Common use of Income Protection Plan Clause in Contracts

Income Protection Plan. Effective October 1, 1996 all existing sick leave banks were frozen, to be utilized in accordance with 7:02 (g), the Letter of Understanding pertaining to 7:02 (c), and Articles 8 and/or 9, whichever is applicable. The sick leave banking system was replaced with the following Income Protection Plan: (a) Each employee shall be eligible to receive Income Protection benefits in accordance with the following: (b) The Income Protection Plan provides for the continuation of salary in whole and/or in part, for a period of up to six hundred and eighty (680) hours for employees whose normal weekly hours of work are 40 or five hundred and ninety five (595) hours for those employees whose normal weekly hours of work are 35, if an employee is absent due to non-occupational illness or accident. The Income Protection benefits provided will be based on the individual employee’s length of service, and in accordance with the following schedule: 40 hour work week 35 hour work week Length of Service 100% Salary (hours) 75% Salary (hours) 100% Salary (hours) 75% Salary (hours) 3 months but less than 1 year 0 680 0 595 1 year but less than 2 years 40 640 35 560 2 years but less than 3 years 80 600 70 525 3 years but less than 4 years 120 560 105 490 4 years but less than 5 years 160 520 140 455 5 years but less than 6 years 240 440 210 385 6 years but less than 7 years 280 400 245 350 7 years but less than 8 years 360 320 315 280 8 years but less than 9 years 440 240 385 210 9 years but less than 10 years 520 160 455 140 10 years but less than 15 years 600 80 525 70 (c) The Income Protection benefits will be limited in any calendar year to the number of hours specified above and the coverage at 100% or 75% salary shall be based on the anniversary date of the employee. Employees off on Income Protection benefits who have utilized all of the 680/595 hours will only be eligible for an additional 680/595 hours coverage in the same or subsequent year after the employee has returned to active employment for at least 20 working days. It is understood that these additional hours in the same year will be at 75% of salary. The elimination period for Long Term Disability will be 680/595 hours in accordance with the LTDI Policy with the carrier company.