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INCOME PROTECTION - PTO AND EIB

In this section
PTO
Sel
ling/Donating PTO
EIB

Children's of Alabama believes that employees need time off to "recharge" their batteries and maintain a healthy work/life balance. Our Paid Time Off (PTO) Bank and Extended Illness Bank (EIB) plans give you flexibility with many options for use, and most importantly, that help protect your income from unexpected work absences

Paid Time Off Bank (PTO)Your PTO Bank represents time off, with your manager's approval, to use as your decide for...

  • Vacation
  • Personal/Family Needs (Parent/Teacher meeting, appointments, etc.)
  • Holidays (whichever holiday you prefer and can take off)
  • Short-term sickness - the first 5 days of any illness (your own illness or that of your spouse, children or parents)

Children's provides an amount of time off that is very competitive with other companies and hospitals. As your service with Children's increases you will accrue more PTO time:

Years of Service

Total PTO Days Per Year*

Total PTO Annual Hours

Hourly Accrual Rate**

Maximum Banked Hours

0 thru 5 years

23

184

.0885

304

6 thru 10 years

27

216

.1038

336

11 thru 15 years

30

240

.1154

360

16 thru 20 years

33

264

.1269

384

20+ years

35

280

.1346

400

* Based on a full time employee with 2,080 hours worked or paid PTO in the year.
**PTO accrues on an hourly basis for regular hours up to 80 hours per payperiod or paid PTO.

What you need to know about accruing PTO...

  • You begin accruing PTO, from your date of hire
  • To be eligible to accrue PTO, you must work 20 or more standard hours a week.
  • Benefit eligible full-time and part-time employees accrue PTO hours based on the PTO accrual schedule above. 7/7 employees do not accrue PTO.
  • Accrued hours are based on your hourly accrual rate times each regular hour worked up to a maximum of 80 per pay period or PTO hour paid each pay period.
  • You do not accrue PTO time when you use your EIB hours.
  • You do not accrue PTO on Overtime hours.
  • You will see your PTO bank balance on each paycheck summary. Keep track of your PTO balance to carefully plan your time off. If you see your balance getting low, use time off sparingly until you accrue more time. If you see your balance reaching the maximum (120 hours over your annual accrual), plan some time off soon, or elect the annual PTO selling feature.
  • Your PTO hourly accrual factor will increase on the pay period you reach you anniversary date of hire for the next higher accrual level (start of the 6th, 11th, 16th, 21st year of service).

What you need to know about taking PTO...

  • Do you wish you could forecast your PTO amount? Our PTO Planner can help.
  • PTO must be accrued before it can be used.
  • There is no waiting period for new hires; you can take PTO as soon as you accrue it with manager approval.
  • PTO must be used for all approved absences from work with the exception of bereavement (funeral) leave and jury duty. Nonexempt (hourly) staff use PTO in quarter (.25) hour increments.
  • Exempt (salaried) staffs use PTO time in a minimum of 1-hour increments.
  • Your PTO bank cannot have a negative balance.
  • Your PTO balance will be paid to you in accordance with the current policy if you leave a benefits-eligible position.

Using PTO for Sickness

  • When you must miss work due to your own illness or due to children who live with you, your spouse, or your parent, your pay is continued through your PTO bank for the first 5 consecutive days of an illness. This is why PTO accrues at a high enough level to include enough days for you to meet all combined vacation, holiday, and short-term sick days.
  • If you miss work due to a hospital admission or an outpatient procedure, medically necessary under general anesthesia or IV sedation, you are eligible to use your accrued Employee Illness Bank.
  • If your reason for being out is covered under the Family Medical Leave Act, you must complete the FMLA paperwork for your supervisor; you may need to provide physician certifications of the illness. See FMLA.
  • If the illness requires your absence beyond the 5 days, your pay will be continued through your Extended Illness Bank up to the amount accrued.
  • Children's policy requires all absences from work to be approved by your supervisor. If you will miss work due to sickness, contact your supervisor at least 3 hours before the start of your shift so that work and staffing needs can be met. This is dependent on departmental policy; some departments use other time frames.

