120 likes | 426 Views
Merger Integration I. Human Resources. Post-merger integration. Project plan Evolving document Updated over time Manage resources Time usually most valuable resource in integration HR Plan Excel worksheet. Post-merger integration. HR due diligence
E N D
Merger Integration I Human Resources
Post-merger integration • Project plan • Evolving document • Updated over time • Manage resources • Time usually most valuable resource in integration • HR Plan Excel worksheet
Post-merger integration • HR due diligence • Benefits, compensation, employment regs/3rd party claims, labor relations, policies/procedures, safey • Understand the seller • Easier to compare benefits • Legal review: IRS, top heavy tests
Post-merger integration • Step 1: Compare benefits • Side-by-side comparison • If seller gets better benefit package, emphasize this in the communications
Post-merger integration • Step 2: After comparison, then establish strategies for integration of compensation and benefits • Tough decisions • Easier to do after the data collection/comparisons
Post-merger integration • Plan • Balance strategy and good employee relations/morale • Beware of inequities in pay scales • Employee letters • Setting forth expectations • Opportunity for one-to-one meetings
Post-merger integration • Medical coverage • Concerns: • Will I have coverage with new employer? • Will it be uninterrupted? • Cost difference? • Similar/better/worse?
Post-merger integration • Coverage? • If it is eliminated, expect huge problems • Possibility of turnover • Hot button issue
Post-merger integration • Difference in amount? • Employees will notice difference in paycheck • Coverage • Deductibles, plan types, co-pays, domestic partners
Post-merger integration • Age of employee population • If older, could have higher medical liabilities • Difficult to cut existing medical obligations, but has been done • Will likely require litigation and bad PR
Post-merger integration • Dental coverage • Not a huge issue • Interruption not a big issue • Same goes for life insurance • As well as disability insurance TO SEE REMAINING 25 PAGES PURCHASE DOCUMENT FROM DOWNLOAD PAGE ($95)