What must a manager do to comply with the Consolidated Omnibus Budget Reconciliation Act (COBRA)?

Prepare for the Hospitality Human Resources Management and Supervision Test! Study with multiple choice questions and flashcards. Each question comes with hints and explanations to get you exam ready!

To comply with the Consolidated Omnibus Budget Reconciliation Act (COBRA), the correct action for a manager is to notify employees of their rights. COBRA provides eligible employees and their dependents the right to continue group health coverage under certain circumstances, such as job loss or other qualifying events.

The primary requirement under COBRA is that employers, or the plan administrators, must inform employees of their right to elect continuation coverage after experiencing a qualifying event. This notification must be clear and timely, detailing the process, duration, and costs associated with maintaining coverage.

Fulfilling the obligation to notify employees ensures that they are aware of their rights and options, which is crucial for their health and well-being during transitions such as unemployment or reduced working hours.

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