The University’s Office of Human Resources has launched a benefits initiative called the “Benefits Plan for the Future,” or simply “the Plan.”
“The Plan is a combination of benefit changes over a three-year period that will improve the University’s cost-containment position, provide a more flexible and complete benefits program and preserve the benefit levels of current faculty and staff members,” Chancellor Mark S. Wrighton said.
“I’m pleased with the leadership that Vice Chancellor Ann Prenatt and Director of Benefits Tom Lauman have brought to this important issue.”
The major objectives of the Plan are as follows:
• Address the rising costs of our health insurance, tuition assistance and retirement savings plans;
• Grandfather all current benefits-eligible faculty and staff at the effective dates of the various benefit plan changes;
• Offer new tax-favored benefits like the Roth feature in the retirement savings plan, health savings accounts (HSAs) and retirement medical savings accounts (RMSAs); and
• Provide a University contribution to either HSAs or RMSAs, at the election of participating faculty and staff members as an encouragement to save for the significant cost of retiree health insurance.
Implementing the Plan is a six-step process that started in July, when all of the health plans were changed from the fiscal year to the calendar year. Other changes taking effect then included increasing the individual lifetime maximum for all health plans to $2 million and establishing a monthly premium for dental-only coverage.
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Informational meetings To help better understand the details of the University’s “Benefits Plan for the Future,” 11 informational meetings have been scheduled. Reservations are not required. The schedule is as follows: Hilltop Campus • April 19, 9 a.m., Simon Hall, Room 103 • April 20, 9 a.m., Lopata Hall, Room 101 • April 26, 9 a.m., Psychology Building, Room 216 A/B Medical Campus • April 18, 10 a.m., Scarpellino Auditorium, 510 S. Kingshighway Blvd., first floor • April 19, 11 a.m., McDonnell Science Building, Cori Auditorium • April 21, 10 a.m., Wohl Hospital Auditorium, lower level • April 25, 10 a.m., Yalem Building, Steinberg Amphiteathre • April 27, 10 a.m., Children’s Hospital Auditorium, third floor West Campus • April 20, 1 p.m., Library Conference Center, Room A/B • April 26, 1 p.m., Library Conference Center, Room A/B |
The second step, which took place in January, entailed:
• Introducing a standard vision plan with exam co-pay and discount on materials;
• Increasing the primary physician office co-pay from $15 to $20 and specialist physician office co-pay from $25 to $30 for United HealthCare HMO and POS health plans;
• Increasing individual/family annual deductible from $300/$900 to $500/$1,500 for Blue Cross Excel PPO health plan;
• Adjusting the premium for Blue Cross Basic PPO health plan to reflect comparable cost and value;
• Eliminating prescription drug benefits from retiree Medicare supplement plan (retirees pay full cost of coverage);
• Adding one year of service for faculty/staff hired or rehired after Jan. 1, 2006, and a passing-grade requirement for the employee and spouse tuition plans; and
• Adding a 10-week grace period to health- and child-care flexible spending plans.
Part three will take effect July 1, when:
• A Roth option will be offered to retirement savings plan to allow greater tax flexibility;
• The dependent-child tuition benefit level for children of faculty/staff hired or rehired after July 1, 2006, and who attend universities other than Washington University will decrease from 50 percent to 40 percent of WUSTL tuition (grandfather all current benefits-eligible faculty/staff);
• A single-service requirement of seven years will be established for the dependent child tuition plan for faculty/staff hired or rehired after July 1, 2006 (grandfather all current benefits-eligible faculty/staff); and
• Basic term life insurance will be increased from 50 percent to 100 percent of annual base salary.
The fourth step will go into effect Sept. 1, when a redesign of the University’s contribution to retirement savings plan will result in two tiers:
• 7 percent of base salary after two years of service, and
• 10 percent of base salary after 10 years of service for faculty/staff hired or rehired after August 31, 2006 (grandfather all current benefits-eligible faculty/staff).
Part five will occur Jan. 1, 2007, when the University will:
• Offer a high-deductible PPO health plan with Blue Cross ($1,500 individual and $3,000 family);
• Offer and contribute $400 annually to Health Savings Accounts requiring a minimum contribution from faculty/staff based upon salary level; and
• Offer and contribute $400 annually to Retirement Medical Savings Accounts requiring a minimum contribution from faculty/staff based upon salary level (University contribution made to only one account).
The sixth and final step is planned to occur July 1, 2007, when the University will introduce modified time-off benefits.
The above represents only summaries of the benefit changes. Detailed documents with descriptions of current eligibility and benefits are available online at hr.wustl.edu.
The documents will be amended later this year to reflect these benefit changes.
Benefits for University employees represented by a bargaining unit are outlined in the current contracts.
For more information, contact your benefits office.