When you decided to make Pharmacy your life’s work, you probably didn’t
intend to also make it your life. That’s why, at Kmart, we offer our
Pharmacists regular work schedules, most major holidays off and a work
environment that allows you the chance to be not just a pharmacist, but a
friend to your patients.
You’ll also receive outstanding benefits, a
competitive salary and excellent growth potential.
Working with one of the nation’s largest pharmacy chains, you’ll have the
latest information at your fingertips. Our State-of-the-art computer system,
and KARxE program allows you the time and knowledge to give personalized
patient care-advising on medical conditions, drug interactions, and the
effectiveness of over-the counter medicines. Our personalize intra-company
web page gives you easy access to an electronic version of Drug facts and
comparisons, and MicroMedex along with many other links to helpful sights.
Our pharmacy career track is designated for acceleration. Talented and
motivated individuals can quickly advance from Pharmacist to Pharmacy
Manager to District Manger and on to corporate pharmacy management. We
support pharmacy training and certification programs. The more you know,
the better we can serve our customers.
Kmart has more than 1,100 pharmacy locations throughout the United
States. When you blend our accomplishments with your knowledge, your
career opportunities are limitless.
To see what opportunities await you with Kmart Pharmacy visit our web
sight at Kmart.com and click on Kmart Careers.
Or contact Angela
Escamillas, West Pharmacy Recruitment Manager, at aescamil@kmart.com.
I look forward to speaking to you.
KMART PHARMACIST BENEFITS PROGRAM FOR FIELD MANAGEMENT
The following is a brief summary of associate benefit programs available to eligible field
management associates.
MEDICAL PROGRAM
Eligibility for Full-Time Management Associates (Including Full-Time
Pharmacists):
Full-time management associates and their eligible dependents are eligible to participate in
the Medical Program effective on the date of hire provided they enroll for medical coverage
within forty-five (45) days of their coverage effective date (or date of hire). Full-time
management associates must work an average of 30 hours or more per week in order to be
eligible for benefits. If enrollment for medical coverage is not made within forty-five (45) days
of the date of hire, the associate will be able to enroll during the next Annual Enrollment
unless there is a change in status such as marriage, birth or adoption. Coverage elected
during Annual Enrollment will then be effective on May 1st directly following Annual
Enrollment.
Medical Program options include the Comprehensive Health Care Plan, the Base Health
Care Plan and, where available, HMO options. The Kmart Comprehensive and Base Health
Care Plans include PPO (Preferred Provider Organization) Networks in most areas. Health
Maintenance Organizations (HMO) may be available to associates dependent upon the
associate’s home residence ZIP code and the service area of the HMO.
Benefits in the Medical Program may include office care, hospital care, preventive care,
prescription drugs, maternity care, emergency care, mental health care, substance abuse
coverage, home health care, private duty nursing, skilled nursing care, durable medical
equipment and prosthetics, and other care. Coverage varies in accordance with the plan
chosen. Refer to the enclosed Field Health Care Plans matrix for detailed information.
TOBACCO-FREE DISCOUNT
Associates receive a $15 discount toward their monthly cost of medical coverage if the
associate and covered dependents pledge to remain tobacco free during the coverage
period.
DENTAL ASSISTANCE PLAN
Eligibility for Full-Time Management Associates (Including Full-Time
Pharmacists):
Full-time management associates and their eligible dependents are eligible to participate in
the Dental Assistance Plan effective on the date of hire provided they enroll for dental
coverage within forty-five (45) days of their coverage effective date (or date of hire). If
enrollment for dental coverage is not made within forty-five (45) days of the date of hire, the
associate will be able to enroll during the next Annual Enrollment unless there is a change in
