Outsourcing FMLA leave management doesn’t outsource employer liability

In early 2023, Rodney began taking intermittent leave for two separate reasons under the federal Family and Medical Leave Act (FMLA): to care for his mother and for his own condition. The company approved both of his leaves through the beginning of August.

In July, the employer outsourced its FMLA claim management to a third-party administrator (TPA).

Subsequently, Rodney tried to report his absences as FMLA leave to the TPA but had major difficulties. He called the TPA several times, but the phone line often left him on hold or disconnected the call. In fact, if people were still on hold at 5 p.m., the TPA hung up. Rodney tried to use the TPA’s website and automated service but found those methods ineffective, as well.

Timothy, Rodney’s supervisor, assured him that as long as his FMLA paperwork was completed correctly, he wouldn’t be penalized if the TPA’s system didn’t work properly. Therefore, Rodney texted Timothy to report his absences.

In October, Timothy told Rodney that he had accrued 54 attendance points; that Rodney hadn’t reported absences to the TPA as FMLA leave. In response, Rodney reported any absences he believed were FMLA-related to the TPA for possible approval.

About a week later, Rodney met with a company HR representative to talk about his issues getting FMLA approval for his absences. The representative assured Rodney that she would handle it, telling him not to worry.