Can an employer pay or provide life insurance policies and retirement funds for some employees but not for others?

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Can an employer pay or provide life insurance policies and retirement funds for some employees but not for others?

Asked on August 4, 2011 California

Answers:

M.T.G., Member, New York Bar / FreeAdvice Contributing Attorney

Answered 10 years ago | Contributor

Well, yes and no.  It really depends and it may not be illegal per se.  Employers can provide benefits to certain classes of employees and not to other classes of employees.  As an example, it is fine for an employer to establish that insurance insurance can only be provided to full-time employees but will not be provided to part-time employees. But once the classes of employees are established by the employer and once an employee becomes eligible for the benefits, the employer can not withhold the benefits from some members of the class while offering it to others.  So check with either an employment lawyer or HR or the department of labor.  Good luck to you on the matter. 


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