Does non-discrimination take away a companys ability to class employees in different categories?
Under Health Care Reform, insured health plans (other then those that meet the grandfathered status requirement) must meet the nondiscrimination rules under Internal Revenue Code (Code) section 105(h)(2). These rules prohibit discrimination in favor of highly compensation individuals (HCIs) with respect to both the eligibility to participate in the plan, as well as the benefits received under the plan. All benefits provided to HCIs who are participating in the plan must also be provided to other participants in the plan.
Related Questions
- What if my company is having different salary structures for different groups and different in & out timings for different group of employees?
- How are employees with two different job functions rated? Can I allocate an employees payroll between different class codes?
- What if a company has employees in different parts of the country?
