F e b r u a r y2 0 1 5
TODAY
IS A GOOD DAY TO LOWER YOUR ENERGY COSTS. Trust & Expertise
We’ve helped hundreds of companies of every size and type save millions of dollars on their electricity costs, and we’re here to help you too! Our energy experts will answer your questions, review all available options and help you develop an effective, efficient energy strategy that manages your risk and maximizes your savings.
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Our expanded supplier network helps you price compare with the industry’s leading energy providers bidding for your business — saving you the time and aggravation of shopping yourself.
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We know your energy needs are unique to your business. That’s why we offer a full range of variable and fixed products, as well as blended options for larger energy users, to meet your specific requirements.
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As an MBA member, it’s what you’ve come to expect. From a thorough energy assessment to auditing of your monthly bills, our goal is to create a long-term solution that delivers the best possible energy savings for you — starting today.
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Contact Chuck Jenkins at 814/833-3200, 800/815-2660 or cjenkins@mbausa.org.
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BUSINESS M A G A Z I N E Manufacturer & Business Association
VOLUME XXVIII, NUMBER 2
Working With You as a Team Toward Better Health / Page 10
FEBRUARY 2015
IMPORTANT MESSAGE: If your electric supply contract is expiring — or if you’re still buying from your utility company, we’re here to help you shop for a new supplier. Many Association members recently received letters from their current electric supplier informing them that their contract is about to terminate and recommending that they switch to a “specific” supplier. Caution! If you’re not getting a quote from the MBA’s expanded list of energy suppliers, you may not be getting the best plan or the lowest rates!
Expanded Suppliers
The more energy suppliers competing for your business, the better! Our expanded supplier network does just that ― bringing even more energy providers to the bidding process than ever before. We save you the time and aggravation by negotiating with the industry’s leading energy suppliers on your behalf. We’ll provide an apples-to-apples price comparison of the best rates (fixed and variable products) in an easy-to-understand format to help you select the best energy option for maximum savings.
Free Cost Analysis
Contact Chuck Jenkins at 814/833-3200, 800/815-2660 or cjenkins@mbausa.org.
Employers’ Energy Alliance of Pennsylvania, Inc.
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February 2015
Blue Ocean Strategy Center
EDITORIAL >
FEATURES >
7 / Health Matters
3 / Spotlight
Why lifestyle medicines are increasingly being used to treat chronic diseases.
Bob Martter, vice president — Erie operations, for Heatron, Inc., talks about the growing medical device market as well as the custom engineered component manufacturer’s recent expansion.
MICHAEL PARKINSON, MD
9 / Legal Brief Can employers prohibit employees from using email for personal matters?
10 / UPMC Hamot
DANIEL M. MILLER
Learn how UPMC Hamot is working toward better health for the community through early detection, standards of therapy and compliance.
15 / Rehabilitation Resources How to choose the right facility for inpatient rehabilitation. JOHN PAPALIA
5
14 / On the Hill Angela Zaydon, the MBA’s state government relations representative in Harrisburg, takes a closer look at the Affordable Care Act and the compliance requirements that are now in effect.
Congratulations! Congratulations to Business Magazine raffle winner Justine Parcher from Arrow Electric who won a free registration for Course I of the MBA’s Certified Supervisory Skills Series, three bestselling business books, plus two new coffee mugs — all for signing up as a new subscriber to the FREE digital edition of the magazine at www.mbabizmag.com!
DEPARTMENTS > 4 / Business Buzz 16 / HR Connection
18 / HR Q&A 20 / People Buzz
2015 MBA Government Affairs Raffle Drawing It’s FREE! Register to become a new subscriber to the digital edition of the Business Magazine at www.mbabizmag.com and get a chance to win two seats to an upcoming MBA legislative luncheon, five copies of our annual Legislative Directory, an embroidered, nylon American flag, plus two new MBA coffee mugs! Drawing to be held February 19. February 2015 > www.mbabizmag.com > 1
SPOTLIGHT > The United States remains the largest medical device market in the world with a market size of around $110 billion, and it is expected to reach $133 billion by 2016. Recently, the Business Magazine met with Bob Martter, vice president — Erie operations, for Heatron, Inc., a privately held company headquartered in Leavenworth, Kansas to learn more about this growing segment.
First, please give our readers a little bit of background about Heatron and how it began. Heatron is a custom engineered component manufacturer for OEMs, original equipment manufacturing companies. We don’t make the final product — we make the critical subcomponent that goes in the product. Our core business began in 1977 in Leavenworth, Kansas in the design and manufacture of heating components for OEMs. Our LED Integration unit uses thick film technology for light fixture manufacturers. Other areas of business in Erie include printed circuit boards and component assembly. We are an ISO 9001:2008 registered company. In 2002, Heatron acquired ECA Electronics, the world’s largest producer of custom ceramic-coated metal circuit boards, located in Erie, Pennsylvania. This unit became our Thick Film division, which is an industry leading technology with many applications in the medical industry. Describe the industries you do work for and some of the products you produce. Heatron serves a multitude of industries. We specialize in industries with tight, exacting standards and regulations, such as medical, aviation, semiconductor and industrial device components. We make heaters for anything from passenger comfort in airplanes to 3D printers to environmental remediation solutions. And, of course, medical devices. How did you get involved in the medical device manufacturing industry? The very nature of medical equipment demands quality, compliance and accountability. We knew we could meet and exceed the stringent FDA, UL, IEC 60601, GMP and international regulatory requirements in our design and manufacture of custom medical device applications. One of our first ventures into the medical applications industry happened because we were able to provide a UL recognized heater design for a German medical device manufacturer when their in-house design failed to qualify. In another early venture for respiratory management, a competitor won the bid. We told the customer of our concerns in the competitor’s design and that the heater would burn up. Sure enough, the product caught fire in the trials and the customer turned to us. We’re now designing the fourth generation of the product and we provide our customer with a million heaters a year. Heatron specializes in the creation of custom applications to fit specific size, power, temperature and control specifications for a wide array of medical equipment and devices. The expertise that Heatron provides as one of the top heating element manufacturers ensures attention to detail on every project, no matter the size or scope. Explain some of the medical applications using Heatron’s heating technologies. Our heating elements are found in some of the world’s most innovative and award-winning medical products and devices. Medical devices include patient comfort systems, CPAP and vapor therapy machines, dialysis systems (in-home and on-site), fluid warming for treatment and sterilization, humidity control, and wound treatment. Lab equipment and analysis uses include DNA testing, blood analysis, breathalyzer and chemical trace, and microbial identification. Heatron recently underwent an extensive expansion at its Erie facility. Tell us how this came about, what it entailed, and how it has impacted your work force and operations. The expansion increased production capacity following a record breaking sales year in 2014. This expansion also created a 30-percent increase in square footage as well as new state-of-the-art equipment and 100 additional high quality jobs for the Erie region, essentially tripling the work force. Completed in just six months, the expansion provides additional space for engineering services, including prototyping and analytical instrumentation, and an increased footprint for assembly. Additionally, the company will experience increased surface mount technology automation for thick film heaters, printed circuit boards and LED lighting modules. With the completion of Phase I construction in September, plans are now under way for Phase II, focusing on interior remodeling for improved employee facilities and expanded engineering and quality management space. Despite the potential disruption of the expansion, the team in Erie has maintained its ongoing commitment to quality for current customers. We’re designing a number of heating products for top medical device markets, including molecular diagnostics and point of care testing, vaporized drug delivery systems, sterilization and wound management, to name a few. We are seeing more interest for thick film products that require tighter tolerances, smaller profiles, less material and superior mechanical performance.
