STAND. COM. REP. NO. 1093-04
Honolulu, Hawaii
, 2004
RE: H.C.R. No. 206
Honorable Calvin K.Y. Say
Speaker, House of Representatives
Twenty-Second State Legislature
Regular Session of 2004
State of Hawaii
Sir:
Your Committees on Labor and Public Employment and Health, to which was referred H.C.R. No. 206 entitled:
"HOUSE CONCURRENT RESOLUTION REQUESTING A STUDY ON THE DENIAL OF COVERAGE UNDER THE PREPAID HEALTH CARE ACT,"
beg leave to report as follows:
The purpose of this measure is to request the Department of Labor and Industrial Relations to:
(1) Determine the number of employed individuals who may work more than a total of eighty hours over a four-week period, but less than twenty hours a week during any week within that four-week period;
(2) Examine whether there is a trend or practice by employers of scheduling their employees so as to avoid providing health care coverage;
(3) Explore the effects of amending the definitions of "eligible employee" and "regular employee" under the Prepaid Health Care Act (PHCA) to encompass employees who work eighty or more hours during a consecutive four-week period, but less then twenty hours during any week within that period;
(4) Ascertain the number of employers who provide health care coverage to employees who are not qualified for coverage under the PHCA; and
(5) Make recommendations as to whether coverage should be expanded and in what manner, including any proposed legislation;
The ILWU and a concerned citizen submitted testimony in support of this measure, while the Department of Labor and Industrial Relations expressed its opposition.
Your Committee finds that the proposed study would provide valuable information in determining employer work scheduling practices as it relates to employee health care insurance required under the PHCA. Also, results from this study would help to ascertain the effectiveness of current administrative rules in the enforcement of employer compliance with the PHCA.
The Department of Labor and Industrial Relations expressed difficulty in conducting the proposed study, citing problems with the validity of survey data and the cost to implement. In addition, concerns were raised that any future legislation stemming from the study may result in jeopardizing the exemption from federal preemption under the Employee Retirement Income Security Act of 1974 (ERISA).
Despite this, your Committee believes that with sound survey methodologies, the resulting data would be valid and accurate, and would help in fashioning future legislation without placing the ERISA exemption at risk.
As affirmed by the records of votes of the members of your Committees on Labor and Public Employment and Health that are attached to this report, your Committees concur with the intent and purpose of H.C.R. No. 206 and recommend that it be referred to the Committee on Consumer Protection and Commerce.
Respectfully submitted on behalf of the members of the Committees on Labor and Public Employment and Health,
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____________________________ DENNIS A. ARAKAKI, Chair |
____________________________ MARCUS R. OSHIRO, Chair |
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