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terminatedemployee benefits
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terminatedemployee benefits
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If employee medical benefits are cancelled without notifying employees, how is the employer legally responsible to the employees? At the company I work at, employees were not notified that the company
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terminatedemployee benefits
posted at 8/12/1999 9:45 AM EDT
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Posts: 1
First: 8/12/1999 Last: 8/12/1999 |
If employee medical benefits are cancelled without notifying employees, how is the employer legally responsible to the employees? At the company I work at, employees were not notified that the company's group health insurance had been terminated due to non-payment. Individual employees began receiving notification by mail from the insurance company that their policy had been cancelled and were turned down by their physicians for medical care. The insurance was cancelled three months retroactively, so I am going to assume that employees will begin to also receive bills for health care they received during this period. Employees are still having money withdrawn from their paycheck for medical coverage for family members and to state again, at no point were employees notified by their employer that their medical coverage had been terminated.
What is the employer's responsibility to the employees in this situation? How can the employees be compensated for their health care expenses and inconvenience during this period? Thank you! |
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terminatedemployee benefits
posted at 8/15/1999 8:05 PM EDT
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Posts: 2217
First: 6/16/1999 Last: 12/13/2001 |
The company's responsibility to the employees could be significant. You wrote that the insurance policy was cancelled for non-payment and yet that employees were still having money taken out of their paycheck. If that is true, then the company has taken employee wages and failed to remit them to the designated receiptient. In some states, this is a criminal offense for which employers have been prosecuted. There are also issues of detrimental reliance, breach of contract, misrepresentation and so on.
You should immediately consult with a labor and employment attorney in your area. If you need a referral, please do not hesitate to contact the undersigned. Matthew T. Miklave Epstein Becker & Green, P.C. 250 Park Avenue New York, New York 10177 (212) 351-4663 (212) 661-0989 (fax) MMiklave@ebglaw.com (e-mail) |
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