Sec. 101. Increased wage priority
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/bill/116/hr/7370/ih/section-101·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
Section 507(a) of title 11, United States Code, is amended— in paragraph (4)— by redesignating subparagraphs
(A)and
(B)as clauses
(i)and (ii), respectively; in the matter preceding clause (i), as so redesignated, by inserting
(A)before Fourth ; in subparagraph (A), as so designated, in the matter preceding clause (i), as so redesignated— by striking $10,000 and inserting $20,000 ; by striking within 180 days ; and by striking or the date of the cessation of the debtor’s business, whichever occurs first, ; and by adding at the end the following: Severance pay described in subparagraph (A)(i) shall be deemed earned in full upon the layoff or termination of employment of the individual to whom the severance is owed. ; and in paragraph (5)— in subparagraph (A)— by striking within 180 days ; and by striking or the date of the cessation of the debtor’s business, whichever occurs first ; and by striking subparagraph
(B)and inserting the following: for each such plan, to the extent of the number of employees covered by each such plan, multiplied by $20,000. .