January 25, 2011

                                                                                                                       

 

TO:                 Principal Investigators & Project Administrators

 

FROM:            Nelson Sakamoto

                        Director of Human Resources

 

SUBJECT:     New RCUH Severance Policy for Multi-Year Competitive Agreements and Related Separation Agreement

 

Effective January 25, 2011, the RCUH established a new RCUH Severance Policy for Multi-Year Competitive Agreement-Funded Projects and a related Severance Pay & Separation Agreement (Attachment #1 and #2). This policy will be restricted to only employees of Multi-Year Agreement-Funded positions (i.e., Maui High Performance Computing Center).  Most of the RCUH positions are funded by federal grants or direct contracts with agencies (i.e., State of Hawaii).  Therefore, the number of employees that would be eligible for this severance allowance would be a limited number of employees in the RCUH workforce.  The RCUH Severance Policy for Multi-Year Competitive Agreement-Funded Projects and a related Severance Pay & Separation Agreement are based on severance policies in the general industry. 

 

The RCUH Severance Policy for Multi-Year Competitive Agreement-Funded Projects and the related Severance Payment and Separation Agreement are included as an Addendum the RCUH Policy #3.285 Termination of Employment.  This Addendum can be found on the RCUH website (www.rcuh.com). 

 

Please feel free to contact me if you have any questions.

 

 

·         Electronic W-2 Forms:   For employees who submitted consent on or prior to January 20th, the .pdf version of your W-2 form is now available on the RCUH Self-Service system.

 

Once you have logged in to the ESS system, please click on:

 

Self-Service > Payroll and Compensation > View W-2/W-2c Forms > Year End Forms

 

If you have difficulties opening your .pdf W-2 form, please make sure that the pop-up blocker on your browser allows pop-ups from our website hrweb.rcuh.com.

 

E.g.   Internet Explorer:  Go to Tools > Pop-up Blocker > Pop-up Blocker Settings and add “hrweb.rcuh.com” as an allowed site

 

·         Paper W-2 Forms:  For employees who did not consent to receive electronic W-2 forms, or withdrew consent, a paper W-2 form was sent to your mailing address on record on Monday, January 24^th.

 

Mahalo!

RCUH Payroll Staff

 

Thank you to all Principal Investigators who have taken the time to identify your exceptional employee who have made a significant contribution to your project in the year 2010.

 

You are cordially invited to a luncheon to honor the nominees of the 2010 RCUH Outstanding Employee of the Year Awards on Friday, February 25, 2011 at 11:00 a.m.  The award luncheon will be held in the Japanese Cultural Center of Hawaii, Manoa Grand Ballroom.  Please join us in giving special recognition to the nominees who represent the many hard working employees of the RCUH.  Please share this information and invitation with all of your project staff.

 

If you would like to attend please submit payment with the invitation to RCUH Human Resources by February 11, 2011.

 

Click here for a list of the 2010 Outstanding Employee of the Year Nominees.

 

Inquiries? Contact Sharon Tamanaha at ([email protected])

The Resource

Volume 14 Issue 1
January 21, 2011

 

FINAL REMINDER: HEALTH INSURANCE (STUDENT DEPENDENTS)
RCUH requires all employees with dependent(s) between the ages of 19-24, to submit proof of full-time student status each Spring and Fall semester after their dependent(s) reaches the age of 19 in order to continue coverage under the RCUH’s group health plans. The certification required is a copy of the dependent’s college registration slip or class schedule. The registration slip (or class schedule) should clearly indicate the student’s name, name of the accredited college/university, and full-time status (defined as taking 12 or more credit hours per semester).

Mail to: RCUH Human Resources Office, 2530 Dole St., Sakamaki Hall D-100, Honolulu, HI  96822

Please attention the registration slip or class schedule to the “RCUH BENEFITS DEPARTMENT” for prompt review and to ensure that coverage is not cancelled. Failure to submit this certification by the deadline will result in IMMEDIATE CANCELLATION of your dependent’s coverage under RCUH’s group medical/dental plans (No Exceptions). Your dependent will then be given the option to continue his/her health insurance under COBRA, but will be required to pay 102% of the monthly premium (detailed information will be provided at that time). If you have any questions, please contact Kristen Stevens (808) 956-6979.

 

REPORT WORK-RELATED INJURY/ILLNESS TO YOUR PRINCIPAL INVESTIGATOR

RCUH employees are required to report ALL work-related injuries/illnesses immediately after its occurrence to their immediate supervisor. All “lost time” due to the work-related injury must be certified by the employee’s primary treating physician. The RCUH does not allow “back dated” (i.e., after the fact) medical certifications. For further clarification regarding claims administration and/or WC benefits, please review RCUH’s Worker’s Compensation Policy (3.580) or email [email protected].    

