HUMAN RESOURCES

OPERATING POLICIES AND PROCEDURES

POLICY & PROCEDURE: System Office

SUBJECT:

BOARD APPROVAL DATE:

October 24, 2008

EFFECTIVE DATE:

October 24, 2008

Reduction in Force

President/CEO

SCOPE
This Policy and Procedure applies to all associates of The Daughters of Charity
Health System Office staff

POLICY
The President and CEO at the Daughters of Charity Health System (DCHS) in
coordination with Human Resources shall be responsible for instituting any workforce
reduction in the system office.
Temporary associates, per diem, and casual associates are not covered by this policy.

PROCEDURES
Associates Reductions
Definitions for the purpose of this policy the following are defined:
Classification: the current job title of the associate
Department: cost center
Regular Associate: benefited eligible associate

1. When Management has decided to implement a workforce reduction, they shall

identify those Classifications which need to be reduced. Selection of Regular
Associates within each Classification shall be based on such factors as the current
and prospective operational needs of the Department and the associates skills,
abilities, documented performance and competence to meet those requirements. If
all of the above factors are substantially equal, then length of Regular Employment
shall be taken into consideration but shall not be determinative.
2. Prior to implementing reductions, the System Office shall consider utilizing
associates subject to termination as a result of a reduction in force (RIF) for vacant
positions in other Classifications or Departments if they are qualified, or if crosstraining is deemed practical or can be completed in a reasonable period.
3. In some situations, it may be deemed appropriate to allow associates to
volunteer for termination. In those instances, it is left to the sole discretion of the
Management to accept or reject an associate's request.
4. In cases where there are no transfer opportunities, the System office shall
generally provide affected Regular Associates with two (2) weeks notice, or the
equivalent of two (2) weeks straight-time pay according to the associates then
regular schedule, in lieu of notice or combination of pay or notice.
5. In addition to notification pay as described above, Regular Associates terminated
as a result of a RIF shall
receive outplacement assistance coordinated through
Human Resources plus severance pay amounting to:
Non-Exempt
2 weeks notice plus:
0 3 years of service
4 5 years of service
6 7 years of service
8 9 years of service
10 14 years of service
15 + years of service

= 2 weeks of pay
= 3 weeks of pay
= 4 weeks of pay
= 5 weeks of pay
= 6 weeks of pay
= 8 weeks of pay

Exempt (Professional & Supervisory Associates)

2 weeks notice plus:
0 4 years of service
= 4 weeks of pay
5 6 years of service
= 6 weeks of pay
7 - 9 years of service
= 7 weeks of pay
10 14 years of service
= 9 weeks of pay
15 + years of service
= 10 weeks of pay
Department Managers and Directors
2 weeks notice plus:
0 4 years of service
= 8 weeks of pay
5 6 years of service
= 10 weeks of pay

7 8 years of service
9 10 years of service
11 25 years
25 + years of service

= 12 weeks of pay
= 14 weeks of pay
= 16 weeks of pay
= 18 weeks of pay

6. The supervisor shall meet with affected associates to ensure that they are aware
of procedures and benefit status. Human Resources shall provide written
materials regarding associate's rights to benefits continuation and other matters
believed by the System Office to be relevant.
7. The System Office may rearrange hours, shifts, assignments, etc. of the
associates remaining after a workforce reduction. If an associate is not willing to
accept the hours, shift, or assignment, as a result of RIF, that associate shall be
placed on RIF status.
8. An associate's benefits coverage remains in effect until the end of the month in
which the termination occurs.
9. Terminated or Reclassified associates have the option to continue certain healthrelated benefits for up to 18 months by exercising their COBRA rights. The cost
of these continued benefits shall be the responsibility of the affected associate.
Re-Employment in Any Position
1. It is the terminated associate's responsibility to stay informed of job vacancies if
they are interested in being re-employed. Human Resources shall make offers of
re-employment, not supervisors or other associates.
2. Available positions are posted on the DCHS System Office intranet and website.
3. Laid off associates who are re-employed within 60 days shall be given credit for
their prior service.

Implementation and Review of This Policy

This policy is to be implemented by:
The DCHS System Office, Human Resource Manager.
This policy is to be reviewed annually for the compliance and relevance by:
The DCHS System Office, Human Resource Manager.