Paid Time Off Plan

- Participants in the PTO plan are employees in benefits eligible roles and have been with Tenet for at least 30 days.
- PTO is an hours-based account
- PTO accrual starts on the first day of the pay period where the 31st day of employment lands 
- PTO hours account balance cannot exceed 150% of the employee’s annual accrual
- Accruals pause when PTO limit is reached
- Accruals restart when PTO balance goes below the cap
- PTO is not paid if absence is a result from corrective action
- PTO can be used to supplement Workers’ Compensation, Supplemental Social Security Disability Income (SDI) or state mandated disability plans
  - Total value of the hours used cannot exceed employee’s regularly scheduled income
- PTO cannot be used to supplement disability payments (Tenet’s Income Replacement Plans)
- Paid holidays are scheduled and approved by Executive Leadership

- Eligibility Status
  - Accruals cease when an employee changes to a non-eligible status
    - 100% of employee’s PTO hours are paid out within two pay periods at base rate when status changes
  - Accruals restart when an employee returns to or become eligible status
    - Accrual begins on the first day of the pay period when they become eligible at base rate of hire date
- Leave of Absence 
  - Accruals cease when an employee goes on Leave of Absence (paid or unpaid) 
- Employee Transfers
  - Accruals are based on the facility’s accrual schedule that the employee is transferring to

- Employees are not scheduled for work when departments are closed on observed holidays
- Employees are paid through holiday pay on observed holidays
- Employees scheduled on observed holidays can request PTO 
  - Non-Exempt employees without available PTO balance are not paid for the holiday 
  - Exempt employees are paid regular time for holidays in their first 30 days of employment, after 30 days hours for scheduled holidays are charged to their PTO accounts 

- Employee is admitted to a hospital or undergoing an outpatient procedure (hours can be used immediately)
- Employee is ill or disabled and missed work for seven consecutive days
- Employee is returning on a reduced work schedule and needs to make up missed hours after missing work for seven days due to illness or disability
- Extended Illness cannot be used to supplement disability payments (Tenet’s Income Replacement Plans
- Extended Illness is not vested and cannot be sold
- Hour are paid at the employee’s current hourly base rate

- Employee’s PTO maximum is recalculated 
  - If recalculation results in 125% PTO accrual:
    - PTO account is loaded up to 125% of the annual accrual
    - Second PTO account is created (“Pre-PTO” account) for remaining balance
    - Hours from the Pre-PTO account can be used for time off, sale or emergency medical donation
    - Hours from the Pre-PTO account is paid out in full upon termination.

- Yes. Employees may sell their PTO hours at their current base rate
- Request is submitted to payroll on an Absence Approval Form and doesn’t require supervisor approval
- PTO bank is deducted for the amount of requested hours
- Employee receives 100% of the requested amount less payroll tax withholding 
- Generally, PTO accruals cease for three pay periods if an employee requests to sell PTO hours

- Yes. Donations for medical emergencies can be made to an employee who does not have available or enough PTO hours for an extended illness or medical emergency
- Employee donating the hours completes a PTO Donation Form
- Donated hours are transferred to the recipient’s PTO account
- Transferred donation value is calculated by multiplying the donor’s hours with their base rate and then converted into PTO hours based on the recipient’s base rate
- PTO hours taken by the recipient tare taxable at the time of payment

- Up to six months of accumulated PTO may be used for the care of a child, parent or spouse
- PTO may be used for missing scheduled work up to four hours
- Extended Illness hours may be used for missing work due to care of a child, parent or spouse

- Individuals separating from Tenet receive a lump sum payout of the accrued PTO account balance based on the current base hourly rate less withholding of payroll taxes 
- Individuals receiving severance pay gets a lump sum payout of the accrued PTO balance at the start of the severance pay period and PTO accruals will cease