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Code · BILL · 113th Congress · S. 2511 (Reported in Senate) — To amend the Employee Retirement Income Security Act of 1974 to clarify the definition of substantial cessation of op... · Sec. 1

Sec. 1. Substantial cessation of operations

264 words·~1 min read·/bill/113/s/2511/rs/section-1

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Subsection
(e)of section 4062 of the Employee Retirement Income Security Act of 1974 (29 U.S.C. 1362) is amended— by striking and inserting “ Operations .—If an employer Operations .— If an employer ; and by adding at the end the following: An employer shall not be treated as having a cessation described in paragraph
(1)unless— all operations at a facility in a location are ceased, and— such cessation is reasonably expected to be permanent; no portion of such operations is moved to another facility at a different location; no portion of such operations is assumed by or otherwise transferred to another employer; and no other operations are reasonably expected to be maintained at such facility; and as a result of the cessation described in subparagraph (A), more than 20 percent of the employees of the employer have a termination of employment that is reasonably expected to be permanent. For purposes of subparagraph (B), all employees treated as employed by a single employer under sections 210
(c)and
(d)shall be treated as employees of the employer. . The Pension Benefit Guaranty Corporation shall not take any enforcement, administrative, or other action pursuant to section 4062(e) of the Employee Retirement Income Security Act of 1974 that is inconsistent with subparagraph
(A)of section 4062(e)(2) of such Act, as added by subsection (a), without regard to whether the action relates to a cessation or other event that occurs before or after the date of enactment of this Act, unless such action is in connection with a settlement agreement in place before June 1, 2014.
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Sec. 1
Substantial cessation of operations
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