Frequently Asked Questions Disability & Leaves of Absence
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1 Frequently Asked Questions Disability & Leaves of Absence Salaried and Non-Bargaining Unit Hourly Employees Reviewed: 7/1/2012 Short Term Disability What is short term disability? Short term disability is a company policy administered and paid by Appleton. It is offered to all full time salaried and non-bargaining unit hourly employees. When an eligible employee becomes disabled (as defined by the policy) and otherwise would not receive pay, the short term disability policy provides income replacement payments. How does an employee qualify for short term disability? To qualify, an employee must be unable to perform the main duties of his or her position due to sickness or injury. The employee must be under the regular care of a physician and must submit proof of disability using the Health Care Provider Certification form. Can I receive short term disability even though I have not seen my doctor yet? If you are absent from work for more than 3 days and wish to receive short term disability, you must be under the regular care of a physician and your treating physician or health care provider must complete the Health Care Provider Certification. How much income is replaced and for how long? 100% of the employee s pre-disability base pay is replaced for the first 12 weeks (480 hours or equivalency of normal work week) of disability. The maximum payment period for short-term disabilit is 52 weeks. The time between the first 12 weeks and 52 weeks is paid at 60%. The benefit percentage and maximum payment period are based on the first day of disability. If I become disabled, is there a waiting period before short term disability begins? If you are a salaried employee and become disabled as defined by the policy, short term disability begins on the first day of disability, provided your physician has completed the Health Care Provider Certification form. If you are a non-bargaining unit hourly employee at a distribution center and become disabled as defined by the policy, short-term disability payments begin on the first day if the disability is the result of an injury, surgery or hospital confinement. If the disability is the result of something other than injury, surgery or hospital confinement, disability payments begin on the fourth consecutive day of disability. 1
2 What happens if I am sick for 1-3 days? Employeees are paid for these days of illness. However, continued days of absence would not be paid unless the employee requested and received approval for short-term disability. If I become disabled, who should I talk to and where do I get the claim form? If you become disabled or want more information, please see your Leave Administrator or a Human Resources Representative at your location. I am a full time employee, can I work part-time for Appleton and receive partial disability? Yes, if work is available, you may work on a part-time basis and receive short term disability for the hours you are not able to work. You must be under the regular care of a physician to qualify. What if I become disabled for a few weeks, return to work and then become disabled again with the same condition? Is this treated as the same period of disability or a new period of disability? Appleton s policy states that if you return to work full time for 30 consecutive calendar days or more, the disability is considered new. This means that you are eligible for a new period of disability. If you do not return to work full time for a period of 30 consecutive calendars days or more, then the disability is considered recurrent and you are not eligible for a new period of disability. In this case, the short term disability continues and is tracked from the original date of disability. What happens to my health benefits while I am absent from work and receiving short term disability? You will remain eligible for medical and dental benefits while absent from work and receiving short term disability. Your cost for these benefits will be deducted from your short term disability payments. Will I receive holiday pay while receiving short term disability? Employees receiving 100% short term disability are not eligible for holiday pay. However, if the employee is receiving 60% or partial disability, the employee may be paid up to 100% of the holiday pay. While receiving short term disability, do I remain eligible for a payout under Appleton s incentive plan? Yes. However, in calculating the incentive, short term disability payments for those paid by the hour as well as paid leaves of absence exceeding four weeks for exempt salaried are excluded from eligible compensation. How will I know whether short term disability or a leave of absence has been approved? Within five business days from the date you submit a completed Health Care Provider Certification form, you will receive a Designation Notice specifying whether or not your request for short term disability has been approved or 2