 

2010 OUTSTANDING EMPLOYEE OF THE YEAR
Thank you to all Principal Investigators who have taken the time to identify your exceptional employee who has made a significant contribution to your project in the year 2010. An awards luncheon to recognize and honor these outstanding employees will be held on Friday, February 25, 2011, 11:00 a.m. at the Japanese Cultural Center of Hawaii. Everyone is invited (must R.S.V.P.).

Click here for more information about the luncheon and a list of the nominees.

If you have questions, please contact Sharon Tamanaha at [email protected].

Flexible Spending/Pre-Tax Transportation Plan Administration Change:

As a reminder, on January 1, 2011, the RCUH Flexible Spending Accounts are now administered by Total Administrative Services Corporation (TASC), previously Benefit Services of Hawaii, Inc. (BSHI).  All participants were provided personalized reimbursement claim forms, a “TASC” debit card, and additional information regarding claims processing procedures and administration details.

 

Should you need additional forms or have any questions contact TASC’s Customer Service at www.tasconline.com or 1-800-422-4661.

 

Flexible Spending Medical Expense Reimbursement Accounts

As of January 1, 2011, Over-the-Counter (OTC) drugs must be prescribed by a physician to be considered an eligible expense under the Flexible Spending Plan. Participants have received multiple notices from BSHI/TASC & the RCUH.  As a reminder, we will NOT be able to make any exceptions to this IRS regulation.  For more information regarding this change, go to the Health Care Reform Bill website at www.healthcare.gov. 

IMPORTANT Dates to Remember (February):

2/1	Payroll Deadline – 12:00 noon for PE 1/31/11
2/7	Pay Day
2/7-2/9	Web Time Preview 1
2/9	PAF Deadline
2/10	HRAMP Deadline
2/10-2/11	Web Time Preview 2
2/14-2/15	Web Time Input
2/16	Payroll Deadline– 12:00 noon for PE 2/15/11
2/17-2/22	Web Time Preview 1
2/21	HOLIDAY – President’s Day
2/22	Pay Day
2/22	PAF Deadline
2/23	HRAMP Deadline
2/23-2/24	Web Time Preview 2
2/25-2/28	Web Time Input

IMPORTANT Dates to Remember (March):

3/1	Payroll Deadline – 12:00 noon for PE 2/28/11
3/7	Pay Day
3/7-3/9	Web Time Preview 1
3/9	PAF Deadline
3/10	HRAMP Deadline
3/10-3/11	Web Time Preview 2
3/14-3/15	Web Time Input
3/16	Payroll Deadline– 12:00 noon for PE 3/15/11
3/22	Pay Day
3/22-3/24	Web Time Preview 1
3/24	PAF Deadline
3/25	HOLIDAY – Prince Kuhio Day
3/28	HRAMP Deadline
3/28-3/29	Web Time Preview 2
3/30-3/31	Web Time Input

TIMESHEETS FOR THE MONTH OF January – February:
January 16-31

February 1-15

February 16-28

SSE Timesheet (Form D-9c)

2011 Personnel Action & Payroll Calendar

2011 Special Check Calendar

The Principal Investigator’s Corner

REPORTING Work-Related Injury/Illness TO RCUH HR

All supervisors and/or designated project personnel must report any work-related injury/illness to the RCUH Human Resources Department within 24 hours from the occurrence. “Reporting” consists of completing, faxing, and mailing the Supervisor’s Report of Industrial Injury Form and Employee/Claimant Consent Form (both forms available as attachments in the WC Policy (3.580)). During the initial notification process, the supervisor must give the injured employee the Worker’s Compensation (WC) memo (signed by our Director of Human Resources) explaining WC procedures ensuring proper administration of the claim.  This memo can be found as an attachment at the bottom in the WC Policy (3.580). Any questions regarding the content of the policies and/or clarification of WC benefits and procedures should be directed to Jill Niitani at (808) 956-8376.  

 

 

 

The following is a summary and key points of the enclosed “RCUH Guidelines relating to Act 179/§88-9”.  These guidelines supersede the December 28, 2010 memo.  Please read the enclosed guidelines to ensure your understanding of how Act 179/§88-9 impacts affected employees.  The RCUH will be conducting informational meetings commencing January 18, 2011 (see guidelines for dates and times and location).  We encourage you to attend an informational meeting.  

