Break in Service Credit
What is a break in Service?
Any fiscal year during which you did not work at least
450 hours in covered employment is considered a one-year
break in service.
Effective January 1, 1987, the first one year break will
be ignored if the break in service is a result of a
"parenthood event" if you prove to the satisfaction of the
Trustees the reason for and duration of such absence. A
"parenthood event" must be one of the following events: the
Employee’s adoption of a child, the birth of the Employee’s
child, the need to care for the Employee’s child immediately
after birth or adoption or the Employee’s pregnancy. Hours
credited for this purpose do not count towards accrual or
vesting service or pension credit.
What happens if I have a Break in Service?
Beginning January 1, 1987:
If you have earned 5 or fewer years of service credits,
you will have a Permanent break in service if you have at
least 5 consecutive One Year Breaks in Service, including at
least one after 1986.
If you have earned at least 6 years but less than 10
years of service, you will have a permanent break in service
if the number of consecutive One Year Breaks in Service
equal or exceed your previously credited Years of Service.
(This is known as the "Rule of Parity".)
If you incur a break in service by working less than 450
hours in covered employment in each of two or more
consecutive plan years, your benefit will be computed at the
rate in effective at that time.
If you are not credited with a least 450 hours of
credited service in two successive fiscal Plan years prior
to your death, you are not considered an active participant
in the Plan, and therefore, your beneficiary will not be
entitled to the Lump Sum Pre-Retirement Death Benefit
provided for in the Plan.
Is my Break in Service Temporary?
On and after January 1, 1987, if before you incur five
(5) consecutive one year Breaks in Service, you return to
work in the Industry and earn at least 450 hours of credited
service within a fiscal year, a permanent Break in Service
may be prevented.
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