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Code · BILL · 118th Congress · H.R. 10538 (Introduced in House) — To amend title 11, United States Code, to improve protections for employees and retirees in business bankruptcies. · Sec. 103

Sec. 103. Priority for severance pay and contributions to employee benefit plans

175 words·~1 min read·/bill/118/hr/10538/ih/section-103·

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Section 503(b) of title 11, United States Code, is amended— in paragraph (8)(B), by striking and at the end; in paragraph (9), by striking the period and inserting a semicolon; and by adding at the end the following: severance pay owed to employees of the debtor (other than to an insider of the debtor, a senior executive officer of the debtor, the 20 highest compensated employees of the debtor who are not insiders or senior executive officers, any department or division manager of the debtor, or any consultant providing services to the debtor), under a plan, program, or policy generally applicable to employees of the debtor (but not under an individual contract of employment), or owed pursuant to a collective bargaining agreement, for layoff or termination on or after the date of the filing of the petition, which pay shall be deemed earned in full upon such layoff or termination of employment; and any contribution to an employee benefit plan that is due on or after the date of the filing of the petition. .
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