Contact: Karen Torres
VOL. X X VII, NO. 2 FEBUARY 2015 Manufacturer & Business Association Board of Governors
Joel Berdine John Cline Harry Eighmy Andrew Foyle Mark Hanaway Donald Hester Bill Hilbert Jr. Timothy Hunter Phil Katen Paul Kenny Jeff Plyler Sue Sutto Mike Weber
Editor in Chief
Ralph Pontillo rpontillo@mbausa.org
Executive Editor
Managing Editor & Senior Writer
John Krahe jkrahe@mbausa.org Karen Torres ktorres@mbausa.org
Contributing Writers
Dan Miller John Papalia Michael Parkinson
Feature Photography
Matt Kleck MKleck Photography www.mkleckphotography.com
Contributed Photography UPMC Hamot Advertising Sales
Patty Welther 814/833-3200 pwelther@mbausa.org
Design, Production Printing Concepts Inc. & Printing printcon@erie.net
ON THE COVER: In addition to new technology and expanded services, UPMC Hamot continues to enhance its network of physicians and specialists to improve the health care of the community. For full story, see page 10. Mission Statement The Manufacturer & Business Association is dedicated to providing information and services to its members that will assist them in the pursuit of their business and community interests. – Board of Governors Manufacturer & Business Association 2171 West 38th Street Erie, Pa. 16508 814/833-3200 or 800/815-2660 www.mbausa.org © Copyright 2015 by the Manufacturer & Business Association. All rights reserved. Reproduction or use of editorial, pictorial or advertisements created for use in the Business Magazine, in any manner, without written permission from the publisher, is prohibited. Unsolicited manuscripts cannot be returned unless accompanied by a properly addressed envelope bearing sufficient postage. The magazine accepts no responsibility for unsolicited manuscripts or artwork. The Business Magazine and Manufacturer & Business Association do not specifically endorse any of the products or practices described in the magazine. The Business Magazine is published monthly by the Manufacturer & Business Association, 2171 West 38th Street, Erie, Pa. 16508. Phone: 814/833-3200 or 800/815-2660.
February 2015 > www.mbabizmag.com > 3
Business Buzz HBK OFFICIALLY OPENS NEW HEADQUARTERS HBK CPAs & Consultants, HBKS Wealth Advisors, HBK Valuation Group and HBK Energy unveiled a new corporate headquarters location with a ribbon-cutting ceremony and open house celebration recently. Nearly 400 clients, business owners, community members and associates of the firm were on hand to celebrate the occasion. Chris Allegretti, CPA and CEO/managing principal of HBK and its related entities said that the historic day was many years in the making. “It’s a proud moment to realize the consolidation of our offices and divisions in the Youngstown/ Warren region into one location for the convenience and advantage of our clients, who will now enjoy instant access to the services we offer — all under one roof,” he said. Allegretti added that formally opening the doors on the new 35,000 square-foot headquarters facility, which houses nearly 90 professional and support team members, was the realization of a strategic business plan for the entire HBK team. HBK provides small to mid-market business and personal financial solutions through a family of companies specializing in tax planning, wealth management, business valuation, corporate finance, forensic accounting, litigation support services and energy consulting within the firm’s core services of accounting, tax and audit. HBK maintains offices in Alliance and Youngstown in Ohio, Erie, Hermitage, Meadville and Pittsburgh in Pennsylvania, Lawrenceville in New Jersey, and Fort Myers, Naples, Stuart, and Sarasota in Florida. For more information, visit www.hbkcpa.com. Austin_MBAAds2012v2_Layout 1 6/13/12 8:56 AM Page 2
The Austin Difference
HEALTHCARE • EDUCATION • INSTITUTIONAL • RETAIL & HOSPITALITY • INDUSTRIAL • CONCRETE
Contractors & Construction Managers Since 1906 Erie, Pennsylvania • Jamestown, New York www.eeaustin.com
4 < www.mbabizmag.com < February 2015
Every day E.E. Austin lays its tradition of construction excellence on the line. Our extensive list of satisfied clients is testimony to Austin keeping its longstanding promise: “Do the right thing... all the time”. It’s a promise we’ve kept with pride for more than a century... and it’s our promise to you. It’s the Austin Difference.
DEPARTMENTS > Contact: Karen Torres
LOCAL ASSOCIATION PRESENTS $5,000 CHECK TO VNA
Erie County as a result of a fundraiser held November 21 at the Shrine Club in Erie.
The Loyal Christian Benefit Association (LCBA), located at 8811 Peach Street in Erie and which offers a variety of life insurance and annuity products to its members, recently presented a check for more than $5,000 to the Visiting Nurse Association of
The LCBA’s donation will help the Erie VNA continue to provide quality home health and hospice care to the residents of Erie County. “We are so grateful for this amazing donation,” said Dan Desrochers, director of
Development at the Erie VNA. Since 1906, the mission of VNA of Erie County is to provide quality, cost effective home health care and hospice services to residents of Erie County, regardless of the ability to pay. For more information, visit www.erievna.org.
SUNBURST ELECTRONICS EARNS MAJOR RECOGNITION Erie-based Sunburst Electronics is the first Pennsylvania manufacturer to earn the IPC J-STD-001 and IPC-A-610 Qualified Manufacturers Listing (QML) from IPC’s Validation Services Program for high-performance electronic assemblies. Sunburst successfully completed an intensive audit based on two of IPC’s foremost standards: IPC J-STD-001, Requirements for Soldered Electrical and Electronic Assemblies and IPC-A-610, Acceptability of Electronic Assemblies. Sunburst exceeded the requirements for both Class 2 and Class 3 classifications. Sunburst is now listed as an IPC-trusted source. The company is the first manufacturer in Pennsylvania and only the fourth in the United States to receive this coveted recognition. “It is very rewarding for Sunburst to achieve third party validation of our robust manufacturing and quality system. Sunburst Quality Management system, SQM, was designed to meet and exceed the highest industry standards in the medical (ISO 13485) and aerospace (AS 9100) industries allowing us to serve our customers with unquestionable qualifications,” said John Cline, Sunburst’s president and chief executive officer. “We are laser focused on quality and performance, and this IPC QML proves we deliver on that promise.” Sunburst Electronics is a full-service provider of custom Electronic Manufacturing Services for the aerospace, medical, transportation, and industrial markets. Sunburst designs, assembles and tests printed circuit boards, wire and cable assemblies, and complete box builds. For more information, visit www.sunburstelecronics.com.
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February 2015 > www.mbabizmag.com > 5
When your doctor orders laboratory testing, choose Associated Clinical Laboratories (ACL), a Quest Diagnostics affiliate. We are a local community laboratory, offering prompt, quality and caring service. Appointment Scheduling is available by visiting our website at: www.associatedclinicallabs.com or by calling 1-888-277-8772. Walk-ins welcome We have several locations to serve you in Erie and Erie County, Edinboro, Girard, Northeast, Meadville, Summit and Waterford. We also have Patient Service Centers in Dunkirk, Jamestown and Westfield, New York and our newest location in Silver Creek, New York. Please consult our website listed above for specific information concerning hours and locations for each Patient Service Center.
