Expanded Maternity and Parental Leave Training

Expanded Maternityand Parental Leave Training

FEBRUARY 2018

In January, we provided a high-level overview of the key features of Walmart’s newly expanded paid maternity leave and parental benefits.

This educational session is designed to provide in-depth details of the associate experience when requesting maternity or parental leave, the role Sedgwick plays as our administrator and how you can support leave of absence requests.

Table of contents

Enhanced Maternity and Parental Leave: Overview

Review of Statutory Benefits Coordinated with Paid Parental Leave

Maternity Statutory Offsets

Paid Parental Leave Process

Updates to Existing Paid Leave Policies

Paid Leave Recap

Leave-related Tools and Resources

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Enhanced Maternity and Parental Leave: Overview

New policies for enhanced maternity and parental leave begin Mar. 1, 2018 for full-time hourly with 12 months of service and salaried associates.

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ALL FULL-TIME HOURLY AND SALARIED ASSOCIATES

BENEFIT AVAILABILITY DATE BENEFIT HIGHLIGHTS

Maternity Starts on Mar. 1

The enhanced maternity benefit supports birth moms who begin their maternity leave and give birth on or after Mar. 1, with up to 10-weeks of protected paid time away from work.

Parental Starts on Mar. 1

The parental benefit supports associates who become parents through birth, adoption or foster-care placement happening on or after Mar. 1, with up to 6-weeks of protected paid time away from work.

Sedgwick’s role as leave administrator

Maternity benefits• Sedgwick will administer an enhanced maternity benefit to Walmart’s full-time hourly

and truck driver associates • First date of absence (FDA) and delivery must be Mar. 1, 2018 or after

Parental benefits • Sedgwick will administer a new paid parental benefit for Walmart’s hourly associates

who become parents through Birth, Adoption or Foster Care Placement occurring on or after March 1, 2018.

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ALL FULL-TIME HOURLY AND SALARIED ASSOCIATES

Enhanced Maternity: What’s Changing

Full-time hourly associates with a FDA and delivery date of Mar. 1, 2018, or later (including those who work in a statutory state), are eligible for a 10-week maternity benefit regardless of delivery type:

• One week unpaid waiting period for which PTO may be used, 9-weeks of paid benefits at 100% of average weekly wages for a total of 10-weeks

• 2-weeks of pre-partum time can be approved without providing medical information

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FULL-TIME HOURLY ASSOCIATES

BASIC

After 10-weeks, benefits will drop to 50% with a weekly max of $200

ENHANCED

After 10-weeks, benefits will drop to 60% with no weekly maximum

BIWEEKLY STATUTORY(CA, NY, NJ, HI)

Based on state associate worksState benefits are topped-off by Sedgwick to bring the associate to 100% of their average weekly wage

After 10-weeks, benefits exhaust:

• CA – referred to CA state (EDD) for ongoing benefits

• NY, NJ or HI – referred to Liberty for ongoing benefits

WEEKLY STATUTORY(RI ONLY)

Based on where ASC worksState benefits are topped-off by Sedgwick to bring the associate to 100% of their average weekly wage

After 10-weeks, benefits exhaust:

• RI –referred to RI state (TDI) for ongoing benefits

Enhanced Maternity: What’s Changing

Driver associates with a FDA and delivery date of Mar. 1, 2018, or later are eligible for a 10-week maternity benefit

• Associate is eligible regardless of delivery type• 2-weeks of pre-partum time can be approved without providing medical information

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FULL-TIME TRUCK DRIVER ASSOCIATES

DRIVER

1WeekWaitingPeriod

9WeeksPaidBenefits– 100%(Total10weeks)

After10weeks,benefitswilldropto75%- NOWEEKLYMAX

Enhanced Maternity Benefits: Managing Pre-Partum Time

If an associates FDA is prior to their Estimated Due Date (EDD) – this is considered pre-partum time

Sedgwick can approve 2-weeks prior to Estimated Due Date (EDD) without providing medical documentation

• Anything additional requires the associate to provide objective medical information to support

Pre-partum time will be deducted from the 10-week benefit, which may cause maternity leave to extend beyond 10-weeks:

• Hourly Basic or Enhanced plan: Additional benefits that exceed 10-weeks will be covered by a reduced benefit of 50% or 60%

• Hourly Statutory plan (Biweekly & Weekly): Additional benefits that exceed 10-weeks will be covered by the state/Liberty

• Driver plan: Additional benefits that exceed 10-weeks will be covered by a reduced benefit of 75%

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ALL FULL-TIME HOURLY AND DRIVERS

Review of Statutory Benefits Coordinated with Paid Parental Leave

Ifyoudonotliveinoneofthefollowingstates,CA,RI,HI,NJandNY,pleaseresumeonpage16.