3 denied. If denied, you will receive a separate letter explaining the reason for the denial. What if I can t return to work after receiving the maximum amount of short term disability? If you are still disabled after receiving the maximum income replacement under the policy (52 weeks), you may be eligible for long term disability under the terms of Appleton s long term disability plan. Where can I get more information on short term disability benefits? See the Short Term Disability for Salaried and Non-Bargaining Unit Hourly Employees ( ) policy. Long Term Disability What is long term disability? Long term disability is a benefit policy offered by Appleton to full time salaried employees and non-bargaining unit hourly employees that is administered by a third party insurance carrier. How does an employee qualify for long term disability? To qualify for this long term benefit, an employee must be unable to perform the main duties of his or her position due to sickness or injury for at least 360 days out of the last 720. The employee must be under the regular care of a physician and must submit proof of disability using the required claim form. For a definition of disability, see the Certificate of Coverage on appletonideas.com/employee Menu. The claim is subject to approval by the insurance company. How much income is replaced and for how long? 60% of the employee s pre-disability base pay is replaced. The maximum payment period is shown in the Certificate of Coverage found on appletonideas.com/employee Menu. If I become eligible for long term disability, who should I talk to and where do I get the claim form? If you become disabled or want more information, please see your Leave Administrator or a Human Resources Representative at your location. What happens to my health benefits while I am on long term disability? At the point short term disability ends, your employment is terminated, therefore health benefits are terminated. You will be offered the option to continue health benefits under COBRA. Leave of Absence What types of leaves of absence does Appleton offer? Appleton offers the following types of leaves. Leaves of Absence are unpaid. Medical leaves due to serious health condition of employee or employees immediate family members 3
4 Parental leave for birth or placement for adoption or foster care State mandated leave Funeral leave Leave for military service members Leaves for illnesses or injuries covered under workers compensation Leave mandated under the Uniformed Services Employment and Reemployment Rights Act (USERRA) Leaves for Qualified Exigency relating to active duty Personal leave not mentioned above Does the leave have to be taken all at once? The answer depends on the type of leave. A leave approved under the Family Medical Leave Act (FMLA) can be taken on a continuous or intermittent basis. This is especially helpful when the employee needs time away from work for medical treatments. How do I request a leave of absence? Is there paperwork required? To request a leave of absence, contact your Leave Administrator or a Human Resources Representative at your location. You will be required to request a leave of absence in writing. If I am approved for short term disability, am I automatically approved for a leave of absence? No. Short term disability provides income replacement while a leave of absence is an approval for time absent from work. Since these are distinct and separate policies, eligibility is different and reviewed under each program. Your Leave Administrator or Human Resources Representative will walk you through the process. What if my request for leave is denied? Within five business days from the date the Company receives a completed Health Care Certification completed by your treating physician, you will receive a Designation Notice specifying whether or not your request has been approved. If denied, you will receive an explanation including the reason for the denial. If your request for leave is denied and you continue to be absent from work, the absences will be treated as occurrences under the attendance policy. Are approved leaves paid or unpaid? Leaves of absence are unpaid, however, if you apply and qualify for short term disability, you may receive income replacement. Can I take vacation or personal days in lieu of an unpaid leave of absence? Yes, although this is not required. During unpaid leaves, earned vacation for that calendar year may be used to supplement the unpaid time. During periods of time when short term disability is reduced to 60%, earned vacation time for that calendar year may be used to supplement the 40% unpaid time. 4
5 If I take vacation or if a holiday falls during my leave of absence, does this extend the period for which I am receiving short term disability income replacement or a leave of absence? No What happens to my health benefits while I am on an approved leave? You will remain eligible for medical and dental benefits while on an approved leave of absence. If you are receiving short term disability, your cost for income replacement will be deducted from your short term disability payments. If you are not receiving disability during your leave of absence, you are responsible for paying your portion of the costs for the coverage you elected. You are allowed to your benefit deductions go into arrears for up to 12 weeks (480 hours) while you are on an approved leave of absence. Once you return to work, you will receive a double payroll deduction until you repay the amount owed to Appleton. Do I continue to accrue vacation while on a leave of absence? Vacation will be earned for any period of absence covered under the Family Medical Leave Act (FMLA). Absences that extend beyond the period of time covered by FMLA or any other leave of absence (paid or unpaid) of 30 days or more will result in prorated vacation for the calendar year in which the leave of absence occurs. What happens to my vacation if I am not able to use it due to a leave of absence? Vacation will not be carried over to the next calendar year or cashed out. What happens at the end of the leave when I want to return to work? Prior to returning to work, you will be asked to submit proof of fitness for duty. Your Leave Administrator or Human Resources Representative will walk you through the process to return to work. 5
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