3.2 Vesting Service
For purposes of establishing an entitlement to Early, Qualified and Rule of 80 Retirement Benefits, or entitlement to a Disability Benefit, your Contributory Years of Service will be used instead of the Vesting Service described here.
3.2.1 Vesting Service Earned for Work in Covered Employment
For purposes of determining vesting in your Normal Retirement Age benefit, you earn one Year of Vesting Service when you work between 250 and 2,000 Contributory Hours during a Plan Year after June 30, 2001.
If you work less than 250 hours during a Plan Year after June 30, 2001, you earn a partial Year of Vesting Service equal to your Contributory Hours divided by 1,000.
EXAMPLE:
200 hrs = .20 years of Vesting Service
1,000
If you work more than 2,000 hours during a Plan Year, you earn more than one Year of Vesting Service equal to your Contributory Hours divided by 2,000.
EXAMPLE:
2080 hrs = 1.04 years of Vesting Service
2,000
3.2.2 Vesting Service for Covered Employment Before You Become a Participant
When you become a Participant, you receive Vesting Service credit for past Covered Employment if both of the following requirements are met:
- You worked at least one hour in Covered Employment during each Plan Year; and
- The Plan Years are consecutive with the Plan Year in which you become a Participant.
EXAMPLE:
David worked the following Contributory Hours:
Plan Year |
Hours |
Vesting Service |
| 2002 |
50 |
0.05 |
| 2003 |
100 |
0.10 |
| 2004 |
50 |
0.05 |
| 2005 |
1,200 |
1.00 |
David became a Participant in Plan Year 2005 because he worked over 250 Contributory Hours during that Year. He also received a partial year of Vesting Service credit for the hours he worked in Plan Years 2002, 2003, and 2004, for a total of 1.20 years of Vesting Service for Plan Years 2002 through 2005.
3.2.3 Vesting Based on “Contiguous Non-Covered Employment”
You can also earn credit toward vesting if you work for a Contributing Employer in a job which is not covered by the Plan immediately before or immediately after you earn Contributory Hours with that employer, without any interruption or termination of your employment. If you have such Contiguous Non-Covered Employment, you must inform the Trust Customer Service Office.
3.2.4 Vesting Based on When You Reach Your “Normal Retirement Age”
The Plan’s Normal Retirement Age is the later of the following:
age 65, or
the fifth anniversary of the date you became a Plan Participant.
If you reach Normal Retirement Age while still a Participant in the Plan, you will then be vested in your Normal Retirement Age benefit even if you do not yet have sufficient years of Vesting Service to have vested under the sections above.
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