Health Matters
EDITORIAL > By Michael Parkinson, MD
Lifestyle Medicine Increasingly Used to Treat Chronic Diseases A significant and growing body of scientific evidence indicates that the primary determinant of health or disease is not genetics, but, rather, lifestyle. A wide variety of chronic diseases, including heart disease, diabetes, stroke and cancer, are not only preventable with healthier behaviors, but can be better managed and even reversed through lifestyle improvements. Because of this, a relatively new style of treatment — known as lifestyle medicine — is increasingly being seen as an alternative to traditional treatments used on chronic diseases. What lifestyle medicine does is “demedicalize” health, which is needed to address the root cause of disease, disability and premature death. What we eat, how we move, and how we think are the cornerstones of good health and living a long and productive life. What is Lifestyle Medicine? Lifestyle medicine is defined as the use of lifestyle interventions in the treatment, management and reversal of disease. Lifestyle interventions, “prescribed” and supported by a health-care provider, typically consist of: Forks: Incorporating more whole, plant-based foods into our diet. Reducing or completely eliminating refined and highly processed foods, meat and dairy products. Feet: Increasing daily physical activity to at least 30 minutes of aerobic activity. Fingers: Eliminating cigarettes or excess alcohol.
Stress: Developing healthy coping mechanisms like exercise, meditation or mindfulness for life’s inevitable challenges. Love: Having and developing a commitment to a purpose, person or interest that gives meaning to our lives. How Lifestyle Affects Disease Many diseases affecting multiple organs — such as heart disease, kidney disease, hypertension, diabetes, a majority of cancers, dementia, and other conditions — are due to diets of modern-day processed foods that are high in added salt, sugars and fats, but, low in nutrients and micro vitamins. The result can be underlying inflammation, which can promote multiple common chronic diseases. Lifestyle interventions can be effective in treating chronic disease and can be equally and often more effective than medication. And, unlike with medication, there is no risk for unwanted side effects. For the person with the condition, the cost is really just the cost of making choices, devoting time to exercise and exerting the effort to effect lasting behavioral change. A coordinated worksite wellness program emphasizing healthy behaviors, disease management, aligned policies and supportive environments can reduce total health care and productivity costs. Loss of productivity from absenteeism and presenteeism can be more costly to a company than health-related expenses. Effective workplace wellness programs follow the principles of lifestyle medicine.
We cannot afford to “medicalize” environmentally and behaviorally caused disease with more treatments, tests and procedures. Doctors, frustrated often by a lack of progress in treating and reversing disease, are beginning to explore this new approach based on sound science. The challenge in the near term is twofold: 1) paying for these services (as opposed to usual medical interventions under “fee for service” reimbursement) and, 2) improving the skills of providers to provide them. I am confident that with new payment models promoted by the Affordable Care Act (ACA) and with employers’ consistent and constructive engagement, we will begin to see more ways to improve employee and family health. For more information on UPMC WorkPartners Health & Productivity Services, visit www.upmchealthplan.com.
Michael D. Parkinson, MD, is senior medical director for UPMC Health Plan, which is part of the UPMC Insurance Services Division. The UPMC Insurance Services Division offers a full range of insurance programs and products and also includes: UPMC WorkPartners, UPMC for Life, UPMC for You, UPMC for Kids, Community Care Behavioral Health, LifeSolutions, EBenefit Solutions, and Askesis Development Group.
Sleep: Ensuring we obtain adequate and deep sleep every night.
February 2015 > www.mbabizmag.com > 7
Lake Erie College of Osteopathic Medicine
Erie’s Academic Health Center Erie’s Academic Health Center The Lake Erie College of Osteopathic Medicine is the nation’s largest medical school and the only Academic Health Center among the colleges of osteopathic medicine. With Millcreek Community Hospital and the Clinical Practices of LECOM, the College is the core of an innovative medical education and health care system. As this partnership strives to add to the quality of life for our neighbors, LECOM will open a new 144-bed senior living center in July 2015 to provide skilled nursing care in a homelike environment with a new teaching model for geriatric care. In May, the LECOM School of Dental Medicine will open a 30-chair dental office in Erie where fourth-year dental students will provide oral health care for the community. The LECOM academic health center provides total healthcare for a lifetime •
With a 218-bed teaching hospital training new physicians and pharmacists in the region’s largest post-graduate medical training institution with 17 residency and fellowship programs;
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Building a network of clinical practices in Erie County with more than 50 physicians who not only help to meet the health care needs of our patients, but also serve as clinical instructors for our students;
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Offering one of the premiere medical fitness and wellness centers in the country designed to focus on the total well being of its members;
As LECOM continues its growth at our Erie and Greensburg, Pennsylvania and Bradenton, Florida campuses the College will continue its mission of providing a quality medical education at an affordable price as we prepare the next generation of osteopathic physicians, pharmacists and dentists.
1858 W. Grandview Blvd.
Erie, PA 16509 (814) 866-6641 LECOM.edu
Legal Brief
EDITORIAL > By Daniel M. Miller
Can Employers Prohibit Employees From Using Email For Personal Matters? The answer may shock you. For many years, employers have maintained policies that prohibit employees from using the employer’s email system for anything other than for business purposes. Sometimes such policies have been problematic because it is very difficult to completely prohibit employees from using email communications for matters of a personal nature. However, with the proper safeguards and diligence in monitoring email usage, as well as enforcement of such a policy, employers have been permitted to prohibit personal use of email systems. Many employers, however, have opted for a less stringent standard and simply regulated the use of email for personal matters during working time. Employers also have often regulated use of email that may violate some other policy such as a harassment policy. In 2007, the National Labor Relations Board issued a decision known as the Registered Guard case in which the Board authorized employers to maintain policies prohibiting employees from using the employer’s email system for personal matters. The Registered Guard decision made perfect sense in that it recognized the employer’s property rights in the email system. In other words, since the employer owns the email system, it is permitted to regulate use of the email system so long as the employer’s regulation is not applied discriminatorily. Unfortunately for employers, in a recently issued case known as Purple Communications, the Board has overruled the Registered Guard decision to require employers who have given employees access to their email systems to allow those employees to utilize the email system during non-working time.
