the employee wellness programs. EXPENDITURES BY FUND FY FY FY Change Workers Compensation Fund $6,256,603 $2,395,370 $2,385, % Retiree Life and Health Fund 7,787,568 9,231,130 9,231,200 0% Health Benefits Fund 18,404,278 19,459,300 21,159, % Dental and Flex Spending Fund 2,052,721 1,950,000 1,980, % Employment Taxes and Benefits Fund 23,073,791 23,705,450 22,585, % Total Expenditures by Fund $57,574,961 $56,741,250 $57,342, % EXPENDITURES BY TYPE FY FY FY Change Personnel $615,353 $647,450 $667, % Operations 1,419,399 1,835,780 1,829, % Cash Capital 6, N/A Payments to Health Providers 24,687,444 27,600,000 28,850, % Medicare Supplement Insurance 1,455,672 1,400,000 1,400,000 0% Employer Paid Benefit Expenses 19,293,571 22,134,360 21,768, % Claims and Benefits Reserves 1,479,389 1,120, , % Dental Care Expenses 1,190,683 1,080,000 1,087, % Flexible Benefits Spending 783, , , % Transfer to General Fund (Employee Safety Program) 143, , , % COPS Repayment 5,500, N/A Interfund Transfer to Health Benefit Fund 1,000, N/A Total Expenditures by Type $57,574,961 $56,741,250 $57,342, % 150
5 EMPLOYEE BENEFITS RESOURCES BY TYPE FY FY FY Change City Contribution $42,157,940 $47,212,260 $48,372, % Employee Contribution 7,076,297 7,435,200 7,935, % Other Agency Contributions 43, , , % Reimbursements 515, , , % Interest Income 5,593,880 1,000,000 1,000,000 0% Interfund Transfer from Taxes & Benefits Fund 1,000, N/A Fund Balance Appropriation 1,187, , % Total Resources by Type $57,574,961 $56,741,250 $58,011, % Addition to Fund Balance $0 $0 $668,790 N/A Positions Change Full-Time BUDGET HIGHLIGHTS - Budgeted expenditures in the Employment Taxes and Benefits Fund are decreased $1,119,690, or 4.7%, primarily due to a one-time payment to fund an unemployment insurance reserve (-$750,000) in FY 13-14, as mandated by State law. Employer-paid benefits expenses in this fund are decreased $365,510, or 1.7%, based on actual trends in expenditures. - Budgeted reimbursements are increased $335,640, or 135.5%, due to increased rebates provided by the City s prescription drug provider. - The budgeted addition to fund balance is the net of addition to fund balance in the Retiree Life and Health Fund (+$1,067,650) and a projected use of fund balance in the Employee Taxes and Benefits Fund (-$398,860). - Budgeted expenditures in the Health Benefits Fund are increased $1,700,370, or 8.7%, almost entirely due to rising health care costs. The proposed budget includes an anticipated increase of 5% in premiums paid by employees for health insurance to help cover the rising cost of health care. The tables below show the effect of this increase on active employees: Coverage Level Active Employee Contribution for Basic Health Care Plan Current New Increase - 5% Increase & $50 Wellness Discount Employee Only $106 $111 $5 $61 Employee/Child $196 $206 $10 $156 Employee/Spouse $251 $264 $13 $214 Employee/Children $352 $370 $18 $320 Employee/Family $414 $435 $21 $
6 EMPLOYEE BENEFITS BUDGET HIGHLIGHTS Continued Coverage Level Active Employee Contribution for Basic Plus Health Care Plan Current New Increase - 5% Increase & $50 Wellness Discount Employee Only $153 $161 $8 $111 Employee/Child $355 $373 $18 $323 Employee/Spouse $429 $450 $21 $400 Employee/Children $592 $622 $30 $572 Employee/Family $692 $727 $35 $
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