From: lazarus@wixer.cactus.org (Michael Lax)
Newsgroups: soc.motss
Subject: IBM's Response to G/L Request for Equal Benefits
Date: 30 Aug 92 00:04:13 GMT
Article-I.D.: wixer.1992Aug30.000413.9063
Organization: Real/Time Communications


                   ******* DISCLAIMER *******
The following letter, which comes from IBM, was not addressed to
me (Michael Lax).  I AM NOT AN IBM EMPLOYEE.  The intended
recipient of this letter, who's anonymity I respect, can take no
responsibility for my actions in publishing this letter on an
electronic forum.

                   **************************

                      **** BACKGROUND *****

The following letter is IBM's response to several groups of gay
and lesbian employees requesting health coverage of domestic
partners by pointing out that gay and lesbian couples denied this
benefit are essentially paid less than their heterosexual
counterparts. The letter the employees sent gave evidence why IBM
should change its policy, and included several articles on the
subject, as well as Lotus' statement on their health plan which
includes gay and lesbian domestic partners.


---------- Beginning of Letter -------------------------------

IBM
2000 Purchase St.
Purchase, NY  10577-2597
914/697-6000


Dear ____________________:

I am responding to your recent letter to the Plan Administrator
regarding IBM benefits for domestic and dependent partners.

As you may know, IBM frequently reviews its benefit plans in
light of the changing needs of employees and the changing
conditions of the business.  We often receive requests to have
the benefit plans extended to a variety of people important to
our employees -- parents, grandparents, siblings, non-spouse
domestic partners (both heterosexual and homosexual), etc. 
Regarding domestic partners, the IBM medical and dental plans
currently cover, as a beneficiary of an IBM employee, only one
who is the employee's "spouse" as determined by the law of the
state in which the employee resides.  We decided not to change
this criterion, for various reasons:

* Because of the high costs of health care today, and the fact
that IBM employees do not contribute to the coverage they and
their eligible dependents have under the IBM plans, it would be
very expensive for IBM to expand coverage to include non-spouse
partners.  We realize, of course, that a change in state law to
recognize homosexual unions as marriages could increase the
population qualifying as "spouses".

* The tax laws do not provide tax advantages for medical coverage
of non-spouse domestic partners as they do for medical coverage
of spouses.  For example, employees would have to pay income tax
for medical plan coverage of a "domestic and dependent partner",
whereas the benefits for a spouse are not considered taxable
income.  And, there would be a tax impact on IBM's funding of the
plans.

Unmarried employees are free, however, to recognize important
relationships by naming the persons of their choice as their
beneficiaries under the Personal Retirement Provision and the
Joint and Survivor Annuity Option of the IBM Retirement Plan. 
The Tax Deferred Savings Plan offers this option as well. 
Married employees may do the same, subject to certain rights of
their spouses.  There is also free choice of beneficiary under
the IBM Travel Accident Insurance and Group Life Insurance Plans.

We appreciate the time you have taken to share your opinion. 
This issue will continue to be reviewed from time to time, but
for now we believe the present medical and dental eligibility
provisions are the most appropriate.

Sincerely,

T.L. Richards, Manager of Benefits, US Operations
Workforce Solutions

------------- End of Letter --------------------------------------------

=========================================================================

"For I can see that in the midst of death, Life persists; in the
midst of untruth, Truth persists; in the midst of darkness, Light
persists."

"An eye for an eye will blind the world."
                                      Mohandas Karamchand Gandhi

"I'm here, I'm queer, get used to it."
                                                             ME!

lazarus@wixer.cactus.org
Michael Lax
512.836.9715 (fax)
Newsgroups: soc.motss,soc.culture.asian.american