Statutory Benefits Coordinated with Paid Parental Leave

Thefollowingarescenariosthatshowhowtoprocessstatutory benefitsandcoordinatewithpaidparental

leave.

Statutory Maternity Scenario combined with Parental Leave: Delivery on FDA

Delivers Vaginally on FDA of Mar. 4, 2018

• TheassociategoesoutonMarch4thfordelivery

• TheMaternitybenefitof100%wouldbeginMarch4ththroughMay12th• StatebenefitsfromMarch11ththroughApril14tharetopped-offbySedgwicktobringtheassociateto100%

oftheiraverageweeklywage.• FromApril15ththroughMay12th,Sedgwickwillpaytheassociate100%

• PaidParentalcanbeginafterSedgwickmaternityplanexhausts.• May13ththroughJune23rd• Thisbenefitispaidat100%bySedgwick

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FULL-TIME HOURLY ASSOCIATES IN STATUTORY STATES

3/11/18– 5/12/18

Statutory Maternity Scenario: FDA ten-weeks pre-partum

10-weeks Pre-Partum – C-Section FDA Mar. 1, 2018

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• TheassociategoesoutonMarch1st,duetocomplicationsrelatedtopregnancy,withanestimatedduedateofMay10th.

• TheassociatedeliversonMay9th.

• TheMaternitybenefitof100%wouldbeginMarch1st throughMay9th.• Statebenefitsaretopped-offbySedgwicktobringtheassociateto100%oftheiraverageweeklywage.• May10th throughJuly3rd willbepaidbythestateonlyduetopost-partum

• Paidparentalcannotbeginuntilthestate’sapprovaldurationends• July4th throughAugust14th• Thisbenefitispaidat100%bySedgwick

Maternity Statutory Offsets

Statutory Maternity Offsets: Quick Reference

Determining maternity benefit statutory offsets:

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Statutory Maternity Scenario: Delivery on FDA

Why does Sedgwick add a maximum offset at the start of the claim?• It may take time to receive the award letter

- Award letter/amount may not be received until after an initial approval- Statutory award letters should not delay a claim decision

• If Sedgwick offsets the maximum amount initially – we’re avoiding risk of overpaying benefits as the associate won’t receive more than the maximum from the state.

• Once the award letter/amount is received – Sedgwick can recalculate the benefits and issue any applicable underpayment

Statutory underpayments can be automatically sent via off-cycle.

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Paid Parental Leave Process

Paid Parental Leave: Overview

Paid Parental Leave Policy is Effective Mar. 1, 2018.

All full-time hourly associates who become parents through birth, adoption or foster-care placement happening on or after March 1st with a FDA of March 1st , will be eligible for a paid parental policy.

• Eligible as of 12-months from date-of-hire

• 6-weeks paid at 100% within a 12-month period

• Continuous use only

- Can only be used for 1 birth/adoption/foster care placement in a rolling calendar year

- If entire 6 weeks are not used, associate is unable to take remaining balance at a later time

• Job Protected

• Managed by Sedgwick

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ALL FULL-TIME HOURLY ASSOCIATES (EXCLUDING eCOMMERCE)

Updates to Existing Paid Leave Policies

Paid Leave Policies Update: Paid Parental Updates

Effective Mar. 1, 2018, for all newly reported cases with a FDA and delivery, adoption or foster care placement on or after Mar. 1, 2018.

• Associates are eligible 12-months from their date-of-hire

• Available to full-time hourly associates only

• Benefit is 6-weeks paid at 100% (instead of two)

- May be taken in 1-week increments

- If an associate only uses a partial week for an increment, then this will be considered a one full week increment

• Paid leave is job protected• if the 6 weeks of paid parental is not taken continuously the subsequent period of leave will not be job protected

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FULL-TIME HOURLY eCOMMERCE ASSOCIATES


Effective Mar. 1, 2018, for all newly reported cases with a FDA due to delivery, adoption or foster care

placement on or after Mar. 1, 2018.

