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Japan mandates screening for metabolic syndrome
In an effort to stem the swelling cost of health care, the Japanese government started requiring companies to screen employees who are between 40 and 74 years old for metabolic syndrome, a combination of medical disorders, including obesity, high blood pressure, high blood sugar levels and high blood fat levels.
Corporate health insurance societies, which insure employees of large companies, will oversee the mandatory health examinations of insured workers. Employees diagnosed with a metabolic problem will receive lifestyle guidance and possibly a referral to a physician.
In fiscal 2013, the financial contributions made by the Japanese government to corporate health insurance societies will be increased or decreased according to the company's success in improving the health of its employees, which may in turn affect future health insurance contribution rates.
A visible effect of this newly mandated program is the increased attention companies are paying to nutritional guidance, exercise, weight-loss programs and smoking-cessation programs.
Mitsubishi Electric Corp. will reportedly provide pedometers to employees who want them and give prizes to those with the most mileage. The corporate health insurance society at Fujitsu Ltd. will introduce a new computer system to store medical data about its members' health conditions, and doctors will be able to give advice on prevention issues via the company intranet. Toyota Motor Corp. is requiring all employees who are age 36 or older to be checked for metabolic syndrome and plans to provide yearly physical examinations to at least 85% of them by 2012.
Many company cafeterias are offering healthier meals, and some are beginning to post calorie and salt content. Fujifilm Holdings Corp. encourages employees to sign up for a nutritional guidance program and has added health information to the automatic payment system at the company headquarters cafeteria.
Singapore guarantees workers' compensation benefits
n Singapore, workers' compensation is now available to employees, regardless of income level or area of activity. The Work Injury Compensation Act took effect on April 1. The new law is intended to bring Singapore's compensation framework in line with prevailing international practices and to bring WICA claims closer in line with damages that can be sought in the courts.
The new law extends work injury coverage to employees engaged in non-manual work, regardless of their earnings. Previously, only employees engaged in manual work (regardless of earnings) and those engaged in nonmanual work, earning SGD 1,600 or less per month, were covered by the federal law. This means 850,000 additional workers are now covered, representing 80% of Singapore workers.
Employers are not required to purchase insurance for these newly covered employees, but they must pay compensation in the event of a valid claim. Employers may choose to cover such claims with one or more insurance policies by switching to workers' compensation insurance policies or adjusting existing policies to cover the liability described in WICA. Employers must now weigh their risks against the cost of insurance premiums.
Injured employees are now entitled to claim compensation that reflects a 25% increase over compensation previously payable through the federal law. They also can claim full pay for up to 14 days for outpatient medical leave, full pay for up to 60 days for hospitalization leave, and two-thirds pay beyond these periods for a maximum period of one year following the incident date.
WICA now provides harsher penalties for noncompliant employers, including fines up to SGD 10,000 and jail terms up to 6 months, and gives greater enforcement authority to the Ministry of Manpower in obtaining compensation from employers for injured employees. The law excludes self-employed people, independent contractors, domestic workers and uniformed public-sector employees.
New pension regs in MexicoNew regulations governing the Mexican system of pension funds, or AFOREs, were implemented on March 15. The changes are intended to create greater competition among the 18 funds, improve returns to fund members and provide greater transparency and more data on comparative fund performance. CONSAR, Mexico's regulatory body for pensions, will publish monthly rankings of the funds, based on a net return indicator that will consider performance over the past 36 months and the commission charged on assets.
Under the new regulations, funds are allowed to charge commission only on assets under management and not on monthly contributions, as was previously allowed. Contributors who do not select a pension fund manager will be assigned to the fund offering the best return based on the net return indicator, rather than the fund with the lowest commission structure.
Transfers among funds are now permitted only once a year, unless the transfer is being made to the fund with the highest net return. The number of fund types offered by each fund has been increased from two to five, each with a different risk profile and investment portfolio of equities and fixed-income holdings, structured according to the member's age. Individual fund types must be tailored to the following five age groups: workers age 56 or older, workers ages 46 to 55, workers ages 37 to 45, workers ages 27 to 36 and workers up to age 26.
Czech Republic revises short-term disability system
The Czech Republic's system of short-term disability benefits has been revised, requiring employers, rather than the government, to pay benefits for the first two weeks. The effective date of this provision has been postponed until Jan. 1, 2009. Starting this year, benefits must be paid from the fourth calendar day of absence. The calculation of benefits has been scaled to provide increased benefits for longer periods of disability. The benefit is now 60% of the revised daily calculation basis from day 4 to day 30, 66% from day 31 to day 60 and 72% from day 61 to day 365. Previously, a flat 69% of the revised daily calculation basis was paid.
The benefit for absences to take care of a family member is equal to 60% of the revised daily calculation basis, regardless of the length of the absence. Changes also were made in the maternity benefits for single mothers. The cash maternity benefit is now paid for up to 28 weeks for both single and married women.
In UAE, employers must provide health insurance to expats
Employers and sponsors are required to provide health insurance for expatriates and their dependents who live or work in Abu Dhabi, even if their visa was issued in another city of the United Arab Emirates.
Employers and sponsors that do not provide the mandated coverage will be held personally liable for the cost of any health care provided and subject to fines of AED 300 per month per employee.
Dubai is establishing a similar mandate to provide health coverage to expatriates, with implementation expected in June 2008. The emirate is bolstering its health care facilities infrastructure to prepare for the impending requirement. After mandatory health coverage for expatriates is extended across all emirates, its provision to UAE citizens is expected.
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