Stay up-to-date on the companies, people and issues that impact businesses in Syracuse, Central New York and beyond.

Fidelis Care opens Utica office
UTICA, N.Y. — Fidelis Care, a statewide health plan with 1.5 million members, has announced the opening of a downtown Utica community office. The organization

Syracuse Chancellor Syverud elected to Middle States Commission on Higher Education
Syracuse University Chancellor and President Kent Syverud has been elected as a commissioner of the Middle States Commission on Higher Education (MSCHE). His three-year term

People news: Daughter for Hire promotes Webb to director of companion care
CLINTON, N.Y. — Daughter for Hire LLC announced it has promoted Allison Webb to director of companion care. Webb began her role with the Mohawk

Upstate Medical completes its employee relocation to the Galleries of Syracuse
SYRACUSE, N.Y. — Upstate Medical University has completed its employee relocation to the Galleries of Syracuse at 441 S. Salina St. in Syracuse. A group

Community Bank to acquire Northeast Retirement Services for $140 million
DeWITT, N.Y. — Community Bank System, Inc. (NYSE: CBU) today it announced it will acquire Northeast Retirement Services, Inc. (NRS) — a privately held, Woburn,

Schumer: Change in federal-funding formula hurts rural hospitals in upstate New York
LOWVILLE, N.Y. — U.S. Senator Charles Schumer (D–N.Y.) on Friday said he’d fight attempts to “claw back critical” federal funds that allow small hospitals, such

Syracuse falls out of college basketball polls
SYRACUSE, N.Y. — The Syracuse Orange men’s basketball team has dropped out of the latest top 25 college basketball polls following its road loss to

SUNY Oswego, OCC to offer education-information session on Tuesday
SYRACUSE, N.Y. — SUNY Oswego and Onondaga Community College (OCC) will hold an information session on Tuesday from 5 to 7 p.m. at the SUNY
Labor-law attorney reacts to court ruling blocking new federal overtime rule
Area employers who had prepared for a new overtime rule to take affect on Dec. 1 are readjusting after a Nov. 22 federal court ruling that prevented the new rule from taking effect. A judge on the U.S. District Court for the Eastern District of Texas issued a nationwide preliminary injunction preventing the U.S. Department
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Area employers who had prepared for a new overtime rule to take affect on Dec. 1 are readjusting after a Nov. 22 federal court ruling that prevented the new rule from taking effect.
A judge on the U.S. District Court for the Eastern District of Texas issued a nationwide preliminary injunction preventing the U.S. Department of Labor from implementing and enforcing the new overtime rule.
Business groups and several states had filed lawsuits challenging the new overtime rule, seeking to delay or prevent its implementation.
The new rule would have doubled the minimum salary level to $47,476 per year, or $913 per week, for employees classified under the white-collar exemptions for overtime pay.
White-collar exemptions are those applicable to executive, administrative, and professional positions.
“That is a minimum salary threshold that an employee must earn in order to qualify for one of the white-collar exemptions … under the Fair Labor Standards Act,” says Christian Jones, labor-law attorney with Syracuse–based law firm Mackenzie Hughes, LLP.
Those positions are exemptions to the federal requirement under the Fair Labor Standards Act that any hours worked beyond the standard 40 hours per week are entitled to overtime pay equal to time-and-a half an employee’s regular rate.
To qualify as exempt and not eligible for overtime pay, the positions have to meet certain requirements pertaining to job duties and salary level, according to Jones.
Deciding
Prior to the Nov. 22 court ruling, employers had to make a decision, figuring the overtime rules would begin on Dec. 1.
Some either raised salaries to meet the minimum threshold or indicated to the affected employees that their salaries would increase.
In those cases, the ruling may be too late, Jones noted, considering the administrative process involved and that it just might not be practical.
“It’s difficult to walk back a promised raise,” says Jones.
For those employers who had decided to reclassify exempt employees with salaries below the threshold to nonexempt and pay overtime, this ruling does allow companies to eliminate the reclassification.
“That’s an easier scenario to walk back. It doesn’t mean they’re required to,” says Jones.
Moving forward
Before scrapping the reclassification, Jones says affected employers should be aware that the U.S. Department of Labor could appeal the ruling to the Fifth Circuit Court of Appeals in New Orleans.
If the Court of Appeals reverses the decision, it could generate a legal issue, according to Jones.
It would have to be determined if those employers who were not in compliance on Dec. 1 bear any liability for overtime pay between the Dec. 1, 2016 effective date and the date the Court of Appeals issues its decision, he noted.
Another factor for employers to consider is what impact the upcoming Trump Administration will have on this matter.
It is possible, according to Jones, that Congress may pass legislation blocking the rule entirely, delaying its implementation, staggering the wage increases over time, or setting a lower wage threshold.
Jones figures President Obama would veto any such legislation, while President-elect Trump could sign it, should such legislation reach his desk.
“There is … quite a bit of uncertainty at this stage of the game as to where this will end up,” he says.
Contact Reinhardt at ereinhardt@cnybj.com

