Transcript Document
2011 Benefits Burlington Bargaining Unit Employees Disclaimer • This document is intended to be a high-level overview. The terms and conditions of the benefits described are determined solely by the summary plan descriptions (SPDs) or plan documents and summaries of material modifications of the Dresser-Rand Company Welfare Plan, Pension Plan for Employees of Dresser-Rand Company, Dresser-Rand Company Retirement 401(k) Plan. In the event of any inconsistent provisions, the language of the plan documents applies. • As in the past, the Company reserves to itself, pursuant to its sole and exclusive discretion, the right to change, amend or terminate this Plan according to the terms of the applicable plan documents and subject to any collective bargaining agreements. • Benefits described herein may not automatically apply to employees at all locations or employees covered under a labor agreement. • Plan is subject to nondiscrimination rules that may reduce or limit the tax advantages of the plan for certain employees. 2 2011 Benefits Enrollment Dresser-Rand Benefits Enrollment • • • • Enrollment will be on-line Benefits website: www.dresser-rand.com/benefits Can review benefits information on website Can access online enrollment system by selecting: 3 Overview Dresser-Rand Benefit Programs • Health • • • • • • • • Income Protection • • • • • • • • Medical/Prescription Wellness Dental Vision Health Savings Account (HSA) Flexible Spending Accounts (FSAs) Employee Assistance Program (EAP) Basic Life and AD&D Optional Life Voluntary AD&D Business Travel Benefits Voluntary Group Legal Disability Pension Plan 401K 4 Eligibility Health & Income Protection • Full-time employees working over 35 hours per week AND Part-time employees working over 20 hours per week are eligible for all benefits 5 Eligible Dependents Who can you cover? • Your legal spouse • Your unmarried children (biological, adopted or step-children) until the end of the month they attain age 26 • Other unmarried children who live with you in a parent-child relationship and for whom you have legal guardianship. (Same age guidelines apply as above) • Your unmarried children age 26 or older who are certified by BlueCross to be disabled due to mental or physical disability and who are dependent on you for financial support (the disability must be certified prior to age 26) NOTE: If both you and your spouse work for Dresser-Rand, the plan does not allow “double coverage”. Only one of you may choose coverage for your eligible children. And if you choose an enrollment category that covers your spouse, your spouse will not be eligible to also choose duplicative coverage under any Company-sponsored Plan or program. 6 Medical Benefit Choices Medical Options • MedicalPlus - A Consumer Directed Health Plan with a Preferred Provider network • PPO – Preferred Provider Option 7 MedicalPlus MedicalPlus utilizes a PPO network of providers • Choice of physicians and hospitals • BlueCross BlueShield offers the largest PPO network in the United States • Higher level of benefits using BCBS network providers • No claim forms to file when using network providers • Lower claim costs through negotiated network • Prescription Coverage through Caremark • Health Savings Account contribution 8 MedicalPlus In-Network Benefits • $2,500 Individual or $5,000 Family Deductible (combined medical and prescription claims) – 10% Coinsurance (Plan pays 90%) – After the purchase of two 30-day refills for any maintenance medication at retail pharmacies, all future refills for those prescriptions must be filled through the Caremark mail order service • Annual Out-of-Pocket Maximum (including deductible) – $3,000 individual or $6,000 family • Wellness Benefits and Well Baby Benefits based on Preventive Services Task Force Guidelines (100% coverage, deductible does not apply, no maximum) 9 MedicalPlus Out-of-Network Benefits • $3,000 Individual or $6,000 Family Deductible (combined medical and prescription claims) – 30% Coinsurance Medical (Plan pays 70%) – 35% Coinsurance Rx (Plan pays 65%) • Annual Out-of-Pocket Maximum (including deductible) – $5,000 individual or $10,000 family • No Wellness Benefits • “Reasonable & Customary” applies 10 MedicalPlus – Prescriptions Caremark In-Network • $2,500 Individual or $5,000 Family Deductible (combined medical and prescription claims) – 10% Coinsurance (Plan pays 90%) – After the purchase of two 30-day refills for any maintenance medication at retail pharmacies, all future refills for those prescriptions must be filled through the Caremark mail order service • Annual Out-of-Pocket Maximum (including deductible) – $3,000 individual or $6,000 family 11 MedicalPlus – Prescriptions Caremark Out-of-Network Benefits • You pay the full, undiscounted cost at the pharmacy and must submit a paper claim form • You are eligible for up to 65% reimbursement • No prescription drug out-of-pocket maximum 12 MedicalPlus Health Savings Account Health Savings Account (HSA) • Tax-free spending account for qualified medical/ prescription drug, dental, vision, health club membership (with a doctor’s certification), and exercise equipment (with a doctor’s certification) • Access funds using a debit card or checkbook • Gives you more control of money spent on health care • Dresser-Rand will contribute to every participant’s HSA (FSA if Medicare eligible) • Employees can make additional tax-advantaged HSA contributions through payroll deduction(Up to IRS Limits) • Over-the-counter medication is not reimbursable unless there is a doctor’s prescription for it • Contributions are not “use-it or lose-it”! 13 MedicalPlus Health Savings Account 2011 Dresser-Rand Annual Contribution* Employee Only $1,000 Employee + 1 $1,500 Family $2,000 *Company contributions deposited up front; prorated based on portion of calendar year remaining. 14 MedicalPlus Health Savings Account 2011 Optional Employee Contributions Employee Only Up to an additional $2,050 ($3,050 if 55 Years Old by 12-31-2011) Employee + 1 Up to an additional $4,650 ($5,650 if 55 Years Old by 12-31-2011) Family Up to an additional $4,150 ($5,150 if 55 Years Old by 12-31-2011) 15 MedicalPlus Health Savings Account Further HSA information: • Account must be activated – watch your mail for information from ACS/Mellon • Interest Rate of 0.1% (as of 7-1-2009) • Monthly fee of $2.25 for accounts with balances under $3,000 (fee taken from account) • Electronic statements are encouraged - $0.75 monthly fee for paper statements • Once you have accumulated a balance of $1,500 or more, you can transfer excess balance into one of the Dreyfus mutual fund investment options • You can visit www.HSAmember.com for more information 16 PPO BlueCross BlueShield of Illinois PPO utilizes same network as MedicalPlus • Choice of physicians and hospitals • BlueCross BlueShield offers the largest PPO network in the United States • Higher level of benefits using BCBS network providers • No claim forms to file when using network providers • Lower claim costs through negotiated network • Prescription Coverage through Caremark • No HSA Contribution 17 PPO BlueCross BlueShield of Illinois In-Network Benefits • $300 Individual or $700 Family Deductible • 20% Coinsurance (Plan pays 80%) • Annual Out-of-Pocket Maximum (including deductible) – $2,000 individual or $4,000 family • Wellness Benefits and Well Baby Benefits based on Preventive Services Task Force Guidelines (100% coverage, deductible does not apply, no maximum) 18 PPO BlueCross BlueShield of Illinois Out-of-Network Benefits • $600 Individual or $1,400 Family Deductible • 40% Coinsurance (Plan pays 60%) • Annual Out-of-Pocket Maximum – $4,000 individual or $8,000 family (excluding out of network drugs) • No Wellness Benefits • “Reasonable & Customary” applies 19 PPO – Prescriptions Caremark In-Network Benefits • No Deductible • Retail Benefit (up to a 30-day supply) – – – – $10 co-payment for Generic Prescriptions 35% Coinsurance for Brand Prescriptions (Plan pays 65%) Per prescription maximum cost of $150 After the purchase of two 30-day refills for any maintenance medication at retail pharmacies, all future refills for those prescriptions must be filled through the Caremark mail order service • Mail Order Benefit (up to a 90-day supply) – $20 co-payment for Generic Prescriptions – 25% Coinsurance for Brand Prescriptions (Plan pays 75%) – Per prescription maximum cost of $300 • Annual Out-of-Pocket Limit $1,250 individual or $2,500 family 20 PPO – Prescriptions Caremark Out-of-Network Benefits • You pay the full, undiscounted cost at the pharmacy and must submit a paper claim form • You are