In short, the Purple Communications case stands for the principle that if an employer grants access to an e-mail system, the employer must also permit employees to use that email system for non-work related matters. The rationale for the Board’s decision is that under Section 7 of the National Labor Relations Act, employees have the right to effectively communicate with one another at work regarding self-organization, as well as other terms and conditions of employment. The Board found that these employee rights outweigh the rights of employers to prohibit personal use of the email system. The Board essentially found that there is a presumption that employees who have rightful access to the employer’s email system have a right to use the email system to engage in protected communications on non-working time. Although an employer may rebut the presumption by demonstrating that special circumstances necessary to maintain production or discipline justify restricting employees’ rights, little guidance was provided on what those “special circumstances” might be. In fact, the Board acknowledged that it will be a rare case where special circumstances justify a total ban on non-work email use by employees. The Board tried to soften the blow of its decision by claiming that the decision is somewhat limited. The Board noted that it is limited because it only addresses email system and not other electronic communication systems, that it does not require employers to grant access to email if employees do not already have access, that it does not grant any right to non-employees to access the employer’s email system, and that employers may still establish uniform
and consistent restrictions such as prohibiting large attachments or audio/video segments under limited circumstances. So What Does This Mean for Employers? Employers will be required to revisit their electronic communications policies to revise the policies consistent with the Purple Communications decision. This will essentially require employers to remove prohibitions on the personal use of the email system and to regulate only the use of email during working time. An employer’s failure to revise its email policy to comply with the Act may result in a finding that the policy is illegal and can result in liability. If you have questions about this decision or are in need of an email policy, contact Dan Miller at MacDonald, Illig, Jones & Britton LLP at 814/870-7708 or dmiller@mijb.com
Daniel M. Miller is a senior partner and is co-chair of the Labor and Employment practice group at MacDonald, Illig, Jones & Britton, LLP. He is also a member of the Business Transactions and Government Services & Public Finance practice groups. His practice consists primarily of providing advice to businesses and nonprofit organizations. He represents management in collective bargaining, labor relations, employee relations, employment discrimination, unemployment compensation, and wage-and-hour matters.
February 2015 > www.mbabizmag.com > 9
Jim Fiorenzo, president of UPMC Hamot, says the hospital has made considerable strides in prevention and wellness, as Bob Warren, president of The Warren Company in Erie, undergoes a vascular screening performed by Ron Keene, a cardiac nurse and sonographer at the UPMC Hamot Heart and Vascular Institute. The hospital has expanded the vascular program through targeted screenings and education.
Working With You as a Team Toward Better Health
Bob Warren is a father, a businessman and a man who lost both his grandfather and great-grandfather to heart attacks at an early age.
UPMC Hamot’s 400-member medical staff and 3,100 employees is to serve its patients and communities in a tradition of quality, health, healing and education.
At 47, Warren isn’t taking any chances with his health, by seeing his doctor regularly and taking advantage of vascular screenings, a recommendation based on his family’s medical history.
“Population management, population health are the new buzzwords in health care,” explains Fiorenzo. “That all goes along with making sure that patients get screened; they get seen in the office — women for annual mammographies and colonoscopies every five years, the whole drill. Today, it’s all about making sure that you manage the population, and you’re measured against your performance in managing that population. You’re graded on how well you’re able to get people into the queue to have their testing done.”
The safe, non-invasive test is used to measure the thickness of the walls of the carotid arteries. The screening helps physicians identify patients with atherosclerosis — hardening of the arteries that can lead to heart attacks, stroke and impaired blood flow to the legs. “My dad had been paying attention for years to the signs of a heart attack, which at the time, were pain in your right arm and shoulder, shortness of breath and those kinds of things. He was 52 when he had his first open heart surgery,” notes Warren. “So each year past 48, he’d say, ‘I beat you, Dad.’ ” Warren’s father, who ultimately lived a full life and passed away of pancreatic cancer in 2008, is a reminder to Warren of how important it is to take care of his health. The president of The Warren Company, a steel warehouse and fabrication service center in Erie, hopes he can encourage others to take advantage of vascular screenings, as well.
With changes in the health-care landscape, organizations that move quickly toward a population health model are expected to better navigate coming changes in reimbursement — a move from fee for service, which is regarded as a major reason for the nation’s
“You need to set a baseline earlier in life, and this gives you a point to start from. Then, as you go through those preventative care measures, through your personal health-care provider, you can see if there are changes that are being made,” Warren notes. “This is what can help you do that. Here’s the information that’s available. Here are the services that are out there.”
Focused on Community Health, Wellness
Jim Fiorenzo, president of UPMC Hamot, says the hospital is making significant strides to increase awareness of the resources available for both prevention and treatment. In fact, the mission of 10 < www.mbabizmag.com < February 2015
As a leader in health care, UPMC Hamot has invested in cutting-edge technology, including two 3-D breast cancer tomosynthesis systems to improve imaging of breast tissue.
health costs, to reimbursement that includes increased financial and clinical accountability on the part of providers. The goal is to minimize the cost of care and improve the overall health of the population by providing care or wellness initiatives at the earliest practical point in the care continuum. This approach not only lowers costs, but also redefines health care as an activity that includes far more than sick care and acute interventions. “The most important component of the Affordable Care Act is accountability, trying to make patients accountable for their health — and be more responsible for their health,” Fiorenzo explains. For its part, UPMC Hamot has taken a threepronged approach to working toward a healthier community, specifically in the areas of early detection, standard therapy and compliance. Gary Maras, senior vice president of Business Development at UPMC Hamot and chief executive officer of the UPMC Hamot Heart and Vascular Institute, explains the reason for the shift. “If you think about it, what we should do to manage health in the future is detect disease early, get people in standard therapy and get them complying with the Gary Maras Chief Executive Officer, therapy. If we do that, we’re not UPMC Hamot Heart and Vascular Institute going to have the high expense of very complex procedures, because we’re going to be able to avoid those, keep people healthier, and spend a lot less money.” The financial incentive to participate in wellness and screening initiatives is increasingly important in today’s workplace. Employers want to keep their employees both healthy and productive, while keeping their insurance costs down. “More productive, healthy employees reduce costs,” states Maras, “and so there are a lot of reasons why employers need to take an active role here.” For its part, UPMC Hamot is increasing patient accessibility to health-care providers and resources. Online tools, such as the MyUPMC website, enables patients to track everything to do with their health, from scheduling doctor appointments, to tracking bloodwork, X-rays and other tests. As a result, emergency room visits at UPMC Hamot have declined by 3 percent and more patients are seeing their primary care physicians earlier and often. Equally important, UPMC Hamot has made significant investments in its physicians, facilities and regional partnerships. In 2014, UPMC Hamot acquired Jamestown Area Medical Associate, a large physician multi-specialty group in the Jamestown, New York area and is currently in discussions with WCA Hospital in Jamestown and Brooks Memorial Hospital in nearby Dunkirk. UPMC Hamot also has advanced its primary care position in Potter County and opened a new primary care office in Shinglehouse in partnership with Charles Cole Memorial Hospital.
Cardiologist Robert Maholic, D.O., performs an inferior vena cava filter placement procedure at the UPMC Hamot Heart and Vascular Institute. The filter captures clot fragments and prevents them from traveling through the vena cava vein to the heart and lungs, where they could cause severe complications or even death.
Locally, UPMC Hamot continues to augment its specialty services, including moving its pediatric clinics from the Shriners Hospitals for Children – Erie to downtown. Children’s Hospital also has invested in a local cardiology clinic and recently added a new Children’s Express Care to treat children and teens on evenings and weekends. In the area of Women’s Health Services, UPMC Hamot’s commitment to superior health care at the Women’s Hospital and investment in technology are just as substantial. The hospital has purchased two 3-D breast cancer tomosynthesis systems to improve imaging of breast tissue that may hide cancers or mistake dense breast tissue as tumors. One of the units will be used at UPMC Hamot and the other at the Imaging Center on Peach Street. “Our Women’s Health Services continue to be highly ranked, and UPMC Hamot Women’s Imaging has been designated as a Breast Imaging Center of Excellence,” notes Fiorenzo. “At the end of the day, I think the quality equation continues to be a differentiator.”
