Page 68 - Employee Handbook 1-2015 rev9

After fifteen (15) years of full-time employment, individuals employed by the City on or
before July 1, 2010 earn the right to participate in the retiree health insurance benefit upon
retirement from the City or at the age of 62, if the vested employee leaves the City prior to
retirement. Full-time employees who retire on a disability retirement shall earn the right to
participate in the retired health insurance benefit upon the date of disability retirement. Full-time
employees employed by the City prior to September 16, 1991 shall continue to earn the right to
participate in the retiree health insurance benefit upon retirement from the City with at least five
(5) years of service. Employees who are terminated for cause will forfeit the right to participate
in retiree health insurance benefits.

The families of full-time employees who die during employment and who have been
employed by the City for five or more years may participate in the retiree health insurance
program with reimbursement of the City's cost on a monthly basis. The families of full-time
employees who die as a result of a job related injury shall be eligible for this benefit at the date
of the employee's death with reimbursement of the City's cost on a monthly basis.

Retiree Life Insurance Benefit

City employees, after fifteen (15) years of full-time employment, earn the right to
participate in the life insurance benefit. The City will pay to the decedent's estate or beneficiary
of record the life insurance benefit in the amount of $2,000 within a reasonable time after
notification of the death of a vested employee or vested retired employee. Full-time employees
who retire on a disability retirement shall earn the right to participate in the life insurance benefit
upon the date of disability retirement. Employees participate in the life insurance benefit upon
the date of disability retirement. Employees who are terminated for cause will forfeit the right to
participate in the life insurance benefit.

Prior Service Time From Previous Employer

For the sole purpose of determining eligibility and calculating the fifteen (15) years of
full-time employment required by the provisions relating to retiree health insurance and life
insurance only, the City will count one-half of full-time service, as determined by the City
Manager, when the eligible employee has come or the applicant comes directly from a previous
employer that participated at that time in either the North Carolina Local Government Employee
Retirement System including Law Enforcement Officers, Legislative, Judicial, Teachers' or State
Employees' Retirement System not to exceed seven (7) years. Under no circumstances will the
City allow the calculation of fifteen (15) years of full-time employment to include more than
seven (7) years of prior service time. The provisions herein relating to prior service time apply
to prospective and current employees and apply to retiree health and life insurance benefits only.

Notification Requirement

City of Winston-Salem Employee Handbook November 2014 Revision 59