eligible for up to 65% reimbursement • No prescription drug out-of-pocket maximum 21 Medical Employee Contributions 2011 Monthly Employee Contributions MedicalPlus • • • Employee Only Employee + 1 Family $ 19.40 $ 33.00 $ 46.40 • • • Employee Only Employee + 1 Family $ 44.20 $ 82.40 $ 120.60 PPO NEW EMPLOYEES: Complete the online Health Risk Assessment and your 2011 medical coverage contribution will be reduced by $6 per month beginning the first of the month after your questionnaire is processed. PART-TIME EMPLOYEES: If you are a part-time employee scheduled to work at least 20 hours but less than 35 hours per week you are eligible for medical coverage at 150% of the monthly contribution rates stated here for full-time employees. 22 Preventive Care Both medical options pay certain pediatric & adult preventive care benefits • Preventive care services based on Preventive Services Task Force guidelines • Wellness screenings, routine exams, immunizations, etc. are Covered 100%, no annual limit, not subject to deductible 23 Wellness Program Blue Care Connection Condition Management Nurse health coach is assigned to help you: – Follow your doctor’s plan of care; – Understand how your medications work; – Determine necessary screenings and tests; and – Answer questions about the illness or condition. 24 Wellness Program Blue Care Connection The Condition Management program is available if you have been diagnosed with one or more of the following: – – – – – – – – Asthma; Congestive heart failure; Coronary artery disease; Chronic obstructive pulmonary disease (COPD); Diabetes; Hypertension; Hyperlipidemia; or Low back pain. Completely voluntary and confidential 25 Wellness Program Blue Care Connection Personal Health Manager Personalized Coaching Program in any or all of the following areas: – – – – – Eating habits; Physical activity; Stress management; Tobacco cessation; or Weight management. When you enroll you will be paired with a health professional who will develop a personalized coaching program with you through confidential, over-the-phone sessions Completely voluntary and confidential 26 Wellness Program Blue Care Connection Health Risk Assessment • Online questionnaire that evaluates your health and gives you a detailed, confidential report with action steps to help you improve your health. • Receive a $6 discount on monthly medical contributions if you complete the Health Check and submit a Physician Form to Nationwide Better Health. Your discounted rate will begin the first of the month after your questionnaire is processed. • You will need to enter your personal biometric data – Blood pressure – Cholesterol and blood glucose levels – Body mass index 27 Completely voluntary and confidential Wellness Program Blue Care Connection Nurse Advice Line Provides immediate telephone access to registered nurses for health care information, advice and medical guidance for you and your family. Available 24/7 • Answer your questions about symptoms and health-related topics • Help you decide how and where to get the care you need • Help you determine what questions to ask your doctor before an appointment. Not a substitute for your regular physician, health care specialist or routine preventive exams. In the event of a medical emergency, seek immediate medical attention from the nearest emergency facility or call 911. 28 Completely voluntary and confidential Wellness Program BCBS Illinois Healthy Expectations Offers support for expectant mothers Helps you understand the active role you can take to give your baby the greatest chance of being born strong and healthy by providing: – – – – Educational material specific to your needs Access to a 24/7, toll-free BabyLine staffed by maternity nurses E-mail newsletters An online health information library The first step is to call the number on the back of your BCBS ID card Completely voluntary and confidential 29 Dental BlueCross BlueShield Illinois Deductible • • Preventive Services Basic, Major & Orthodontic None $25 individual/$75 family Coinsurance • • • • Preventive Services Basic Services Major Services Orthodontic Services 100% 80% 50% 50% Maximum Coverage • • Dentistry Orthodontics* $1,200 per person annual $1,200 lifetime maximum Preventive Services DO NOT count toward annual maximum * Note: Orthodontic coverage provided