UPMC Hamot Heart and Vascular Institute
UPMC Hamot’s role as a leader in specialty care is especially evident in the UPMC Hamot Heart and Vascular Institute. The Institute, recently renamed to better reflect its comprehensive services, was established as a combined vision of UPMC Hamot, Flagship CVT Surgeons and Medicor Associates to coordinate and manage the delivery of cardiovascular and thoracic care throughout the Erie region. > February 2015 > www.mbabizmag.com > 11
Maras, who has been part of an initiative to enhance cardiovascular services at the hospital since 1998, describes the UPMC Hamot Heart and Vascular Institute as one of the most progressive in the country, bringing physicians, surgeons, cardiologists and the hospital administration all under a single umbrella organized around the patient. Most recently, the Institute recruited G. Jay Bishop, M.D., a boardcertified vascular medicine physician, to its medical team and expanded its vascular screening program to increase awareness and education in the region. The program is targeted to those people age 40 or older, with a family history of atherosclerotic problems and circulatory problems, or who has one of the following risk factors such as diabetes, high blood pressure, high cholesterol, or smoking. “The No. 1 killer in the country is heart disease,” explains Maras. “We have not had a good, reliable mechanism to actually screen for atherosclerosis in the heart, but the correlation between looking at carotid disease and heart disease is very high. When people come in for vascular screening, they often have no symptoms and think they’re otherwise healthy. Then, you put a probe on their neck, and you see atherosclerosis.” Cardiologist Robert Maholic, D.O., who has been at UPMC Hamot since 2006, following cardiology and interventional cardiology fellowships in Pittsburgh, is one of the specialists leading the way with the expanded and more targeted vascular screening program — and its focus on education and prevention. “When we talk about prevention, it actually begins much sooner than we think, and it begins with our children, and it begins with teaching them healthy lifestyles,” he says. “Exercising on a regular basis. Eating healthy and appropriate foods, not smoking. Prevention starts very early from that standpoint. Then, when we look at early detection, we know that it can reduce long-term events, especially if we’re able to alter the course based upon that early detection.” Through UPMC Hamot’s vascular screening program, doctors first look at the carotid arteries for any plaque or blockages, then blood flow in the leg and determining whether it is reduced. The third part of the screening test is looking for an abdominal aortic aneurysm for early intervention. Dr. Maholic says what sets UPMC Hamot’s screening program apart from others is its concise educational component. “We believe that showing the patient the plaque that we may find in their artery is a very powerful tool, and there is some research and literature out there to show that it changes how you pay attention to things when I can say, ‘Look here, you see this?’” notes Dr. Maholic. “‘This is what the normal part of your artery looks like, and you see this little white spot? That’s plaque.’” Now with the expansion of the vascular program, UPMC Hamot is able to identify the people who are at risk, so that they can get the information back to their treating physicians, to then be able to modify their risks. Further surgical and/or medical treatment can take place right at the UPMC Hamot Heart and Vascular Institute. “The Hamot Heart Institute, now the UPMC Hamot Heart and Vascular Institute, is very much on the cutting edge, if not ahead of its time, and certainly on par with the major medical facilities in 12 < www.mbabizmag.com < February 2015
A Leader in the Prevention, Treatment of Gastrointestinal Disorders, Diseases UPMC Hamot Center for Digestive Health coordinates and manages care for patients suffering from a wide range of digestive diseases and disorders.
Robert Hower, D.O., Gastroenterologist
“We basically have the most experience with GI diseases and treatments in the region,” explains Robert Hower, D.O., of Bayfront Digestive Disease, a physician practice that focuses on the management of digestive disorders in adults. “We certainly have the most experience with procedures and the advancements of different procedures in terms of someone’s health.”
Today, Bayfront Digestive Disease uses the latest endoscope technology to help diagnose disease in the upper and lower gastrointestinal tract. New high-definition technology, known as the Olympus 190 Series, provides physicians with clearer images that allow specialists to detect possible masses, polyps and cancers earlier than ever before. Coupled with this technology, Bayfront Digestive Disease is also utilizing the HALO® special radiofrequency ablation therapy to treat Barrett’s esophagus — a serious complication of GERD, or gastroesophageal reflux disease. If left undetected, the disease can turn into cancer of the esophagus. According to Dr. Hower, by using HALO®, doctors can now cure Barrett’s esophagus. “That’s huge, because if people would get into the screening process and get identified as having Barrett’s, it would just be like a colonoscopy screening, where we can treat it before it would become a cancer,” he notes. Patients only have to set up an appointment to review their medical history and exam before a possible endoscopy. “We certainly have the capabilities of getting someone in quickly and getting it done. And it’s something that most people don’t need to have done for another five years,” he says. “If you compare it to a Pap exam, mammograms, prostate checks, all those things we do for health maintenance, this is done less frequently, but it’s the most effective.” To learn more, contact Bayfront Digestive Disease at 814/877-7733.
the country,” notes Dr. Maholic. “The name change better defines what we do.” And, at UPMC Hamot, that is working with the community toward better health. For more information, visit UPMCHamot.org.
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John Hilbert, President & CEO PHB, Inc. 504 Employees, Die Casting, Machining, Plastics & Rubber IMC’s highly dedicated and well qualified team has consistently delivered on its commitment to provide the best value and service to our company for over thirty years. Simply put, they are best in class.
Tim Shuttleworth, President & CEO Eriez Manufacturing Company 1,000 Employees, Magnetic, Vibratory and Metal Detection Solutions IMC has provided insurance consultation to Great lakes for nearly 10 years. Their team is responsive and knowledgeable. IMC has been a tremendous asset to Great Lakes in regards to risk management both domestically and internationally.
Doug Currie, President Erie Press Systems 68 Employees, Manufacturer of Hydraulic & Mechanical Presses
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IMC continues to help us in innovative ways to save on insurance costs without sacrificing coverage/value.
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IMC is always reliable! I trust their knowledge and interpretation of the insurance nooks and crannies; I depend upon their selection of coverage that fits our particular business risks; and I am confident IMC will be by our side navigating the details of the claims process. IMC is a Professional Partner with reliable service – just what meets our business needs. Lou Stack, General Counsel Seco/Warwick Corporation 101 Employees, Manufacturers of Heat Treatment Furnaces
We feel very fortunate to be doing business with IMC and consider them to be an extremely reliable and highly trusted business partner. They bring a level of professionalism, industry knowledge and subject matter expertise that is greatly valued by our company. Insurance and business risk can be difficult and complex areas to understand and manage, particularly for a chemical manufacturing company of our size. IMC has worked hard to educate us, to gain a keen understanding of our business and to help us craft an insurance and risk management strategy that has been both effective and affordable. And, after several years as a strategic partner, they remain engaged in our business and sincerely focused on customer satisfaction. Bradley J. Westfall, President ASHTA Chemicals Inc. 96 Employees, Manufacturer and Marketer of Potassium Based Chemical Products
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OntheHill
DEPARTMENTS > Contact: Lori Joint
ACA Compliance Requirements Take Effect Angela Zaydon is the state government relations representative for the Manufacturer & Business Association in Harrisburg. Contact her at 717/525-7213, cell 814/460-3136 or at azaydon@mbausa.org.
