Revised Family and Medical Leave Policy
Effective January 16, 2009
Family and Medical Leave (FMLA Leave)
Sage Hospitality provides up to 12 weeks of unpaid, job-protected leave to eligible associates for the following reasons:
• Incapacity due to pregnancy, prenatal medical care or child birth;
• To care for the employee’s child after birth, or placement for adoption or foster care;
• To care for the employee’s spouse, son or daughter (under 18 years of age unless disabled), or parent, who has a serious health condition;
• Serious health condition that makes the associate unable to perform the employee’s job.
Military Family Leave Entitlements
Eligible associates with a spouse, son, daughter, or parent on active duty or called to active duty status in the National Guard or Reserves in support of a contingency operation may use their 12-week leave entitlement to address certain qualifying exigencies. Qualifying exigencies may include attending certain military events, arranging for alternative childcare, addressing certain financial and legal arrangements, attending certain counseling sessions, and attending post-deployment reintegration briefings.
Eligible associates may also take up to 26 weeks of leave to care for a covered servicemember during a single 12-month period. A covered servicemember is a current member of the Armed Forces, including a member of the National Guard or Reserves, who has a serious injury or illness incurred in the line of duty on active duty. The injury or illness must make the servicemember medically unfit to perform his or her duties for which the servicemember is undergoing medical treatment, recuperation, or therapy; or is in outpatient status; or is on the temporary disability retired list.
Benefits and Protections
During FMLA leave, Sage Hospitality maintains the associate’s health coverage under any group health plan on the same terms as if the associate had continued to work. Associates must continue to pay their portion of any insurance premium while on leave. If the associate is receiving paychecks during leave (through sick leave and vacation leave), health insurance premiums will be taken from those paychecks. If the associate is able but does not return to work after the expiration of the leave, the associate will be required to reimburse Sage Hospitality for payment of the Company’s portion of insurance premiums during leave.
Upon return from FMLA leave, most associates are restored to their original or equivalent positions with equivalent pay, benefits, and other employment terms. Certain highly compensated associates (key employees) may have limited reinstatement rights.
Use of FMLA leave cannot result in the loss of any employment benefit that accrued prior to the start of an associate’s leave. As with other types of unpaid leaves, paid leave (i.e. sick and vacation) will not accrue during FMLA leave. Holidays, bereavement leave, or jury duty pay are not granted on unpaid leave.
Eligibility Requirements
Associates are eligible if they have worked for Sage Hospitality for at least 12 months and for 1,250 hours over the previous 12 months.
Definition of Serious Health Condition
A serious health condition is an illness, injury, impairment, or physical or mental condition that involves either an overnight stay in a medical care facility, or continuing treatment by a health care provider for a condition that either prevents the associate from performing the functions of the associate’s job, or prevents a qualified family member from participating in school or other daily activities.
Subject to certain conditions, the continuing treatment requirement may be met by a period of incapacity of more than 3 consecutive full calendar days combined with at least two visits within 30 days to a health care provider (the first visit must take place within 7 calendar days from the first date of incapacity), or one visit and a regimen of continuing treatment, or incapacity due to pregnancy, or incapacity due to a chronic condition. Other conditions may meet the definition of continuing treatment.
Use of Leave
The maximum time allowed for FMLA leave is either 12 weeks in the 12-month period as defined by Sage Hospitality, or 26 weeks as explained above. Sage uses the 12-month period measured forward from the first day of an associate’s leave.
An associate does not need to use this leave entitlement in one block. Leave can be taken intermittently or on a reduced leave schedule when medically necessary. Associates must make reasonable efforts to schedule leave for planned medical treatment so as not to unduly disrupt Sage’s operations. Leave due to qualifying exigencies may also be taken on an intermittent basis.
Associates taking intermittent or reduced schedule leave based on planned medical treatment and those taking intermittent or reduced schedule family leave with Sage Hospitality’s agreement may be required to temporarily transfer to another job with equivalent pay and benefits that better accommodates that type of leave.
Substitution of Paid Leave for Unpaid Leave
Sage Hospitality requires associates to exhaust accrued paid sick and vacation leave (in that order) at the beginning of FMLA leave, concurrent to the leave. FMLA leave is without pay when paid leave benefits are exhausted. If collecting workers’ compensation or disability payments, an associate may not use sick or vacation leave.
Associate Responsibilities
Associates must provide 30 days advance notice of the need to take FMLA leave when the need is foreseeable. When 30 days notice is not possible, the associate must provide notice as soon as practicable and generally must comply with Sage’s normal call-in procedures.
Associates must provide sufficient information for Sage Hospitality to determine if the leave may qualify for FMLA protection and the anticipated timing and duration of the leave. Sufficient information may include that the associate is unable to perform job functions, the family member is unable to perform daily activities, the need for hospitalization or continuing treatment by a health care provider, or circumstances supporting the need for military family leave. Associates also must inform Sage Hospitality if the requested leave is for a reason for which FMLA leave was previously taken or certified.
Associates also may be required to provide a certification and periodic recertification supporting the need for leave. Sage Hospitality may require second and third medical opinions at the Company’s expense. Documentation confirming family relationship, adoption or foster care may be required. If notification and appropriate certification are not provided in a timely manner, approval for leave may be denied. Continued absence after denial of leave may result in disciplinary action in accordance with Sage’s attendance guideline. Associates on leave must contact Human Resources at their location (or the General Manager when no Human Resources position exists) at least two days before their first day of return. Failure to return to work at the end of FMLA leave will normally result in termination of employment.
Sage Hospitality’s Responsibilities
Sage Hospitality will inform associates requesting leave whether they are eligible under FMLA. If they are, the notice will specify any additional information required as well as the associates’ rights and responsibilities. If they are not eligible, Sage will provide a reason for the ineligibility.
Sage Hospitality will inform associates if leave will be designated as FMLA-protected and the amount of leave counted against the associate’s leave entitlement. If the Sage determines that the leave is not FMLA-protected, Sage will notify the employee.
Unlawful Acts
FMLA makes it unlawful for Sage Hospitality to:
• Interfere with, restrain, or deny the exercise of any right provided under FMLA;
• Discharge or discriminate against any person for opposing any practice made unlawful by FMLA or for involvement in any proceeding under or relating to FMLA.
Enforcement
An associate may file a complaint with the U.S. Department of Labor or may bring a private lawsuit against their employer. FMLA does not affect any federal or state law prohibiting discrimination, or supersede any state or local law or collective bargaining agreement which provides greater family or medical leave rights.