Colfax offers insurance for 30-hour employees at 75/25

By LeAnn R. Ralph

COLFAX — Part-time employees in Colfax working an average of 30 hours per week will now be offered health insurance with the village paying 75 percent of the premium and the employee paying 25 percent.

The Colfax Personnel Committee and the Colfax Village Board during a joint meeting February 9 decided to offer insurance at the 75/25 split for the 30-hour employees.

Colfax currently provides health insurance for full-time employees with 90 percent of the premium paid by the village and ten percent paid by the employees, said Lynn Niggemann, administrator-clerk-treasurer.

The employee handbook referenced health insurance being available to employees who work an average of 30 hours per week, she noted.

The Affordable Care Act requires employers to offer insurance to employees who work an average of 30-hours per week, and the 30-hour average is calculated by hours worked over a 12-month period, Niggemann said.

If any employees fall into the 30-hour average, the village is required to offer insurance, although the village is not required to pay the premium, she said.

At this point, only one 30-hour employee in the village would be interested in taking the health insurance, Niggemann noted.

The employee is losing coverage elsewhere and needs new health insurance by February 15, she said.

Technically, the village only has two employees who would fall into the 30-hour average.

Mark Halpin, village trustee, said he believed the 75/25 split was appropriate.

Offering insurance for 30-hour employees may help the village retain good people, he said, noting that training new employees incurs a certain expense for the village.

“The 75/25 would help to show employees that we do value their services,” said Scott Gunnufson, village president.

According to information that Niggemann provided to the village board, family coverage for an employee, spouse and three dependents at 75/25 would cost the village $18,084 per year and would cost the employee $4,521 per year.

Health insurance for a single employee with no dependents at 75/25 would cost the village $5,633 per year and would cost the employee $1,408 per year.

The employee who needs health insurance would fall into the single-coverage category, Niggemann said.

The Colfax Personnel Committee and the Colfax Village Board voted unanimously to offer health insurance to employees working an average of 30 hours per week with 75 percent of the premium paid by the village and 25 percent paid by the employee.

All of the village board members serve on the personnel committee.