Benefits

Flexible Spending Plan

Regular employees who qualify for group benefits (working 24 hours or more per week) of the City of Red Wing can participate in the Flexible Spending Plan. Also known as a Cafeteria Plan, this plan allows participation in the medical insurance, health care flex spending account and dependent care (daycare) spending account on a pre-tax basis. This means that with each payroll deduction, the employee can save money by not paying taxes on premiums or contributions.

The City of Red Wing does not contribute to a dental plan for employees. Employees may choose insurance plans through Minnesota Benefits Association (MBA) and American Family Life Assurance Company of Columbus (AFLAC). Generally, payments are made through payroll deductions and employees may sign up at any time.

Medical Insurance

Provided through CCStpa/EPNI Network.

The City of Red Wing has a High Deductible/Health Reimbursement Account (HRA) health plan. The City contributes $750 individual/$1500 family per year towards your HRA. Contributions are made on a quarterly calendar basis. Contributions will be made on a pro-rated basis if employment starts in the middle of the year.

Insurance Contributions

• FAMILY COVERAGE: The employee single plus dependant (family) basic premium will be 9% of the Gross Family Premium. For 2012 this amount is $70.56 bi-weekly or $152.89 monthly.
• SINGLE COVERAGE: The employee single coverage cost will be 26% of the employee single plus dependant (family) premium. For 2012 this amount is $18.35 bi-weekly or $39.75 monthly.

Flexible Spending Accounts (FSA)

There are two types of flexible spending accounts available to City of Red Wing employees, a Health Care Spending Account and a Dependant Care Spending Account.

Health Care Spending Account
This plan allows employees to divert up to $5,000 per year from paychecks before being taxed. The money can be used to pay for various medical and dental expenses. For example, an employee needing eye glasses can put money into the account pre-tax throughout the plan year and then, upon purchasing the eye glasses, can submit a receipt for reimbursement. Money received from this account will be paid directly to the employee without having to pay taxes on it.

Dependant Care Spending Account
Like the Health Care Spending Account, the Dependent Care Spending Account allows pre-tax deductions to pay for expenses. Up to $5,000 per year can be set aside to pay for dependent care or daycare expenses. A deduction will come out of each paycheck and employees are reimbursed after submitting a receipt for expenses incurred.

Please contact Patti Schmidt in Employee Services for a complete list of eligible expenses and rules of these plans.

Other Benefits

Life Insurance
The City of Red Wing provides $30,000 of basic term life insurance through Assurant Employee Benefits for regular, full-time employees.

The option to purchase additional life insurance coverage at low group rates is available to all Public Employees Retirement Association (PERA) members.

Accidental Death and Dismemberment
The City of Red Wing provides up to $30,000 of Accidental Death and Dismemberment insurance through Assurant Employee Benefits to employees and/or their beneficiaries in the event of accidental dismemberment or accidental death as the direct result of a work-related injury.

Long Term Disability Insurance
The City of Red Wing provides long-term disability insurance through Assurant Employee Benefits to cover up to 60 percent of monthly base earnings for employees if they become unable to do their job due to disability.

These same benefits are available to regular, part-time employees who work at least 24 hours per week at a percentage of the cost based on the regular number of hours worked per week.

Vacation

Regular, full-time employees receive vacation time at the following rate according to the Personnel Policy:

Holidays

The following days are considered paid holidays for City of Red Wing employees: New Year's Day, Martin Luther King Jr. Day, Presidents’ Day, Memorial Day, Independence Day, Labor Day, Veterans’ Day, Thanksgiving Day, Friday after Thanksgiving, Christmas Eve Day, Christmas Day and one floating holiday.

Sick Leave

Sick leave is granted at the rate of ten hours per month. Sick leave may be accumulated to 1,000 hours and then it will accrue at two hours per month thereafter to an unlimited amount.

Wellness Day

An employee who does not utilize sick leave for any 12-month period will, upon the completion of the12-month period, be granted eight hours of vacation leave.

Educational Assistance

The City of Red Wing will provide financial assistance to all full-time and part-time regular employees who continue formal study in areas directly related to their present position provided such courses are approved in advance. Financial assistance shall not exceed $1000 (amount prorated for part-time employees based on the regular number of hours worked) per calendar year unless approved by the Council Administrator.

Employee Assistance Program

This program provides free access to independent, confidential and professional assessment services to employees and their family members.

Retirement Plans

Public Employees Retirement Association (PERA)
All regular employees earning at least $425 per month automatically become members of PERA. The employee and the City of Red Wing both contribute to PERA.

Severance Pay
Upon retirement or resignation (in good standing), eligible employees shall receive severance pay in a one lump sum payment equal to one-third of all accumulated accrued sick leave times his/her current hourly rate of pay.

Depending on length of employment and union affiliation, a Health Reimbursement Account (HRA) eligible employee may have a percentage of this severance payment deposited into his/her Health Reimbursement trust account.

Deferred Compensation Plans
Deferred compensation plans are offered through ICMA and Nationwide Retirement Solutions. These plans allow employees to set aside money from their paycheck pre-tax to prepare for retirement. Employees are not required to participate in these plans, but they offer a convenient way to save for retirement. 

Benefit information for part-time employees working at least 20 to 24 hours per week, please contact:

Patti Schmidt
Employee Services Technician
Email: patti.schmidt@ci.red-wing.mn.us
Phone: 651.385.3616

(Benefits may vary depending upon bargaining group/union affiliation.)