for eligible dependent children up to age 19 30 Dental BlueCross BlueShield Illinois Preventive Services • • • • • Oral examinations Routine scaling and polishing Routine bitewing x-rays Fluoride treatments (children through age 18) Sealants (children through age 15) Basic Services • • • • Fillings and Extractions Stainless steel crowns Relining of dentures Repair of crowns, bridges, and removable dentures Major and Restorative Services • • Inlays, onlays, and crowns (other than temporary crowns or stainless steel) Full mouth rehabilitation Preventive Services DO NOT count toward annual maximum 31 Dental Employee Contributions 2011 Monthly Employee Contributions • Employee Only • Employee + 1 • Family $25.00 $51.00 $76.00 32 Vision VSP Voluntary Vision Program • Benefits provided by Vision Service Plan (VSP) – Largest vision care provider in the US with over 50 years experience • Plan provides vision benefits each year – 2 pairs of frames and lenses; or – 1 pair of frames and lenses plus contact lenses 33 Vision VSP Voluntary Vision Program In-Network Benefits • • • • • $10 co-payment for vision exams $150 allowance for eyeglass frames $10 co-payment for eyeglass lenses Progressive & photochromic lenses & tints covered in full $150 allowance for daily wear contact lenses 34 Vision VSP Voluntary Vision Program Out-of-Network Benefits • • • • • • • Up to $45 for vision exams Up to $47 for eyeglass frames Up to $45 for single vision eyeglass lenses Up to $65 for bifocal eyeglass lenses Up to $85 for trifocal eyeglass lenses Up to $125 for lenticular eyeglass lenses Up to $105 for daily wear contact lenses 35 Vision Employee Contributions 2011 Monthly Employee Contributions • Employee Only • Employee + 1 • Family $13.55 $27.13 $43.66 36 Maintenance of Benefits • If you or your dependents are covered under more than one medical or dental plan – Plans work together to coordinate benefits • BCBS will maintain the level of benefit based on the plan you choose – The allowable expense is limited to the amount the BCBS plan would have paid if there were no other medical or dental benefit coverage in effect • This is called Maintenance of Benefits 37 Flexible Spending Accounts (FSA) • Full Use Healthcare Flexible Spending Account (for PPO Enrollees) • Limited Use Healthcare Flexible Spending Account (for MedicalPlus Enrollees) • Dependent Care Flexible Spending Account – daycare expenses only Important Reminder: These are “USE IT or LOSE IT” plans 38 Full Use Healthcare FSA (PPO Participants) • Use tax-free contributions to pay for medically necessary, noncovered medical, prescription drug, dental and vision care expenses: – – – – All healthcare deductibles and coinsurance amounts Eyeglasses, contact lenses Health club membership (with a doctor’s note) Exercise equipment (with a doctor’s note) • You may contribute from $100 to $5,000 per year • Debit card to access account • Paper claims will be required for claims not submitted using debit card or the online claims submission process • Cannot be used with an HSA Important Reminders: This is a “USE IT or LOSE IT” plan Over-the-counter medicine must have a doctor’s prescription 39 in order to qualify for reimbursement. Limited Use Healthcare FSA For HSA Participants • Limited Use FSA coordinated with HSA • Use tax-free contributions to pay for non-covered health (dental and vision) expenses: – Dental and vision deductibles, coinsurance amounts and other expenses – NO medical/prescription drug expenses covered by the Plan are allowed (must use your HSA) • You may contribute from $100 to $5,000 per year • Debit card to access account • Paper claims will be required for claims not submitted using debit card or the online claims submission process Important Reminder: This is a “USE IT or LOSE IT” plan 40 Dependent Care FSA • Use tax-free contributions to pay for day care expenses for: – Children (up to age 13) – Elderly parents • Not for your dependent’s non-covered healthcare! • If married, both you and your spouse must work outside the home • You may contribute from $100 to $5,000 per year* • You can elect direct deposit for your reimbursements * Employees classified as Highly Compensated will be limited to $4,000 per year. Important Reminder: This is 41a “USE IT or LOSE IT” plan Employee Assistance Program • Company-provided