Government Expands COBRA Coverage and Subsidies

By Christopher S. Andre

As most employers know, COBRA is a federal law allowing terminated employees to continue to receive group health insurance coverage offered by their employers for up to 18 months. Historically, individuals have been required to pay the entire premium plus an administrative fee.

As part of the Federal Government's stimulus package enacted in February 2009, the Federal Government subsidized 65% of the COBRA premiums for employees terminated between September 1, 2008, through December 31, 2009, thereby reducing an employee's contribution from approximately $1100 per month to approximately $389 per month for a maximum of 9 months.

President Obama has now signed legislation included in a defense spending bill extending eligibility for subsidized COBRA coverage from December 31, 2009, to February 28, 2010, and expanding the subsidy from 9 months to 15 months.

AALRR Wins Groundbreaking Case on the Application of California's Wage and Hour Laws to the Public Sector

Public agencies scored a significant win last week when the California Court of Appeal held that most of the state's wage and hour laws do not apply to public employers. Public employers have increasingly found themselves involved in litigation regarding whether California's wage and hour laws are applicable to them. This class action lawsuit alleged that the Arvin-Edison Water Storage District was required to provide its employees with daily overtime and meal periods in accordance with California's Labor Code and Wage Orders. Further, the lawsuit alleged that the District did not qualify as a "municipal corporation" within the meaning of Labor Code section 220 and, therefore, was required to immediately pay final wages upon an employee's termination.

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AALRR Named One of the Top California Employment and Construction Law Firms by Chambers USA 2009

Cerritos, CA (June 26, 2009) --- Atkinson, Andelson, Loya, Ruud & Romo is pleased to announce that it has been named to Chambers USA for both its employment and construction law practices.

Chambers and Partners, a U.K. legal publisher, is well-known for its legal guides throughout the world. Chambers ranks lawyers based on interviews with firm clients, statewide attorneys, and other leading authorities in each area of law. A full-time research staff conducts interviews and other analysis to provide an objective assessment of each firm’s strengths and standing in the local market.

AALRR is one of 12 construction and 27 employment law firms in California to make the coveted list. The firm was recognized for its significant public and private sector achievements in construction litigation, claims, and contracts; collective bargaining; labor relations; and wage and hour and discrimination litigation.

In the construction area, citing client feedback, Chambers found that the firm “excels at finding creative resolutions,” provides “reasoned, sensible advice informed by experience,” and is extremely helpful in guiding clients through the legal process.

“To be acknowledged for a second year in a row, validates the work that we are doing,” said Thomas Kovacich, Chair of the Construction Law practice which includes 30 private and public sector attorneys. “To hear that clients consider us to be their trusted business partner is very gratifying.”

In the labor and employment area, Chambers commented that clients consider the firm to be a “great value for [the] money” and to have “highly skilled lawyers.” In addition, Cerritos partner Nate Kowalski was specifically named as a “Leader in the Field” for his recent employment and wage and hour litigation victories.

“Many of us have been in human resources, so we know firsthand what a client is going through,” stated Bob Wenzel, Chair of the firm’s private sector Employment Law practice. The firm boasts 100 private and public sector employment attorneys. “We are so pleased to be recognized for our commitment to the needs of California employers.”

Established in 1979, AALRR is a 140-attorney, full-service firm serving California employers from seven offices throughout the state, including Cerritos, Fresno, Irvine, Pleasanton, Riverside, Sacramento, and San Diego. The firm provides practical legal solutions in the areas of employment, labor, construction, education, real estate, general business, business litigation, corporate, taxation, bankruptcy, and immigration. In August 2008, the firm was recognized as both the 44th largest firm and the Most Diverse Firm by percentage of partners in California by California Magazine, a Daily Journal publication. For more information, please visit www.aalrr.com.

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