• Salaried eComm associates are eligible as of their date-of-hire

• Benefit is 12-weeks paid at 100% in a 12-month period (can be taken in 1-week increments)

• Job Protected

• If the 12 weeks of paid parental is not taken continuously the subsequent period of leave will not be job protected

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SALARIED eCOMMERCE ASSOCIATES


Effective Mar. 1, 2018, for all newly reported cases with a FDA due to delivery, adoption or foster care placement on or after Mar. 1, 2018.

• Salaried associates are eligible as of their date-of-hire

• 6-weeks (instead of 2) at 100% in a 12-month period that can be taken continuously ONLY

- Can only be used for one birth/adoption/foster care placement in a rolling calendar year

- If entire 6 weeks are not used, associate is unable to take remaining balance at a later time

• Job Protected

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SALARIED ASSOCIATES

Paid Leave Policies Update: Personal Leave Updates

Effective Mar. 1, 2018:

All hourly associates who request a personal

leave with a FDA of Mar. 1, 2018 or after, will

be eligible as of their date-of-hire, as opposed

to waiting until they reached 12-months of

service. The following policies will be updated:

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ALL HOURLY ASSOCIATES

NOW ELIGIBLE

AS OF DOH

12 Week Family Care

Family Care

Extended Family

Member Care

Compelling Reason

Transfer

Expatriate Spouse

Military Spouse

Education

Paid Leave Recap


Sedgwick will administer new maternity plans and leave policies to all associates.

Maternity Process Changes• Hourly & Driver Associates will be eligible for enhanced maternity benefits

• Enhanced benefits include 9-weeks of paid benefits at 100% (1-week unpaid – waiting period)

• In Statutory States, state benefits are topped-off by Sedgwick to bring the associate to 100% of their average weekly

wage

Paid Leave Changes• All Full-Time Hourly associates with 12 months of service (including eCommerce) will now be eligible for a 6-week paid

parental leave

• Salaried associates and Drivers (excluding eCommerce) will now have an enhanced 6-week paid parental leave

• 2-week Paid Family Care for salaried associates and Drivers is independent from Paid Parental benefits

• All Paid Parental Leaves (including all eCommerce), when used continuously, will be job protected

Personal Leave Policy Changes• All Hourly Personal Leaves Policies will be eligible as of date-of-hire

• This includes: Family Care, Extended Family Member Care, Compelling Reason, Military Spouse, Transfer, Expatriate

Spouse, Education

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FULL-TIME HOURLY AND SALARIED ASSOCIATES

Leave-related Tools and Resources

How to file a leave of absence claim

Typically, if an associate needs more than three days off due to their own medical condition or to care for a family member, a leave of absence claim needs to be filed. Here’s how:

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FOR ALL ASSOCIATES

1Request a leave with Sedgwick by using:

• viaOne®express• By phone: 800-492-5678

2Complete and return all necessary paperwork to Sedgwick:

• Email: [email protected]• By fax: 859-264-4372 or 859-280-3270

3 Questions or concerns:• Email: [email protected]

Appendix

Statutory Maternity Scenario: Delivery on FDA

Delivers C-Section on FDA on Mar. 15, 2018• Sedgwick approves claim from Mar. 15 – May 23, 2018 (10-weeks), benefits exhaust for short-term

disability• Sedgwick receives state award letter:

- State approved: Mar. 15 – May 9, 2018 (8-weeks post partum)- Offset will only be applied through approval duration of state (if no end date – offset will apply to entire duration)

State Award duration does NOT exceed statutory maternity – Paid Parental can begin after Sedgwick maternity plan exhausts

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Statutory Maternity Scenario: FDA three-weeks pre-partum

3-weeks Pre-Partum – C-Section FDA Mar. 1, 2018• Objective medical required for all pre-partum time if associate goes out more than 2-weeks

(14 calendar days) pre-partum• Associate delivers via C-Section on Mar. 21, 2018 • Sedgwick approves claim from Mar. 1 – May 9, 2018 (10-weeks), benefits exhaust for short-term disability• Sedgwick receives state award letter:

- State approves: Mar. 1 – May 15, 2018- Offset will only be applied through approval duration of state (if no end date – offset will apply to entire duration)

State approval duration exceeds Sedgwick’s 10-week maternity plan– paid parental cannot begin until the state’s approval duration ends.

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Thank you!“We’re all working together; that’s the secret.”SAM WALTON

Expanded Maternity and Parental Leave Training

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