Common use of Rule of Parity Clause in Contracts

Rule of Parity. If the Sponsoring Employer elects the Rule of Parity in the Adoption Agreement, then any Year(s) of Service that were completed prior to an Employee’s Break(s) in Service will not be counted for benefit accrual or allocation purposes if those Year(s) of Service are disregarded pursuant to the Rule of Parity.

Appears in 2 contracts

Samples: 401(k) Non Standardized Prototype Adoption Agreement (Michaels Stores Inc), 401(k) Non Standardized Prototype Adoption Agreement (Littelfuse Inc /De)

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Rule of Parity. If the Sponsoring Employer elects the Rule of Parity in the Adoption Agreement, then any Year(s) of Service that were completed prior to an Employee’s Break(s) in Service will not be counted for benefit accrual or allocation purposes if those Year(s) of Service are disregarded pursuant to the Rule of Parity.

Appears in 2 contracts

Samples: 401(k) Non Standardized Prototype Adoption Agreement (Michaels Stores Inc), 401(k) Non Standardized Prototype Adoption Agreement (Littelfuse Inc /De)

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