What is USERRA 401k?

USERRA requires that an employee’s period of military duty be counted as service with the employer for purposes of eligibility, vesting, and the allocation of employer contributions under a 401(k) plan. An employee cannot be treated as having incurred a break in service because of a period of military service.

What is covered under USERRA?

In order to qualify for coverage under USERRA, an individual must be absent from work because of “service in the uniformed services.” This means that the employee is engaged in voluntary or involuntary duty in a uniformed service, and includes active duty, active duty for training, initial active duty for training.

Does USERRA require an employer to provide benefits to employees with military obligations that are not made available to other employees?

Although USERRA does not require employers to pay their employees during military duty, employers must consider exempt salary basis rules under the Fair Labor Standards Act (FLSA) for exempt employees missing partial workweeks due to military service.

What does USERRA require of employers?

USERRA is a federal statute that protects servicemembers’ and veterans’ civilian employment rights. Among other things, under certain conditions, USERRA requires employers to put individuals back to work in their civilian jobs after military service.

How much time off is an employee entitled to prior to reporting for military service?

1 to 30 Days
Service of 1 to 30 Days The person must report to his or her employer by the beginning of the first regularly scheduled work period that begins on the next calendar day following completion of service, after allowance for safe travel home from the military duty location and an 8-hour rest period.

What are qualified reservist distributions?

A qualified reservist distribution is defined under § 72(t)(2)(G)(iii) as a distribution from an IRA or a distribution attributable to elective deferrals under a § 401(k) or 403(b) plan (or a plan described in § 501(c)(18)) to a member of the reserves who has been ordered or called to active duty for a period exceeding …

Does USERRA cover part time employees?

Does the Uniformed Service Employment and Reemployment Act (USERRA) apply to part-time employees? Yes, both part-time and probationary employees are covered by USERRA.

How long does USERRA protect my job?

USERRA establishes the cumulative length of time that an individual may be absent from work for military duty and retain reemployment rights to five years (the previous law provided four years of active duty, plus an additional year if it was for the convenience of the Government).

What is a qualified reservist payment?

What Is a Qualified Reservist? A qualified reservist is a member of the military reserve who is not active, but when called to duty, is eligible to make an early withdrawal from a retirement account without incurring the usual early distribution penalty.

What does USERRA mean for employers?

What USERRA Means for Employers. Just as friends, families and communities recognize the sacrifices our military service members make for our country, employers must honor their commitments and provide specific job protections under the Uniformed Services Employment and Reemployment Rights Act (USERRA).

Does USERRA apply to contract workers?

(a) No. USERRA does not provide protections for an independent contractor. (b) In deciding whether an individual is an independent contractor, the following factors need to be considered: (1) The extent of the employer ‘s right to control the manner in which the individual’s work is to be performed;

Who does USERRA apply to?

USERRA applies to both public and private employers. The Office of Special Counsel, in conjunction with the Department of Labor, investigates and enforces USERRA claims involving federal government employers. The Department of Labor and the Department of Justice handle USERRA claims involving private employers as well as state and local governments.