benefit • Free confidential counseling for employees & dependents Depression and anxiety* Relationships* Addictions and abuse* Legal consultation Stress* Work/life balance* Financial services Grief and loss* * Up to 8 company-paid sessions, per issue, per year, per family member 42 Life Benefits • Dresser-Rand provides employees with: – $50,000 of Basic Life Insurance – $50,000 of Basic AD&D • Employees can purchase additional: – Optional Life Insurance for self & dependents – Voluntary AD&D Insurance for self & dependents 43 Optional Life Insurance Employee • Employee Optional Life – $25,000 increments, up to $500,000 – Evidence of Insurability (EOI) required for amounts elected over $250,000 – EOI required for increases after initial election 44 Optional Life Insurance Dependents • Spouse Life – $25,000 increments, up to $250,000 or 50% of employee amount, (combined basic and optional) whichever is less – Employee must elect Optional Life in order to elect Spouse Life – Evidence of Insurability (EOI) required for amounts elected over $25,000 • Child(ren) Life – If elected, each child will have $10,000 of Life Insurance – Employee must elect Optional Life in order to elect Child Life 45 Optional Life Insurance Rates • Employee and Spouse Rates are Based on – Age – Tobacco or Non-Tobacco use status • Tobacco products include cigarettes, pipes, cigars, snuff and chewing tobacco – Rate sheet will be included in enrollment packets and are available on the Dresser-Rand benefits website: (www.dresser-rand.com/benefits) 46 Employee & Spouse Optional Life Monthly rate per $1,000 of coverage Age Non-Tobacco User Tobacco User <25 $0.051 $0.087 25-29 $0.069 $0.110 30-34 $0.086 $0.143 35-39 $0.094 $0.154 40-44 $0.111 $0.176 45-49 $0.162 $0.264 50-54 $0.249 $0.408 55-59 $0.471 $0.760 60-64 $0.720 $1.157 65-69 $1.389 $2.226 70-74 $2.255 $3.610 75+ $3.661 47 $5.873 Voluntary AD&D Insurance Employee or Family Can elect Employee or Family coverage • Employee – $25,000 increments, up to $500,000 • Family (Benefit based on Family members) – Spouse only • 60% of employee coverage – Child(ren) only • Each child, 15% of employee coverage – Spouse and Child(ren) • Spouse, 50% of employee coverage • Each child, 10% of employee coverage 48 Voluntary AD&D Insurance Employee or Family 2011 Monthly Employee Contribution Rates – Employee only – Family $0.025 per $1,000 $0.040 per $1,000 49 Business Travel Accident Insurance • Dresser-Rand provides you with: – – – – 4 x current base salary Minimum benefit is $100,000 Maximum benefit is $1,000,000 Covers you for death/dismemberment while traveling on Company business Note: If a common accident results in the death or dismemberment of more than one covered person, the maximum benefit paid to all covered people is $5,000,000 50 International Travel Benefits • Cigna Medical Benefits Abroad (MBA) – Provides access to medical care when traveling outside the U. S. on business • International Assistance – Provides assistance with medical, personal, travel, security issues and legal problems on international business trips or assignments outside the U.S. 51 Legal Benefits • Voluntary • Access to a network of over 10,000 attorneys • Services include: – – – – – Document Preparation Family Law Real Estate Matters Wills and Estate Planning Traffic Matters • Employee cost = $15.75 per month • Access @ www.legalplans.com 52 Disability Benefits • Short-Term Disability (pay continuation) • Long-Term Disability 53 Short-Term Disability (Pay Continuation) • Dresser-Rand provides you with replacement income if you are determined to be disabled for a non work-related injury or illness. – 12 weeks at 100% of base pay (40 hrs / wk) – 14 weeks at 60% of base pay (40 hrs / wk) 54 Long-Term Disability • If you remain totally disabled after the STD period expires (26 weeks), you may be eligible for coverage in the LTD program • Employees eligible to continue fringe benefits for 36 months at current active rate • LTD Benefit includes: – A monthly basic benefit equal to 40% of your Dresser-Rand base earnings 55 Long-Term Disability Buy-up Options • You can purchase Voluntary LTD coverage for a total monthly benefit of: – 50% (10% optional buy-up), or – 60% (20% optional buy-up) of your base earnings 56 Long-Term Disability Buy-up Options Monthly Employee Contributions • 