status such as marriage, birth or adoption. Coverage elected during Annual Enrollment will
then be effective on the May 1st after Annual Enrollment. Refer to the enclosed Field Health
Care Plans matrix for detailed information.
VOLUNTARY BENEFITS- KMART VISION PLAN
Eligibility for Full-Time Management Associates (Including Full-Time
Pharmacists):
Full-time management associates and their eligible dependents are eligible to participate in
the Kmart Vision Plan effective on the date of hire provided they enroll for medical coverage
within forty-five (45) days of their coverage effective date (or date of hire). Full-time
management associates must work an average of 30 hours or more per week in order to be
eligible for benefits. If enrollment for vision coverage is not made within forty-five (45) days of
the date of hire, the associate will be able to enroll
KMART PHARMACIST BENEFITS PROGRAM FOR FIELD MANAGEMENT (continued)
page 2
during the next Annual Enrollment unless there is a change in status such as marriage, birth
or adoption. Coverage elected during Annual Enrollment will then be effective on May 1 st
directly following Annual Enrollment.
Benefits in the Kmart Vision Plan may include eye exam with dilation, eyewear frames and
lenses, conventional and disposable contact lenses, and LASIK and PRK vision correction
procedures. Coverage varies in accordance with the associate’s selection of network and
out-of-network providers. Before enrolling, contact a Customer Service Representative at
EyeMed, (the plan administrator for the Kmart Vision Plan), at 1-866-939-3633 for more
information on coverage, costs, and selection of providers.
RETIREMENT SAVINGS PLAN
Associates are eligible to enroll in the Retirement Savings Plan after completing 1000 Hours
of Service within a twelve (12) consecutive month period beginning with the associate’s date
of hire. Eligible associates may elect to participate by electing to contribute from 1% to 25%
of earnings on a before-tax basis, an after-tax basis, or a combination of both. For each
dollar an associate contributes up to 6% of earnings, the Company contributes an additional
50 cents. The Company match will now be invested in the Conservative Portfolio until you
make a new election. Matching contributions are 100% vested after two (2) years of service.
Effective January 22, 2002, the Company match contributions will continue to be credited
after each pay period however you must be continuously employed by Kmart through the
end of the current calendar year to earn the Company match contributions credited for that
year. Restrictions may be imposed on certain associates who IRS rules define as Highly
Compensated Employees.
The plan documents supercede any discrepancies between this statement and the plan
document and its current provisions.
PAID VACATION
Associates are eligible for paid vacation upon the completion of one (1) full year of service.
Vacation is scheduled within the context of a fiscal year, beginning February 1 st and ending
January 31st of the following year. Paid vacations are earned according to an associate’s
length of Company employment.
YEARS OF SERVICE
1 year, but less than 5 years
5 years, but less than 14 years
15 years, but less than 24 years
25 years and over
TOTAL FISCAL VACATION
2 weeks
3 weeks
4 weeks
5 weeks
PAID HOLIDAYS
The following days are recognized as Company-paid holidays:
New Year’s Day
Memorial Day
Independence Day
Labor Day
Thanksgiving
Christmas Day
Birthday
KMART PHARMACIST BENEFITS PROGRAM FOR FIELD MANAGEMENT (continued)
page 3
DEPENDENT CARE ASSISTANCE PLAN (DCAP)
DCAP assists participating associates in saving money on certain non-medical expenses
associated with the care of the associate’s children or other dependents, by allowing
associates to pay for eligible dependent care expenses with before-tax dollars.
Eligibility for Full-Time Management Associates (Including Full-Time
Pharmacists):
Management associates may participate in DCAP effective on their date of hire provided
they enroll within 45 days of their coverage effective date (or date of hire).
HEALTH CARE ASSISTANCE PLAN (HCAP)
HCAP allows participating associates to set aside before-tax dollars to help pay for eligible
health care expenses not covered by another benefit plan such as eyeglasses, healthcare