Editor’s note: What will happen with the Affordable Care Act (ACA) in 2015? Our member companies continually express their dissatisfaction with the law and have seen their premiums rise and deductibles escalate. It makes planning for the future extremely difficult. The following includes the most current updates on the health-care law. According to the ACA’s Employer Shared Responsibility provisions (Pay-or-Play Mandate), employers with more than 100 full-time equivalent employees must offer “minimum essential coverage” to full-time employees and their dependents that is both “affordable” and provides “minimum value.” There are two penalty scenarios. 1. If the employer does not offer minimum essential coverage to full-time employees (or offers coverage to fewer than 70 percent) and at least one full-time employee qualifies for a premium tax credit to help pay for exchange-based coverage — their liability is $2,000 times the number of fulltime employees, minus up to 80 employees for 2015. 2. If the employer does offer coverage to at least 70 percent of full-time employees but for particular employees the coverage proves unaffordable or fails to provide minimum value — their liability is $3,000 for each full-time employee that qualifies for a premium tax credit to help pay for exchange-based coverage. Employer Health Coverage Reporting Similar to W-2 reporting, the law requires employer plan sponsors to file forms with the Internal Revenue Service (IRS) reporting health coverage information on an annual basis. Health coverage data will be collected during 2015 so the required forms can be filed with IRS and furnished to employees early in 2016. The form you use will be dependent upon on whether your health plans are fully insured or self-insured. Determination of Full-Time Employee Status Employers must document who is a “full-time” employee under the ACA definition. Most employers are using a “Look-Back” Measurement Method of three to 12 months to determine whether ongoing employees averaged 30 or more hours a week. Employers will then use a corresponding “Stability Period” during which qualifying health coverage will be offered. For 2015 only, employers may use a six-month 2014 look-back period and a 12-month 2015 stability period. Challenges to the ACA Although there has been a lot of talk about repealing ObamaCare in its entirety, the new Senate does not have a veto14 < www.mbabizmag.com < February 2015
proof majority of 67 votes. Several bills have been introduced in the House and Senate to “fix” parts of the ACA or at least begin to chip away at it. Here are a few noteworthy ones: 40-Hour Workweek January 8, 2015: H.R. 30, the Save American Workers Act of 2015 passed the House by a 252-172 and now goes to the Senate. H.R. 30 would amend the Internal Revenue Code of 1986 to repeal the 30-hour threshold for classification as a fulltime employee for purposes of the employer mandate in the Patient Protection and Affordable Care Act and replace it with 40 hours. On January 6, 2015: S. 30, the Forty Hours Is Full Time Act of 2015 was introduced by Senator Susan Collins (RME) and referred to the Senate Finance Committee. Medical Device Tax January 6, 2015: H.R. 160, the Protect Medical Innovation Act of 2015 was introduced by Representative Erik Paulsen (R-MN) with more than 250 co-sponsors, and referred to the House Committee on Ways and Means. The bill would amend the Internal Revenue Code of 1986 to repeal the excise tax on medical devices. The bill will not only lower future tax bills for medical device companies, it retroactively eliminates the tax, which would mean a refund for companies that have already paid it. On January 12, 2015, a companion bill to H.R. 160, S. 149, Medical Device Access and Innovation Protection Act was introduced by Senate Finance Committee Chairman Orrin Hatch (R-Utah) and a bipartisan group of 10 senators. Individual Medical Plan Premium Reimbursement December 11, 2014: H.R. 5860, the Small Business Healthcare Relief Act of 2014 was introduced by Rep. Charles Boustany (R-LA) and Mike Thompson (D-CA) to allow small businesses to use pre-tax dollars for assistance to employees purchasing policies in the individual market. Employers with 49 or fewer employees would be able to provide reimbursement or payment of their employee’s individual medical plan premiums on a pre-tax basis. U.S. Supreme Court Will Rule on Subsidies The Supreme Court will decide whether subsidies are allowed to be issued in states where the federal government set up healthcare exchanges vs. only states that set up their own exchanges. The Court will likely hear arguments in the case the first week of March 2015 and may take until summer 2015 to make a decision. If they rule that those on federal exchanges are not eligible for financial assistance, it could shatter the financial underpinnings of ObamaCare. However, many are of the belief that the Court will not rule against the subsidies.
EDITORIAL > By John Papalia
Rehabilitation Resources Choosing the Right Facility for Inpatient Rehabilitation A hip fracture. A stroke. A traumatic brain injury. A knee replacement. Your choices for inpatient rehabilitation following a hospital stay vary and can include nursing homes, a hospital’s rehabilitation unit, skilled-nursing facilities and rehabilitation hospitals. While all offer rehab services, their treatments, staff, technology, expertise and capabilities are vastly different. Because the type and quality of a patient’s inpatient rehabilitation help determine long-term outcome, it is critical to carefully select an appropriate facility. Differences Among Rehabilitation Facilities Often people mistakenly believe that nursing homes, assisted-living centers, skilled-nursing facilities and rehabilitation hospitals differ in name only. But only rehabilitation hospitals specialize in shortand long-term rehabilitative services exclusively. Because rehabilitation is not their primary focus, assisted-living centers, nursing and skilled-nursing homes don’t require a comprehensive program that is 100-percent focused on getting patients back to work, to play and to living. Unlike nursing or assisted-living facilities that don’t require a minimum number of hours for occupational, physical and speech therapies, rehabilitation hospitals require a minimum of three hours per day at least five times per week. These hospitals maintain RN oversight and availability 24 hours per day, while some nursing and assisted-living facilities only require a minimum of eight consecutive hours per day. Physician visits vary as well, as patients in rehabilitation hospitals see their doctors at least three times per week or more while patients in nursing facilities may not see a physician more than once per week. If you are fortunate to have access to a rehab hospital that provides 100-percent comprehensive rehabilitation services, it is likely your best choice for both short- and long-term care. A Higher Level of Care Rehabilitation hospitals deliver tailored
inpatient care provided by physiatrists (doctors board-certified in physical medicine and rehabilitation), physicians (family practice and internal medicine), occupational and physical therapists, speech-language pathologists, respiratory therapists, and nurses with advanced rehabilitative certifications. They also work with independent physicians with specialties ranging from neuropsychology to pulmonology. This wide-ranging approach delivers coordinated, individualized treatment plans specific to a patient’s physical and cognitive needs.
• Skills training for patients (cooking, appliance use, tool use, laundry) • State-of-the-art technology and equipment • Group and/or individual therapy sessions • Frequency of team conferences for each patient • Case management services and personnel • Measurements of patients’ functional gains • Comprehensive discharge planning • Patient satisfaction
In-Home Evaluations While most patients at rehabilitation hospitals come directly from a hospital stay, some are admitted from home. These patients may have completed rehab at another facility and been released but may not feel they have fully recovered. Others may have had difficulty managing steps, long walks or daily tasks at home. For these patients, in-home evaluations by a rehabilitation hospital can determine the therapies they need. Oftentimes, shortterm care in a rehabilitation hospital can give them the strength and stability to confidently return home.