Excellus to offer telemedicine option in health plans
DeWITT — Excellus BlueCross BlueShield on Nov. 29 announced it will offer a telemedicine option to all privately insured and Medicare Advantage members in 2017. Excellus will use MDLIVE as its telemedicine platform beginning Jan. 1, 2017, the health insurer said in a news release. Rochester–based Excellus is Central New York’s largest health insurer. MDLIVE
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DeWITT — Excellus BlueCross BlueShield on Nov. 29 announced it will offer a telemedicine option to all privately insured and Medicare Advantage members in 2017.
Excellus will use MDLIVE as its telemedicine platform beginning Jan. 1, 2017, the health insurer said in a news release. Rochester–based Excellus is Central New York’s largest health insurer.
MDLIVE is a Sunrise, Florida–based “telehealth provider of online and on-demand health-care delivery services,” according to its website.
Telemedicine, or remote medical care, involves the patient and the provider when they’re in separate locations but linked by telephone or a secure two-way video connection.
Excellus said it acknowledges and “wants to emphasize” that a patient’s primary-care physician provides the “best care” because the doctor “knows you best.”
“But in our rapidly changing world … face to face visits aren’t always possible for families and patients. So, telemedicine is an alternative that is gaining rapid popularity across the country, and we anticipate that, in upstate New York, that we’re going to see increasing utilization of telemedicine,” Dr. Richard Lockwood, VP and chief medical officer of Excellus’s Central New York region, said in remarks at a news conference at Excellus’s office on Nov. 29.
Telemedicine services are available to anyone with or without health insurance, Excellus said in its release, but also noted carriers are building “easy-to-use” platforms into most health-insurance offerings throughout upstate New York.
Excellus predicts Upstate New Yorkers will “embrace” telemedicine as an alternative to getting care for minor conditions next year and expects Upstate residents to use that option “more than 50,000 times by the year 2018.”
“And by doing that, we can save our members dollars and help keep premium costs down and offer this as an alternative, so they can actually can get health care they need when they need it,” Lockwood said.
Relying on national studies, local projections and preliminary results from a pilot program of its own employees’ use of telemedicine, the health insurer contends a surge in the use of telemedicine is likely to begin in 2017 and “grow rapidly every year through the remainder of this decade and beyond.”
“Historical” advances in clinical decision-making; the evolution of customer-friendly technology applications for smartphones, tablets and computers; and more people having high-deductible health policies are the “most frequently” cited reasons driving the trend.
Excellus also used its announcement to say that it will invest in a public-education campaign that presents telemedicine as an “alternative to potentially preventable” emergency-room visits.
MDLIVE pilot
In the Excellus release, Lockwood cited an adage that you should be skeptical of chefs who don’t taste their own cooking.
“With that in mind, Excellus BlueCross BlueShield ran a pilot program that encouraged our employees to register themselves and family members with MDLIVE. The responses we received for getting this benefit and using it were overwhelmingly positive,” said Lockwood.
Among registered employee users, about 8 percent made use of the telemedicine option.
More than half said they would have gone to an urgent-care center or the emergency room for a minor condition if the telemedicine option hadn’t been available.
Relying on data from the New York State Department of Health labeled “potentially preventable” emergency room visits, Excellus reported earlier this year that 10 common conditions represent more than 2 million annual visits to hospital emergency rooms statewide, and nine out of 10 of those could have been avoided or treated elsewhere.
Of 6.4 million emergency-room visits in 2013, more than 2 million were for common conditions, such as ear or sinus infections and sore throats.
Contact Reinhardt at ereinhardt@cnybj.com
Stay up-to-date on the companies, people and issues that impact businesses in Syracuse, Central New York and beyond.