5.10 Military Leave

NKY Health's Guide to Personnel Policies
  • Replaces: Supersedes all previous Personnel Policies on the same topic
  • Reviewed: Annually
  • Section Revised:  2/1/2014, 8/1/2022
  • Contact: Human Resources Administrator

Military leave will be granted under the provisions and conditions specified in law. The applicable federal law governing military leave is the Uniformed Services Employment and Reemployment Rights Act, 38 USC § 4301 et seq., and the applicable Kentucky statute governing military leave is KRS § 61.394. 

5.10.1 Eligibility for Military Leave 

An active member of the U.S. Army Reserve, the U.S. Naval Reserve, the U.S. Air Force Reserve, the U.S. Marine Corps Reserve, the U.S. Coast Guard Reserve, the U.S. Public Health Service Reserve or the Kentucky National Guard required to serve under order for training, duty or a fitness examination shall be without loss of time, pay, regular leave, impairment of efficiency rating or any other rights to which she/he is entitled, when her/his military orders require her/his absence from work (20 CFR 1002.54 and KRS § 61.394.)

5.10.2 Notice Required for Military Leave 

An employee seeking military leave (or an appropriate officer of the uniformed service in which such service is performed) must give as much advance notice as is practicable, either written or verbal, to the employee’s immediate supervisor, a higher authority in the chain-of-command or to the head of Human Resources or her/his designee.

5.10.3 Pay for Military Leave 

While on military leave during normally scheduled work hours and days, a full-time employee will receive up to twenty-one (21) days of paid leave per federal fiscal year (October 1 – September 30) for days she/he would be scheduled to work if not on military leave (KRS § 61.394) and is not permitted to take other time off in lieu of this. This is prorated for a part-time employee.

The number of hours paid per each day of military leave will be based on the number of hours in the employee’s workweek divided by the number of business days in the workweek.

Any additional military leave time beyond twenty-one (21) days will be treated as approved leave without pay (see section 5.13), unless additional paid military leave has been accrued pursuant to section 5.10.4 of these policies. Upon written request, an employee can use accumulated annual leave concurrently with approved leave without pay on the first pay period(s) after the paid military leave days is exhausted.

5.10.4 Unused Military Leave 

Any unused military leave in a federal fiscal year will be carried over to the next year and will expire two (2) years after it has accrued (KRS § 61.394.)

5.10.5 Proof Required for Military Leave 

The employee must present a copy of the military orders to her/his immediate supervisor upon receipt unless she/he is unable to do so because of military necessity (902 KAR 8:120(12).)

A copy of the orders will be filed in the employee’s personnel file for as long as the personnel file is retained.

5.10.6 Return from Military Leave 

An employee returning from military leave will be promptly re-employed in either the position she/he would have held had she/he remained continuously employed or a position with like status provided all of the following are true (38 USC § 4316(a)):

The employee will be treated as though she/he were continuously employed for purposes of determining benefits based on length of service (KRS § 61.394.)

The employee returning from military leave may not be terminated except with cause for a period of one (1) year after her/his restoration from military leave (38 USC § 4316(c)) unless the employment arrangement was for a brief, non-recurrent period.

The employee may enforce her/his reemployment rights according to 38 USC § 4322.

5.10.6.1 Deadline for Returning to Work 

The deadline for returning to work depends on the length of the employee’s absence for military service as follows:

1 The application for reemployment need not follow any particular format, and may be either oral or in writing. The application must indicate that the employee is an employee returning from service in the uniformed services and that she/he seeks reemployment (20 CFR 1002.118.) 

Failure to report or apply within the required deadline is treated as a compulsory resignation (20 CFR 1002.117 and 38 USC § 4312(e)(3)) (see section 8.1.2.)

5.10.6.2 Reasons for Allowable Extension of Deadline to Return to Work 

The reporting or application deadlines are extended for up to two (2) years for an employee who is hospitalized or convalescing because of an injury or illness incurred or aggravated during the performance of or arising from military service.

The two (2) year period will be extended by the minimum time required to accommodate a circumstance beyond an employee’s control that would make reporting within the two (2) year period impossible or unreasonable (38 USC § 4312(e)(2)(A)-(B).)

5.10.6.3  Documentation Required Upon Return to Work 

Upon return from military leave lasting thirty-one (31) days or longer, an employee must present documentation that she/he has not exceeded the five-year service limitation and that her/his separation from service was other than disqualifying under 38 USC § 4304.

Documents that establish eligibility for reemployment include the following:

The types of documents necessary to establish eligibility for reemployment will vary from case to case, as not all of these documents are necessary or available in every instance (20 CFR 1002.123).

An employee who does not provide satisfactory documentation because it is not readily available or does not exist will still be eligible for reemployment. However, if, after reemploying her/him, documentation becomes available that shows one or more of the reemployment requirements were not met, NKY Health will have sufficient cause to terminate her/him and to rescind any rights or benefits that may have been granted after reemployment (20 CFR 1002.122.)

5.10.7 Benefits and Military Leave 

An employee on military leave may stop and/or start her/his benefits, including insurance coverage, subject to the terms, conditions and limitations of the respective plan(s) in which she/he is enrolled (38 USC § 4317). The employee will continue to participate in NKY Health’s retirement plan the same as an active employee (see section 4.2.1.)

For the purposes of benefit administration, unless otherwise specified by an applicable plan document, the first business day after the last day worked before beginning military leave will be considered the effective date of the military leave.

5.10.7.1 Employee Premiums While on Military Leave 

While on military leave, an employee must continue to pay the employee portion of any insurance premiums and benefit withholdings the same as if she/he were an active employee.

When sufficient paid leave is used, premiums and withholdings will be deducted as usual.

When an insufficient balance of paid leave exists, the employee must remit payment for any premiums and withholdings to NKY Health by the first of each month of unpaid leave. If the employee fails to make the required payment(s), NKY Health will make them on the employee’s behalf as a loan and deduct the payments from the first paycheck(s) following the employee’s return to work. If the employee fails to return to work at the end of military leave, NKY Health may take action to recover the loan amount.

5.10.7.2 Payment of Employer Premiums While on Military Leave 

NKY Health will continue to pay the employer portion of insurance premiums and benefit payments for an employee while she/he is on military leave.

NKY Health will continue to pay the employer portion of insurance premiums and benefit payments according to plan rules for an employee while they are on military leave. This includes reporting to the Kentucky Public Pension Authority (KPPA) for up to six (6) years.

5.10.7.3 Failure To Return To Work Following Military Leave 

An employee’s failure to return to work following the conclusion of military leave will be considered a compulsory resignation (see section 8.1.2) effective the date the military leave ended.

An employee who fails to return to work for at least thirty (30) calendar days after an unpaid military leave not due to circumstances beyond her/his control, must repay NKY Health for the amount of the employer-portion of premiums (see section 5.10.7.2) paid during the leave.

NKY Health may deduct the monies from the employee’s final pay and/or take legal action against the employee to recover such monies. Documentation substantiating the circumstances will be required.