 

Act 179, SLH 2010 (hereafter known as “Act 179/§88-9”) amended Chapter 88, HRS – Pension and Retirement Systems as §88-9 with an effective date of January 1, 2011.  The intent of Act 179/§88-9 is to “ensure the status of the ERS as a tax-qualified retirement plan” (H. Conf. Rep. No. 11-10 25^th Leg., 2010 Reg. Sess.).  Because the ERS does not have a “normal retirement age,” ERS benefits may not commence “without a bona fide separation of service, the retiree may not be considered retired for the purpose of the (IRS) Code.”  Act 179/§88-9 has defined this “separation of service” to be 6-consecutive calendar months from post-retirement employment with any State/County agency.

 

For any ERS Retirant/RCUH employee who, prior to employment with the RCUH, did not have a 6-consecutive calendar month retirement/break-in-service period from any State/County agency will have to decide on one of the following options:

 

(A)   Suspend his/her pension benefits for the duration he/she is employed by the RCUH.  A copy of this letter should be sent to the RCUH Human Resources Department to place into the employee’s RCUH Personnel File.

Or

(B)   Must resign from his/her RCUH job on or before June 30, 2011.  Resignation should be the last day of work in a calendar month to commence the 6-consecutive calendar month retirement/break-in-service period from employment with any State/County agency.  Principal Investigators cannot make any promise of re-employment to the Retirant/Employee. 

 

REQUIRED COMPLETION OF CERTIFICATION:  All employees must complete the attached “RCUH Certification of Compliance – Current RCUH Employee form D95a”.  The information on this form will enable the RCUH to better assist Principal Investigators and affected employees.  Deadline: January 31, 2011.

 

 

Attachment: RCUH Guidelines relating to Act 179/§88-9

 

 

TO:  All Principal Investigators, Project Administrators

RE:  RCUH Informational Meetings on Act 179

 

The RCUH is conducting informational meetings on Act 179 on at various locations.  You are encouraged to attend these meetings to understand the impact of Act 179 on current and future RCUH employees.

 

Nelson Sakamoto, RCUH Director of Human Resources will be conducting these meetings.  He will be available to answer any questions you may have concerning Act 179, RCUH’s implementation process, and changes in RCUH policies/procedures.

 

If you have any employees affected by Act 179; you are encouraged to allow them to attend one of these informational meetings.  Thank you for your cooperation.

 

 

 

MAUI	OAHU	KAUAI	HILO
January 18, 2011 9:00am – 11:00am Maui College – Laulima 102	January 19, 2011 9:00am – 11:00am UH Manoa Campus – Kuykendall Auditorium 2:00pm – 4:00pm CRCH – Gold Bond Bldg 677 Ala Moana Blvd 2nd Floor Conference Rm	January 20, 2011 9:00am – 11:00am Kauai CC – Technology Room 114	January 21, 2011 9:00am – 11:00am Hilo – Institute for Astronomy Bldg (IFA) Auditorium
January 26, 2011 9:00am – 11:00am Maui College – Hookipa Conference Room	January 25, 2011 9:00am – 11:00am JABSOM-Kakaako Auditorium (MEB 315) 2:00pm – 4:00pm UH Manoa Campus – Kuykendall Auditorium	January 27, 2011 9:00am – 11:00am Kauai CC – Technology Room 114	January 28, 2011 9:00am – 11:00am Hilo – Institute for Astronomy Bldg (IFA) Auditorium

 

RSVP your attendance to Kristie Lo at [email protected].  Please provide your name, title, program name, phone number, e-mail address, and session you would like to attend.

 

Meetings are accessible for individuals with disabilities. For more information or to request an accommodation due to your disability, contact (808) 956-3100 or email [email protected] at least one week prior to the meeting.

 

Starting today, System users are able to instantly retrieve their User ID and/or a temporary password for the Employee Self Service System and the Human Resources Administrative Management Portal.  Previously, users that forgot their login and/or password were required to contact RCUH Human Resources for assistance.  This new feature will save PIs, Project Administrators, and RCUH Employees time and effort when accessing our Systems. 

 

Click here to see how it works.

MEMORANDUM                                                                                          

 

TO:                 All RCUH Employees (who are State or County Retirees receiving ERS pension benefits)

                        Principal Investigators & Project Administrators

 

FROM:            Nelson Sakamoto

                        Director of Human Resources

 

SUBJECT:     Act 179 – No Action Needed on or before January 1, 2011 – Further Guidance to Follow

 

We have been in communications with the Employees’ Retirement System (ERS) regarding the impact of Act 179 on current RCUH employees who are also retirants of the State Employee’s Retirement System (ERS).  At our request, the ERS will provide the affected employees of the Research Corporation of the University of Hawaii (RCUH) a reasonable period of time to consider their options in order to comply with Act 179.  Therefore, no decision is needed today, and the ERS has assured the RCUH that retirants will not be penalized during this period. 