50% (10% Buy-up) option • 60% (20% Buy-up) option $.135 per $100 of benefit $.325 per $100 of benefit 57 Enrollment • Enroll at www.dresser-rand.com/benefits from any computer with Internet access 58 Vacation & Holidays • • • Vacation based on the schedule below (is prorated first year of employment) Months of Service as of July 1 Vacation Days 12 but less than 24 5 Days 24 but less than 36 7.5 Days 36 but less than 96 10 Days 96 but less than 120 12.5 Days 120 but less than 180 15 Days 180 but less than 216 17.5 Days 216 but less than 300 20 Days 300 but less than 360 25 Days 360 or more 30 Days Employee will step up to an additional increment in vacation according to the above schedule upon reaching his anniversary date in any vacation period. Step ups begin with the employee's second anniversary date Dresser-Rand provides 12 holidays each year (includes birthday and 1 floating holiday) 59 Pension Plan Type of Plan • This Plan is a “Defined Benefit” plan under the Employee Retirement Income Security Act of 1974 (ERISA) • The plan is based on a formula that provides a benefit for years of service • The cost of this Plan is paid entirely by the Company 60 Pension Plan Normal Retirement – Continued employment until age 65, you will receive a Normal Retirement benefit – The current dollar factor per year of service is $36.50 Example of Normal Retirement – Participant who is age 65 with 10 years of service – Full unreduced benefit – 10 years x $36.50 = $365.00 a month 61 Pension Plan Vested Retirement – If you leave the Company after having earned 5 years of Vesting Service, you are entitled to a benefit on the last day of the month after the month you reach age 65 – You may begin receiving benefits as early as age 55 if you have completed 5 years of service. Your benefit will be reduced by early retirement factors 62 Pension Plan Sources of Information • If you have any questions regarding your plan benefits please contact the following Retirement Team Members: • Darlene Pfeiffer – Pension Analyst (716) 375-3704 • Michele Benjamin – Pension Analyst (716) 375-4317 • Email – [email protected] 63 Retirement Savings Plan Eligibility • As a bargaining unit employee of Dresser-Rand, you are eligible to participate in the Dresser-Rand Company Retirement 401(k) Plan, as soon as administratively practicable following your hire or rehire date Benefits Available Under the Plan • The Plan allows you to tax deferred a portion of your eligible compensation • A Catch-Up feature, for those age 50 or greater by year end, allows you to save additional amounts • Loans and In-Service Withdrawals are available on a limited basis Plan Recordkeeper - Fidelity • For general assistance or enrollment contact Fidelity Retirement Service Center (1-800-835-5097) or visit www.401k.com 64 Retirement Savings Plan Your Savings Elective Deferrals and IRS Annual Limits You may elect to defer between 1% and 75% of eligible pay into the Plan. However, you may not exceed the applicable annual IRS limits below: • The 2011 Elective Deferral limit is $16,500 • The 2011 Catch-Up Deferral limit is $5,500 (Catch-Up Deferrals are only available to Participants age 50 or older) Vesting Schedule for Elective Deferrals You are always 100% vested in your contributions and their earnings. 65 Retirement Savings Plan Fidelity can assist you if you want to: • • • • • • Enroll in the Plan Change Your Investment Election Change Your Paycheck Deferral Election Request a Loan Request an In-Service Withdrawal, and Loan Address Changes Roll Over Another Plan’s Balance into this Plan 66 Retirement Savings Plan Enrollment is easy… • Within 10 days of your hire date with Dresser-Rand you will receive a packet mailed to your home from Fidelity with instructions to enroll in the Plan. • After you receive the enrollment packet, you can enroll via the internet or by telephone. • If you have not received your enrollment packet 10 days after your start date, please contact Steve Rehler at (716) 375-3559. 67 Retirement Savings Plan For more information: Fidelity Retirement Service Center 1-800-835-5097 Fidelity Web Access www.401k.com Retirement Benefits Department Plan Administrator: Steve Rehler Phone: 716-375-3559 E-mail: [email protected] 68 Questions If you have any questions, contact your local Human Resources Representative. 69