Selling PTO Hours

  • PTO Selling is an attractive feature in those years where you were not able to take off enough time or prefer the cash. You may elect to sell 20 to 120 PTO hours and receive it in the form of cash, less required tax withholdings, on an annual basis.
  • To participate in PTO Selling, you must complete a PTO Selling Form online at My Service Center no later than December 30th, for a PTO check to be distributed to you the following November. IRS rules require your irrevocable election prior to the start of the plan year.

Other terms include:

  • You must maintain a balance of 40 hours in your account following the PTO selling.
  • The maximum you may sell is 120 hours
  • You must have taken/used a minimum number of hours in the look-back period (includes PTO hours donated).
  • The look-back period is generally the preceding 12 months. Exact dates will be determined annually.
  • The hours required to be taken are based on the FTE status you occupy at the time of the Sell according to the following chart:

    40 standard hours (1.0 fte) = 100 hours
    36 standard hours (.9 fte) = 90 hours
    32 standard hours (.8 fte) = 80 hours
    28 standard hours (.7 fte) = 70 hours
    24 standard hours (.6 fte) = 60 hours
    20 standard hours (.5 fte) = 50 hours

FORMULA: Standard weekly hours divided by 0.4 = required minimum hours used/taken

Your PTO Sell agreement will be null and void if you fail to meet the requirements above.

Donating PTO Time
You may donate PTO time to a fellow employee who is in need and who qualifies for FMLA. This option is totally voluntary. To do so, complete a PTO Donation form. Your PTO bank will then be reduced by those hours, and the recipient's PTO bank will be increased by the same amount. The recipient is the able to use the PTO hours at their rate of pay. The form is located on the HR pages of the intranet under HR > myForms.

Extended Illness Bank (EIB)
Children's of Alabama provides an Extended Illness Bank to meet pay continuation needs during absences due to longer term illnesses or maternity leave. Think of EIB as a disability policy.

Since EIB accrues at a slower rate, it may take several years to accrue sufficient hours for a 5-6 week medical absence. To help fill this gap, you may choose to purchase a voluntary short term disability policy to coordinate with your EIB balance. See Voluntary Benefits

Benefit eligible and 7/7 employees accrue EIB as follows:

Days Per Year Accrued*

Hourly EIB Accrual Rate

Maximum EIB Hours

10 days

.0385

720 hours (90 days)

*Assumes 2,080 regular hours worked or paid PTO.EIB accrues on regular hours worked or hours paid PTO. EIB does not accrue on paid EIB hours.

EIB hours may be used for the following reasons:

  • The serious illness or maternity leave of the employee, with physician's certification of the illness and required time of absence.
  • The serious illness of the employee's spouse, parents, or dependent children who live with him/her.

Dependent children is defined as children up to the age of 18 and/or children up to the age of 26 who are enrolled full time at school.

Documentation of condition must be faxed along with discharge instructions to the FMLA Specialist at fax 205.638.5187 to be approved, entered in the system, and paid. The Hartford does not administer Extended Illness Bank hours.

The reason for the illness must meet the same criteria as the guidelines for the Family Medical Leave Act:

  • Inpatient Hospital Admission
  • Outpatient surgery (medically necessary)
    • Requiring general anesthesia or
    • IV sedation with monitoring
  • Cancer, chemotherapy, radiation treatment
  • Maternity
  • Hemodialysis

The first 5 consecutive days (40 hours) of any other illness must first be paid from your PTO bank. If the illness continues beyond 5 days, your pay will be continued from your EIB Bank with approved documentation.

Examples of conditions that do NOT qualify for EIB usage:

  • Basic dental procedures
  • Emergency room visit if not admitted
  • Sleep studies
  • IV contrast 

Important! See the Family Medical Leave Specialist in Human Resources to determine if you condition qualifies.

See the FMLA Frequently Asked Questions for more information.