 

The RCUH intends to work with the ERS to develop a set of guidelines that will allow for some flexibility to accommodate individual employee/retirants and program/operational needs.  These guidelines will apply to all employee/retirants and allow Principal Investigators and Project Administrators time to plan and prepare for the impact of Act 179.  We expect to have these guidelines soon and we will be providing them to all employees, Principal Investigators, and Project Administrators.

 

Principal Investigators or Project Administrators with questions relating to Act 179 may contact me at 956-6965 or email me at [email protected].  Thank you for your understanding.

MEMORANDUM                                                                                          

 

TO:                 All RCUH Employees (who are State or County Retirees receiving ERS pension benefits)

 

FROM:            Nelson Sakamoto

                        Director of Human Resources

 

SUBJECT:     Act 179 Relating to the Employment of Employees’ Retirement System Retirants

 

On June 28, 2010, Governor Linda Lingle signed into law Act 179 Relating to the Employment of Employees’ Retirement System Retirants.  This law effective on January 1, 2011 amends Chapter 88 (Pension and Retirement Systems), Hawaii Revised Statutes by imposing a set of defined restrictions to re-employment with any State or County agency.  These restrictions apply to any current and prospective retirees of the State’s Employee Retirement System (ERS) from immediately working for another State or County agency. Act 179 also imposes financial penalties on a retiree for non-compliance.

 

The Research Corporation of the University of Hawaii (RCUH) believed these restrictions did not apply to us.  The RCUH is a State agency, and are not subject to Chapter 88, HRS; therefore we believed employment with the RCUH was exempt from Act 179.  The RCUH sought a formal opinion from the Department of the Attorney General (AG) to determine whether Act 179 applied to State or County retirees working for the RCUH.  Today, we learned that AG has determined that State and County retirees who are receiving ERS pension benefits and who are working for the RCUH are subject to the stipulations of Act 179.

 

The applicable section of Act 179 (Chapter 88-9, HRS) states: “Requires a 6 month retirement period before an ERS retiree can return to work in a State or County temporary, part-time, casual, or other position that is excluded from ERS membership.”  This defined restriction applies to you since the RCUH is excluded from the ERS, and employment with the RCUH is excluded from ERS membership.  Therefore, you are affected by Act 179 if you did not have a 6-month period between your effective date of your ERS pension/retirement and your first day of employment with the RCUH. If this is you, you must contact the ERS immediately and plan to stop work.

 

If you are unsure about the 6-month retirement period or if you have any questions:  Read the Attachment #1  – October 1, 2010 memo from Wesley Machida, ERS Administrator and review and complete the Attachment #2 – ERS Form 209 – Certification of Compliance with Requirements for Employment of a Retirant, Attachment #3 – July 2010 ERS Newsletter, and Attachment #4 – Act 179.  If you have questions, please contact Karl Kaneshiro, ERS Retirement Benefits Manager at 586-1649 or email at [email protected].

 

Principal Investigators or Project Administrators with questions relating to Act 179 may contact me at 956-6965 or email me at [email protected]. The RCUH extends our apologies to all affected employees and projects for this late notice. We did our best to get this matter clarified and we had hoped for a better outcome.  Thank you for your understanding.

 

Attachments

On December 17, 2010, President Obama signed into law the Tax Relief Act of 2010.  There are some significant changes which may affect your RCUH paychecks for 2011:

 

(1)          Social Security Tax

 

Effective 1/01/11, the Tax Relief Act of 2010 provides for a temporary reduction of the Social Security tax.  The employee’s rate for 2011 will be lowered to 4.2% while the employer’s rate remains at 6.2%.  There is no change to the 1.45% Medicare tax withholding rate for both employees and employers.

 

The descriptions of the Social Security tax and Medicare tax on your pay advices are “Fed OASDI/EE” and “Fed MED/EE” respectively.

 

(2)          Federal Income Tax

 

The Making Work Pay Credit expires on December 31, 2010.  This credit ($400 for single individuals and $800 for married couples) was incorporated into the 2010 withholding tax tables so that your federal income tax withholdings were reduced.  With the expiration of this credit, new withholding tax tables will be used to calculate your federal income tax withholdings for 2011.

 

(3)            Advanced Earned Income Credit

 

The Advanced Earned Income Credit is being eliminated as of January 1, 2011, restricting employers from advancing portions of the Earned Income Credit through the employee’s paychecks.  Eligible employees will have to wait until they file their 2011 personal income tax return in 2012 to receive the tax credit.

 

For more information, please refer to IRS Notice 1036 at http://www.irs.gov/pub/newsroom/notice_1036.pdf .