insurance deductibles and coinsurance.
Eligibility for Full-Time Management Associates (Including Full-Time
Pharmacists):
Full-time management associates may participate in HCAP effective on their date of hire
provided they enroll within 45 days of their coverage effective date (or date of hire).
GROUP LIFE INSURANCE PLAN
Eligibility for Full-Time Management Associates (Including Full-Time
Pharmacists):
Full-time management associates are eligible to participate in the Group Life Insurance
Plan effective on their date of hire provided they enroll within 45 days of their coverage
effective date (or date of hire).
The Group Life Insurance Plan consists of the following types of coverage:
(1)
Basic Life and Accidental Death and Dismemberment (AD&D) Insurance
The amount of coverage available on the effective date will be equal to the
associate’s annualized rate of pay rounded up to the next highest thousand. In the
event of accidental death, the same amount of AD&D coverage will be payable. The
Company pays the entire cost of this insurance.
(2)
Optional Life and AD&D Insurance
This coverage is in addition to Basic coverage. Enrollment is optional and requires
premium payments made through payroll deductions. Optional Life Insurance may be
purchased in amounts equal to one to eight times the Basic Life Insurance amount.
Enrollment may require evidence of insurability for coverage exceeding specified
amounts. Coverage begins on the first day of the month after your enrollment form is
processed. To enroll at a later date, evidence of insurability satisfactory to the
insurance company must be furnished before application can be accepted.
Highly compensated associates (as determined by the IRS) may have alternative life
insurance coverage available. (See Executive Life Insurance Program.)
EXECUTIVE LIFE INSURANCE PROGRAM
Highly compensated associates (as defined by the Internal Revenue Service), are eligible to
participate in the Kmart Executive Life Insurance Plan. This Group Universal Life coverage
includes basic coverage equal to one times the associate’s high earn base (paid for by
Kmart) and the ability to purchase optional coverage of up to eight times the high earn base
up to a combined (basic plus optional) maximum of $10,000,000. Enrollment for optional
coverage may require evidence of insurability for coverage exceeding specified amounts.
Optional coverage begins on the first day of the month after your enrollment form is
processed. The opportunity to contribute on an after-tax basis to a Cash Fund that
accumulates interest on a tax-deferred basis is also available.
KMART PHARMACIST BENEFITS PROGRAM FOR FIELD MANAGEMENT (continued)
page 4
SPOUSE AND CHILD(REN) LIFE INSURANCE
Full-time management associates can purchase life insurance coverage for their spouse
and/or children. Associates pay the full cost of the elected coverage. Coverage begins
on the first day of the month after your enrollment form is processed. Management
associates are eligible to participate in the Spouse and Child(ren) Life Insurance Plan,
provided they enroll within 45 days of their coverage effective date (or date of hire).
For spousal coverage, associates can choose coverage in $10,000 increments up to
$100,000 (subject to a maximum of associate coverage and underwriting, if applicable).
For child coverage, associates can choose coverage in $5,000 increments up to $25,000
(subject to a maximum of associate coverage and underwriting, if applicable).
DISABILITY PAY POLICY FOR MANAGEMENT ASSOCIATES
Full-time management associates qualify for salary continuation benefits in the event of a
disability lasting up to 180 days, depending on length of service with the Company. All
payments are subject to the approval of and management by the Company’s Disability
Claims Administrator. Benefits are provided by the Company at no cost to the associate. For
associates with one year or less of service, you’ll receive 70% of your pay up to 180 days.
For associates with more than one year of service, you’ll receive 100% of your pay for the
first 42 days of your disability and 70% of your pay for the remainder of your disability up to
180 days.
LONG TERM DISABILITY INCOME PLAN
The Long Term Disability Income Plan (LTD) provides income payments in the event of a
