Laws: Cases and Codes : U.S. Code : Title 38 : Section 4318


   
U.S. Code as of: 01/19/04
Section 4318. Employee pension benefit plans

      (a)(1)(A) Except as provided in subparagraph (B), in the case of
    a right provided pursuant to an employee pension benefit plan
    (including those described in sections 3(2) and 3(33) of the
    Employee Retirement Income Security Act of 1974) or a right
    provided under any Federal or State law governing pension benefits
    for governmental employees, the right to pension benefits of a
    person reemployed under this chapter shall be determined under this
    section.
      (B) In the case of benefits under the Thrift Savings Plan, the
    rights of a person reemployed under this chapter shall be those
    rights provided in section 8432b of title 5. The first sentence of
    this subparagraph shall not be construed to affect any other right
    or benefit under this chapter.
      (2)(A) A person reemployed under this chapter shall be treated as
    not having incurred a break in service with the employer or
    employers maintaining the plan by reason of such person's period or
    periods of service in the uniformed services.
      (B) Each period served by a person in the uniformed services
    shall, upon reemployment under this chapter, be deemed to
    constitute service with the employer or employers maintaining the
    plan for the purpose of determining the nonforfeitability of the
    person's accrued benefits and for the purpose of determining the
    accrual of benefits under the plan.
      (b)(1) An employer reemploying a person under this chapter shall,
    with respect to a period of service described in subsection
    (a)(2)(B), be liable to an employee pension benefit plan for
    funding any obligation of the plan to provide the benefits
    described in subsection (a)(2) and shall allocate the amount of any
    employer contribution for the person in the same manner and to the
    same extent the allocation occurs for other employees during the
    period of service. For purposes of determining the amount of such
    liability and any obligation of the plan, earnings and forfeitures
    shall not be included. For purposes of determining the amount of
    such liability and for purposes of section 515 of the Employee
    Retirement Income Security Act of 1974 or any similar Federal or
    State law governing pension benefits for governmental employees,
    service in the uniformed services that is deemed under subsection
    (a) to be service with the employer shall be deemed to be service
    with the employer under the terms of the plan or any applicable
    collective bargaining agreement. In the case of a multiemployer
    plan, as defined in section 3(37) of the Employee Retirement Income
    Security Act of 1974, any liability of the plan described in this
    paragraph shall be allocated - 
        (A) by the plan in such manner as the sponsor maintaining the
      plan shall provide; or
        (B) if the sponsor does not provide - 
          (i) to the last employer employing the person before the
        period served by the person in the uniformed services, or
          (ii) if such last employer is no longer functional, to the
        plan.

      (2) A person reemployed under this chapter shall be entitled to
    accrued benefits pursuant to subsection (a) that are contingent on
    the making of, or derived from, employee contributions or elective
    deferrals (as defined in section 402(g)(3) of the Internal Revenue
    Code of 1986) only to the extent the person makes payment to the
    plan with respect to such contributions or deferrals. No such
    payment may exceed the amount the person would have been permitted
    or required to contribute had the person remained continuously
    employed by the employer throughout the period of service described
    in subsection (a)(2)(B). Any payment to the plan described in this
    paragraph shall be made during the period beginning with the date
    of reemployment and whose duration is three times the period of the
    person's service in the uniformed services, such payment period not
    to exceed five years.
      (3) For purposes of computing an employer's liability under
    paragraph (1) or the employee's contributions under paragraph (2),
    the employee's compensation during the period of service described
    in subsection (a)(2)(B) shall be computed - 
        (A) at the rate the employee would have received but for the
      period of service described in subsection (a)(2)(B), or
        (B) in the case that the determination of such rate is not
      reasonably certain, on the basis of the employee's average rate
      of compensation during the 12-month period immediately preceding
      such period (or, if shorter, the period of employment immediately
      preceding such period).

      (c) Any employer who reemploys a person under this chapter and
    who is an employer contributing to a multiemployer plan, as defined
    in section 3(37) of the Employee Retirement Income Security Act of
    1974, under which benefits are or may be payable to such person by
    reason of the obligations set forth in this chapter, shall, within
    30 days after the date of such reemployment, provide information,
    in writing, of such reemployment to the administrator of such plan.



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