Be Sure to Tour Before Choosing Facts and figures are indeed indicators of a rehabilitation hospital’s quality and care, but nothing compares to a personal visit. Take the time to tour the facility. This will give you a first-hand perspective of its operations, environment, cleanliness and rehab technologies. More importantly, a personal tour will allow you to see how the therapists and medical staff interact with their patients.
Ask the Right Questions When choosing a rehabilitation hospital, it is helpful to understand its approach to patient care and to know how it compares to state and national standards. Develop a checklist or a series of questions that will help you assess its quality and care. Some topics to consider: • Accreditations, awards and quality ratings • Return-to-home success rate • Percentage of patients discharged to home • Readmission rate • Nurse-to-patient ratio • Percentage of staff who specialize in rehabilitation medicine/therapies • Frequency of physician visits • Number of hours per day/week in physical, occupational and speech therapies
For more information about choosing rehabilitation hospitals that deliver 100-percent rehabilitation services and inhome evaluations, contact the HealthSouth Erie Department at 814/878-1288 or www.HealthSouthErie.com. John Papalia is chief executive officer of HealthSouth Rehabilitation Hospital of Erie. This inpatient hospital offers comprehensive rehab services for postsurgery, orthopedics, cardiac and pulmonary conditions along with specialized inpatient treatment for stroke, brain injury, neurological disease and spinal cord injury patients.
February 2015 > www.mbabizmag.com > 15
HR Connection SURVEY: PROFESSIONALS WANT BETTER HEALTH-CARE BENEFITS — NOT PERKS The data from a new study indicates that health benefits can make a significant difference in people’s job satisfaction and may even impact their choice of jobs. The study also suggests that despite offering health insurance options, many companies still have some work to do when it comes to keeping their employees healthy and happy. One Medical Group, a primary care system, has shared the results from its survey of more than 1,000 professionals regarding their opinions, desires, and perceptions about their companies’ employee benefits program. Key survey findings include: 1. Benefits can make a big difference in people’s job satisfaction. Almost universally, working professionals say that employee benefits have a big impact on their workplace
satisfaction. Sixty-four percent say that employee benefits are “very important” to how they feel about their job and their employer, and 31 percent say benefits are “somewhat important” to how they feel. Employee benefits also can make a big difference for people when they’re deciding between competing job offers, with 72 percent saying they might choose one job over another if it offered better employee benefits. 2. People want their employers to focus on their health. When it comes to which types of benefits would be most valued, respondents voiced a strong preference for health benefits. In fact, two out of three professionals would rather have better health and wellness benefits than more perks. This preference is more pronounced for professionals over the age of 45, three out of four would choose better health benefits
over more perks. The study also indicates that professionals want their employers to play a bigger role in their health and wellness. A majority of respondents (67 percent) believe that keeping them healthy should be one of the top goals of their company’s benefits program. 3. Companies aren’t doing enough to keep their employees healthy. According to the survey, many employers offer a range of different health and wellness benefits. Most companies are providing medical insurance (88 percent), and more than half are investing in health and wellness programs. The most common programs offered include employee assistance programs (45 percent), onsite vaccinations (45 percent), fitness benefits (31 percent), workshops (31 percent) and onsite health screening (25 percent).
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What does this mean? The Joint Commission Gold Seal of Approval validates that Stairways Behavioral Health consistently follows the national standards that lead to the best care. Meeting the Joint Commission’s standards is an accomplishment that recognizes our dedication and commitment in the treatment of mental health in Erie and Crawford counties. Our goal is to provide comprehensive services so that our clients and their families have access to the treatment and support necessary for recovery.
DEPARTMENTS > Contact: Stacey Bruce
Check it Twice: Be Sure to Review Your Group Health Coverage Invoice One of the most important job advantages to employees besides their paycheck is employer-sponsored benefits. Millions take advantage of the coverage with employers offering benefits to employees and sometimes even their families. Many employer groups are renewing insurance products or have renewed insurance products during the last few months. Employees enroll in the benefits or the employer enrolls them. However, it is up to the employer group to make sure that all the employees who have enrolled are in fact receiving the benefits for which they are entitled. Every month, the employer or a representative of the employer receives an invoice to pay the premium for their group health, life, dental, vision, short-term disability and/or long-term
disability coverage. Although it may be painstaking, depending on the number of employees and dependents on the bill, it will save a lot of headaches if the invoice is checked each month or two to ensure that all the employees and their dependents eligible for the coverage are indeed on the coverage. In this day and age of email and electronic enrollments, we tend to trust that what is sent has been received and consequently put into effect. But mistakes and omissions do happen sometimes, and it is a good practice to thoroughly scrutinize the invoices, especially if changes of any kind have occurred. Sometimes mistakes can go on for years without notice especially on coverage that is not routinely used, like short-term disability, long-term disability, and life and AD&D.
A thorough check of the invoice can prevent an oversight destined to create a multitude of issues and problems both for the employee involved and the employer offering the coverage. For more information about employer-sponsored benefits, contact me at the 814/833-3200, 800/815-2660 or email psmith@mbausa.org.
Patty Smith is the director of Employee Benefit Services at the Manufacturer & Business Association.
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HR Q&A IS JOB STRESS COVERED UNDER THE ADA? The Americans with Disabilities Act (ADA) rule defines “mental impairment” to include “[a]ny mental or psychological disorder, such as … emotional or mental illness.”
Stress, however, may be shown to be related to a mental or physical impairment. Similarly, traits like irritability, chronic lateness and poor judgment are not, in themselves, mental impairments, although they may be linked to mental impairments.
Examples of “emotional or mental illness[es]” include major depression, bipolar disorder, anxiety disorders (which include panic disorder, obsessive compulsive disorder and post-traumatic stress disorder), schizophrenia and personality disorders.
WHAT REWARDS CAN I PROVIDE AS PART OF A WELLNESS PROGRAM? ARE THOSE REWARDS TAXABLE? Aside from the requirement for a standards-based program that you keep rewards to no more than 30 percent of the employee-only premium, you may implement rewards as you see fit. Studies have shown that employees are most motivated by gift cards, insurance premium reductions and cash awards in wellness programs.
If a condition is an impairment, it is not automatically a “disability.” To rise to the level of a “disability,” an impairment must “substantially limit” one or more major life activities of the individual. Traits or behaviors are not, in themselves, mental impairments. For example, stress, in itself, is not automatically a mental impairment.
the employee’s pay unless the law specifically excludes it. A de minimis benefit is any property or service you provide to an employee that has so little value that accounting for it would be unreasonable or administratively impracticable. Items of de minimis value could include a badge, coffee, doughnuts or a company pen, for example. Cash and cash equivalent fringe benefits (for example, a gift card or savings bond) — no matter how small the amount — are never excludable as a de minimis benefit and are always taxable. Non-cash awards that are not of de minimis value generally must be included as income at their fair market value. Fair market value is considered the amount an employee would have to pay a third party for the benefit.
Any fringe benefit you provide is taxable and must be included in
To Provide MediCAL eXCeLLeNCe iN oUr HoMeToWN. At Meadville Medical Center our focus is providing you with the best healthcare. The latest state-of-the-art technology works side by side with a caring approach to optimize healthcare for you and your family. We’re committed to offering the highest quality services to best service you now and well into the future.
