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Employee on Disability Paying Back Employer's Portion of Benefits Cost

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  • Employee on Disability Paying Back Employer's Portion of Benefits Cost


    If an employee doesn't return to work from disability under FMLA based on doctor's orders, can the company make the employee pay back the benefits cost the employer has been paying?

    How would is be appropriate for the company to collect the cost of benefits from the employee if the person does not return to work?


  • #2
    If the employee is medically unable to return after FMLA, then no, you may not legally require him to pay back benefits.

    The statute allows for that only when the employer VOLUNTARILY does not return.
    The above answer, whatever it is, assumes that no legally binding and enforceable contract or CBA says otherwise. If it does, then the terms of the contract or CBA apply.


    • #3
      Employees may keep their health benefits while on FMLA leave, and the employer must continue to pay whatever premiums the employer would pay if the employee were not on leave. However, the employer may require the employee to repay the cost of the health care premiums it paid while the employee was on leave if the employee voluntarily chooses not to return from leave. The employer may not seek reimbursement if the employee fails to return to work for reasons beyond the employee's control (ie serious health condition keeping them from returning).
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