Requalification After Five Consecutive One-Year Breaks In Service Sample Clauses
The "Requalification After Five Consecutive One-Year Breaks In Service" clause defines the conditions under which an employee who has been absent from service for five consecutive years must requalify for certain benefits or employment status. Typically, this clause applies to situations where an employee has not worked for the employer for five straight years, and upon returning, is treated as a new hire for purposes such as benefit eligibility, seniority, or vesting in retirement plans. Its core function is to ensure that long-term absences reset an employee's status, thereby maintaining fairness and administrative clarity in managing employment records and benefits.
Requalification After Five Consecutive One-Year Breaks In Service. Subject to Article VI, if a Participant was not fully vested prior to termination of employment and is re-employed after incurring five (5) consecutive one (1) year Breaks in Service or Periods of Severance, a new account shall be established for such Participant to separate his or her deferred vested and nonforfeitable account, if any, from the account to which new allocations will be made. The Participant’s deferred account to the extent remaining shall be fully vested and shall continue to share in earnings and losses of the Trust. When computing the Participant’s vested portion of the new account, all pre-break and post-break Service shall be counted. However, notwithstanding this provision, no such former Participant who has had five (5) consecutive one (1) year Breaks in Service or Periods of Severance shall acquire a larger vested and nonforfeitable interest in his or her prior account balance as a result of requalification hereunder.
Requalification After Five Consecutive One-Year Breaks In Service. If such Participant is not fully vested upon re-employment, a new account shall be established for such Participant to separate his or her deferred vested and nonforfeitable account, if any, from the account to which new allocations will be made. The Participant's deferred account to the extent remaining shall be fully vested and shall continue to share in earnings and losses of the Fund. When computing the Participant's vested portion of the new account, all pre-break and post-break Service shall be counted. However, notwithstanding this provision, no such former Participant who has had five consecutive one-year Breaks in Service shall acquire a larger vested and nonforfeitable interest in his or her prior account balance as a result of requalification hereunder.
Requalification After Five Consecutive One-Year Breaks In Service. 43 9.6 Calculating Vested Interest 43 9.7 Forfeitures 44 9.8 Amendment Of Vesting Schedule 44 9.9 Service With Controlled Groups 44 9.10 Application Of Prior Vesting Rules 44