ENG HW2-2 MEMO

Dunder Mifflin, Inc. 1725 Slough Avenue, Scranton, PA 18540

TO: All Dunder Mifflin Employees

FROM: Carrie Steingruby, Assistant to the Regional Manager

DATE: October 4, 2021

SUBJECT: Upcoming changes to health insurance policy

Dear Team,

As employees at Dunder Mifflin, we have had the fortune of working for a company that prioritizes our

health, happiness, and security. Having access to employee benefits, such as health insurance, is just one

of the things that has made working at Dunder Mifflin so great.

For the past several years, Dunder Mifflin has provided full coverage of employees’ healthcare costs,

aside from a small copay after receiving medical care. However, due to a dramatic increase in healthcare

expenses, Dunder Mifflin will soon be asking that employees each pay a portion of their annual health

insurance costs.

As of January 1, 2022, Dunder Mifflin will be making the following changes to employee medical-

benefits plans:

• Employees who are of single status will pay $2,000 per year.

• Employees who are married or in a partnership will pay $3,000 per year.

• Employees who are in a family of three or more will pay $4,000 per year.

• All employees’ copay costs will increase from $10 to $15.

Although corporate hates to inflict any sort of financial burden on employees, in the last three years, the

cost of healthcare per person has risen by $4,000. Dunder Mifflin has gone from paying $8,500 per

employee plan to $12,500 per employee plan, creating a total cost increase of $1.2 million.

Despite these numbers, corporate will continue to cover 85% of healthcare costs, as well as any future

cost increases, so employees are not expected to pay everything on their own.

That said, our leadership team understands that this information may come as a shock to many of you and

therefore wants to provide their support the best they can. Our branch in Scranton, PA will be having a

meeting on Monday, October 25th at 10:00 a.m. to discuss these changes and address any concerns that

you may have. In the meantime, if you have any questions about how these changes will affect you

specifically, feel free to reach out to Toby Flenderson in the HR department; he is happy to provide more

details on the matter.

I appreciate you all, and I feel grateful to be a part of such a wonderful team. I am hopeful that through

our determination, hard work, and support for one another, we will navigate these difficult times together.

With kind regards,

Carrie Steingruby

Assistant to the Regional Manager