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DEPARTMENTS > Contact: Stacey Bruce
Is Your Wellness Program Really Voluntary? Many employers have wellness programs, which can help rein in some health-care costs and improve productivity. The programs, however, must not violate the Americans with Disabilities Act (ADA), and they must be truly voluntary. Many wellness programs include obtaining information from employees, and/or having them undergo a health risk assessment. If, however, employees face dire consequences for not submitting to such assessments or inquiries, the program may not be voluntary. In one case, according to the Equal Employment Opportunity Commission (EEOC), a company’s wellness program was not voluntary because it penalized an employee when she declined to participate. As a result, the company shifted responsibility for payment of the entire premium for her employee health benefits to her. Shortly thereafter, she was fired. Therefore, the EEOC indicates that the company interfered with the employee’s exercise of her right not to be subjected to unlawful medical exams and disability-related enquiries, and it
retaliated against her because of her objections to the wellness program. In another case, an employee failed to submit to biometric testing and a health risk assessment, resulting in the cancellation of his coverage and shifting the full premium payment to the employee, along with disciplinary action. An attorney for the EEOC indicated that wellness programs cannot compel participation in medical tests or questions that are not job related and consistent with business necessity by cancelling coverage or imposing enormous penalties such as shifting the entire premium payment to the employee if the employee does not participate. Such penalties undermine the voluntariness of such programs. Notably, the EEOC has never published guidance for employers on how to implement wellness programs, despite issuing a press release on May 8, 2013, titled, “Employer Wellness Programs Need Guidance to Avoid Discrimination.” The Affordable Care Act (ACA) had revised the Health Insurance Portability
and Accountability Act (HIPAA) to allow wellness participation incentives up to 30 percent of the total premium (not just the portion paid by the employee) and up to 50 percent for non-tobacco users. In the meantime, you may want to verify that any incentives are within the permissible limits and prepare for potential employee inquiries regarding your incentives. Some employers have issued statements outlining the incentive amounts under their health plans and indicating that the plan complies with HIPAA and the ACA. For more information about workplace wellness programs, contact me at 814/833-3200, 800/815-2660 or sbruce@mbausa.org.
Stacey Bruce is the director of HR Services at the Manufacturer & Business Association.
PhysicianFinder can find a doctor that will keep your family Susquehanna Health . Finding the right physician to care for you and your family’s healthcare needs requires careful consideration. Using PhysicianFinder will gain you access to the area’s finest physicians. We make finding the right physician easier by giving you standards you can trust and by matching your family’s medical needs with the appropriate medical specialty. As a patient of Susquehanna Health Medical Group, your family has access to on-call nursing 24 hours a day, 7 days a week, 365 days a year by calling your primary care physician office, even during after hours. Susquehanna Health Medical Group physicians are accepting new patients and are conveniently located in Lycoming and Clinton counties. PhysicianFinder is available Monday through Friday, 7:30 am–5 pm. Remember, the best time to find a doctor is before you need one.
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February 2015 > www.mbabizmag.com > 19
People Buzz ASSOCIATION HIRES INSURANCE AGENT, CONFERENCE CENTER COORDINATOR The Manufacturer & Business Association, a not-for-profit employers’ association with more than 4,500 member companies in the tri-state region, recently announced two additions to its professional staff. Ryan G. Murphy is now an insurance agent for the Manufacturer & Business Association Insurance Agency (MBAIA). In this new role, Murphy will be working with employer groups on all of their insurance needs, including medical, dental, vision and life. Murphy’s previous experience includes working for insurance carrier Coventry/ Aetna for the past nine years. He has a bachelor’s degree from Kent State
University and also received his AHIP certification as a managed care professional. Additionally, the Association has hired Christine DiLuzio as a coordinator for the Association’s Conference Center, which hosts various meetings, seminars, briefings, trade shows and special events. In her position, DiLuzio is responsible for the service and execution of Conference Center customer requests. DiLuzio’s previous work experience includes positions at Promo-Specialties Inc., the Bayfront Convention Center and Glass House Inn in Erie. She has a bachelor’s degree in parks and recreation/environmental education from Slippery Rock University of Pennsylvania.
ATLAS PRESSED METALS WELCOMES PLANT MANAGER Chris Sconzo of DuBois recently joined the Atlas Pressed Metals team as plant manager. Sconzo brings more than 25 years of manufacturing, engineering and leadership experience, including plant management, product marketing and senior level management. He most recently served as plant manager at OSRAM Sylvania for the Pennsylvania region sites, including the plant in St. Marys. In his new role at Atlas, Sconzo will be responsible for managing the operations side of the business including production, engineering, quality and purchasing. His focus will be on maintaining Atlas’ superior quality and customer service while supporting the
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Atlas teams, which will help to ensure cost competitiveness for future growth. Sconzo graduated from the Cornell University Manufacturing Management Institute (Cornell, New York) and the Babson College Executive Development Program (Babson, Massachusetts), as well as has been trained at the State University of New York at New Paltz (New Paltz, New York) and Northeastern University (Boston). FIRST NATIONAL BANK HIRES ERIE REGIONAL MANAGER First National Bank of Pennsylvania, the largest subsidiary of F.N.B. Corporation (NYSE: FNB), has announced the promotion of Jeff Tebaldi, senior vice president, Commercial Banking, to regional manager for the Bank’s Commercial Lending Team that serves
northwestern Pennsylvania. Tebaldi replaces Jim Kirk who retired with more than 40 years of Commercial Banking experience. Tebaldi will be responsible for the oversight of commercial banking activities in Erie, Crawford and Venango counties. Tebaldi earned a bachelor’s degree in finance from the University of Maryland. Additionally, Jennifer M. Reel has been promoted to senior vice president and director of corporate communications. Reel has more than 15 years of industry experience and is responsible for the overall direction for communications, media and public relations strategies for F.N.B. Corporation and its affiliates. Reel earned both her bachelor’s and master’s degrees from Westminster
College in New Wilmington, Pennsylvania, before graduating from the American Bankers Association (ABA) School of Bank Marketing and Management. LOGISTICS PLUS DALLAS BRANCH MANAGER WINS AWARD Jenny Melgert, Dallas branch manager for Logistics Plus Inc., a worldwide provider of transportation and logistics services, was presented with the company’s 2014 Branch Manager of the Year Award. Logistics Plus, headquartered in Erie, Pennsylvania, has more than 36 branch offices across 20 countries around the world. Melgert and her local team earned the annual award by leading the Dallas/ Irving office to approximately 30-percent revenue growth in 2014.
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PRSRT STD US POSTAGE PAID ERIE, PA PERMIT #199
Every company can appreciate low turnover.
As a company, you know you’re doing something right when your people stay with you. At UPMC Health Plan, we feel the same way. Which is why we’re proud of the fact that almost all of our group members stay with us year after year. Maybe it’s because we offer a wide range of affordable plans for every business. Maybe it’s the access to the top-ranked care of UPMC. Maybe it’s the MyHealth programs and services that help employees be the healthiest they can be. Whatever the reason, when your employees are satisfied, we’re satisfied.
Call for a quote today at 1-814-833-6633.
UPMCHealthPlan.com