disabling illness or injury that lasts longer than 180 continuous days. Management
associates are automatically enrolled in the Long Term Disability Income Plan effective on
their date of hire. Associates who do not want to participate in the Plan will need to drop
coverage with the Kmart Benefits Service Center. If an associate drops coverage, the
associate may enroll at a later date but will be required to provide evidence of insurability
satisfactory to the insurance company at the associate’s expense.
The Plan provides a monthly benefit equal to 50% of the associate’s earnings and begins
after 180 continuous days of disability. The “coordinated” benefit plus other income cannot
exceed 50% of the associate’s pre- disability earnings. The minimum monthly benefit is
$100, and the maximum monthly benefit is $10,000. The entire cost is paid by the associate
in the form of after-tax deductions.
TRAVEL ACCIDENT INSURANCE POLICY
All associates are automatically insured for two (2) times their annual earnings ($50,000
minimum; $500,000 maximum) in the event of accidental death while traveling on Company
business. The Company pays the entire cost of this insurance. The amount of actual
coverage is subject to policy maximums.
BEFORE-TAX CONTRIBUTIONS FOR MEDICAL, DENTAL AND GROUP LIFE
INSURANCE PLANS
When enrolling in the Kmart Medical Program, Dental Assistance Plan, and/or Optional
Group Life Insurance Plan, associate contributions are made through automatic payroll
deductions on a before-tax basis unless the associate elects to make contributions with aftertax dollars. Contributing on a before-tax basis means that contributions are deducted from
the associate’s paycheck before income and Social Security taxes are calculated and
withheld. As a result, the amount of the associate’s earnings on which they pay taxes will
be lower.
ASSOCIATE DISCOUNT PROGRAM
All Kmart associates receive a 10% discount on the purchase of a wide selection of regularly
priced and non-advertised clearance items at all Kmart stores.
KMART PHARMACIST BENEFITS PROGRAM FOR FIELD MANAGEMENT (continued)
page 5
ADOPTION ASSISTANCE PLAN
Associates are eligible to participate in the Adoption Assistance Plan after completing twelve
(12) continuous calendar months of active full-time employment. The Company will
reimburse 80% of eligible adoption related expenses, such as legal and agency fees, up to
$3,000 for a single-child adoption and $4,000 for a sibling-group adoption. The adopted
child may not be related to the associate either biologically or through previous adoption.
NATIONAL CHILD CARE DISCOUNT PROGRAM
This program is available to all full-time and part-time associates and provides a discount of
up to 10% on childcare at Children’s Discovery Centers, Children’s World Learning Centers,
ChildTime Child Care, KinderCare, and La Petite Academy.
EMPLOYEE ASSISTANCE PROGRAM (EAP)
The Employee Assistance Program is available for associates and their eligible dependents
upon completion of their eligibility period for the medical program. The EAP is designed to
help associates and their eligible dependents address emotional problems, physical illness,
alcoholism, drug abuse, family difficulties, financial issues and other pressures. The
Company provides the short-term counseling services of the EAP provider at no cost to the
associate.
JURY DUTY
All associates who are called for jury duty will be paid the difference between the amount
regularly earned and the amount paid as a juror.
FULL-TIME MANAGEMENT ASSOCIATES (INCLUDING FULL-TIME
PHARMACISTS) BENEFITS SCHEDULE:
Plan
Medical Program
Dental Assistance Plan
Kmart Vision Plan
Disability Pay Policy
Long Term Disability Income Plan
Group Life Insurance Plan
401K
Dependent Care Assistance Plan
Health Care Assistance Plan
Employee Assistance Program
Employee Discount Plan
Eligibility Date
(Participation or enrollment is required for some plans)
Immediate eligibility
Immediate eligibility
Immediate eligibility
Immediate eligibility
Immediate eligibility
Immediate eligibility
1000 Hours
Immediate eligibility
Immediate eligibility
Immediate eligibility
Immediate eligibility
KMART PHARMACIST BENEFITS PROGRAM FOR FIELD MANAGEMENT (continued)
page 6
ADDITIONAL PHARMACIST BENEFITS
The following benefits are for pharmacists:

Continuing Education: The Company provides continuing education
credits for relicensure through The Pharmacist’s Letter and through
regular satellite video broadcasts directly to each store.

Educational Leave of Absence: A Leave of Absence may be granted to
full time pharmacists, graduate interns and student interns to pursue
further education in an accredited school of pharmacy.

Pay in Lieu of Vacation Time Taken: Pharmacist must use one week of
vacation time, then they must choose to be paid in lieu of any remaining
vacation time.

Preceptor Pay: The Company will pay Pharmacists $500 for each
approved preceptor/student experience with an accredited school of
pharmacy.

Referral Hiring Policy: If a Kmart pharmacist recommends another
pharmacist to be hired by Kmart, then Kmart will pay the referring
pharmacist a hiring incentive of $3,000.

RxTra: Pharmacist can earn an extra amount per week by working in
(based in) a high volume pharmacy or in a location that has been
identified as “difficult to fine pharmacists”. Note: It is possible to obtain
two premiums if the store is identified as high volume and difficult to staff.

Casual Dress: Kmart provides a white smock to all pharmacists to wear
while filling prescriptions. If the associate desires they can purchase a
casual pharmacy shirt to wear instead of the white smock.
FINAL NOTE
This document is intended to be a brief outline of Company benefits provided to Field
Management associates. Program provisions are subject to change. If there is any
difference between this document and the actual plan or program provisions, then actual
plan provisions shall govern.
Rxtra Pharmacy Compensation Program
Rxtra is a compensation program for Kmart Pharmacists designed as an incentive for practicing
pharmacy in two key areas. First, Rxtra provides additional compensation for those pharmacists
practicing in pharmacy departments which are difficult to staff. Additionally, Rxtra provides an
incentive for pharmacists who practice in pharmacy departments which fill a higher volume of
prescriptions on a regular basis. Of course, as volume increases, support staff is increased
accordingly, to ensure adequate staffing to provide the best possible patient and customer care.
How Rxtra works:
Component 1- Customer Service and Sales
If your store averages this many prescriptions
A week during one quarter:
1295 to 1750
1751 to 2100
2101 or more
You’ll get this much extra every week
during the following quarter
$ 50
$100
$150
Component 2- Staffing Difficulty
If you work at a store with a staffing
Grade of:
A (normal staffing)
B (more difficult)
C (most difficult)
You’ll get this much extra in your pay
every week
$ 0
$ 50
$ 75
Both the Customer Service and Sales component and the Staffing Difficulty component will be
reviewed quarterly and are subject to change. Payments will be made for the current quarter,
based on the data collected for the previous quarter.
Eligibility:
All Pharmacy Managers and staff pharmacists, full time for benefits, are eligible for Rxtra.
Floating pharmacists and shared pharmacists are not eligible at this time.
Kmart reserves the right to change, interpret, or end the Rxtra program at any time. Nothing in
the Rxtra program guarantees employment with Kmart Corporation.
Kmart Pharmacy Facts

Pharmacy is located in a mass merchandise environment

Lower volume and more laid back atmosphere than free standing pharmacies

Less stress – as many departments contribute to the financial bottom line of
the operation – not totally dependent upon the pharmacy like free standing
facilities

Strong customer service expectation – bonuses and performance evaluations
have strong customer service criteria. Kmart expects pharmacists to give
customer service and counseling priority.

Tech help allotted provides pharmacists success with customer service and
counseling expectations. (five minutes of tech help allocated for each
prescription filled)

Kmart is supportive of pharmacy as a profession and encourages professional
growth as well as providing opportunity for continued education through an
internal broadcast system, CBT, and external opportunities as approved

Assist pharmacists to develop areas of interest to keep them challenged and
motivated: student mentoring, disease state management, community
programs, management fast track etc.

Salaries are market rate competitive. Internal equity is a BIG priority. If the
salary range requires an adjustment due to market changes, then all
pharmacists in the market are adjusted accordingly

Salaries and benefits are reviewed yearly and/or more often as necessary
dependent upon the demands of the market

Performance evaluations are carried out yearly and tied to yearly increases

All management staff within the pharmacy division of Kmart are licensed
pharmacists from the corporate office down to the divisional and district levels.
A pharmacist will never report to someone who is NOT a licensed pharmacist

District managers and floaters are hands on. They spend a lot of time in the
pharmacies and work to develop strong teams

Excellent advancement potential from staff pharmacist, to pharmacy manager,
to floater to district manager and etc. (not necessarily in that order) dependent
upon performance, potential, motivation, etc

Kmart attempts to promote from within when at all possible

Closed holidays (New Years, Memorial Day, July 4th, Labor Day, Thanksgiving,
Christmas, +one additional (listed as birthday)

User friendly computer system – PDX

Schedule is determined among the pharmacists assigned to the store

Most pharmacies operate 78 hours (9-9 M/F, 9-7S, 10-6S), which translates to a
schedule of 2 days on 2 days off and a three day weekend (on or off depending
upon rotation). The schedule is negotiable depending upon the needs of both
pharmacists.
Kmart Pharmacy Facts

Vacation and relief coverage is handled by the floater

Kmart attempts to work with candidates to match current vacation, salary, and
other benefits when negotiating employment offers

The expectation is that the pharmacy staff operates as a team. The pharmacist
on duty is the person in charge at that time. The pharmacy manager oversees
the overall operation of the pharmacy and he/she receives a $20/week premium
for that responsibility.

Pharmacists work a 40 hour work week.
Anything over 40 hours is
compensated at a premium of $10/hour over and above the pharmacists base
rate

Kmart floater is a “working management’ position. He/she is the hands on
person in a subset of pharmacies within a district that assists the DM in
managing daily operations, problem solving, staff development, training,
staffing, program development and special projects.
He/she arranges
coverage for vacations and leaves and IS that coverage in many cases. This
position is a promotion from the pharmacy manager position and the next step
to the DM position in many cases

Rxtra program allows for additional bonus to be paid out weekly depending
upon store volume and staffing difficulty