Firms Give Reservists Generous Benefits

ByABC News
September 24, 2001, 6:38 PM

Sept. 26 -- Times may be tough economically, but many military reservists gearing up for active duty can look forward to some financial relief.

As tens of thousands are called up to serve, many companies are offering them benefits packages that are more generous than federal regulations require. Those on active duty can also look forward to some loan relief from financial institutions and the government.

Some of the financial breaks reservists will receive have been standard practice for years. But observers note that many companies have become more generous in their efforts to ensure their reservist employees' financial well-being while on active duty.

"We saw some of it in the past, but not like this," remarks Maj. Debra Stewart, deputy public affairs director for the National Committee for Employer Support of the Guard and Reserve, an agency that promotes cooperation between military reservists and their civilian employers.

"I believe it's because this was a direct attack on America, and not something that happened abroad," she says.

UPS Delivers Benefits

Federal law requires companies to hold reservists' jobs for them while they are on active duty. But many companies like Pepsi, UPS and technology service company EDS are offering them additional pay and benefits packages while they are serving the country.

UPS, which counts 4,000 to 5,000 of its 300,000 U.S. employees as reservists, will make up the difference between the employees' military service salary and their salary at UPS.

The package delivery firm will also extend its health care and life insurance benefits to its reservist employees while they're on active duty. Under current regulations, reservists and their dependents get military health care for active duty of more than 30 days.

UPS spokeswoman Paula Fulford says allowing reservists to maintain their company health benefits gives them and their families continuity in their health care services and one less thing to worry about while they're on active duty.