[Congressional Bills 113th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5523 Introduced in House (IH)]
113th CONGRESS
2d Session
H. R. 5523
To amend the Employee Retirement Income Security Act of 1974 and the
National Labor Relations Act to protect the health benefits of
retirees, and for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
September 17, 2014
Ms. Slaughter (for herself and Mr. Jones) introduced the following
bill; which was referred to the Committee on Education and the
Workforce
_______________________________________________________________________
A BILL
To amend the Employee Retirement Income Security Act of 1974 and the
National Labor Relations Act to protect the health benefits of
retirees, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Employee Benefits Protection Act of
2014''.
SEC. 2. NOTIFICATION OF EXTENT TO WHICH HEALTH BENEFITS CAN BE MODIFIED
OR TERMINATED.
(a) Inclusion in Summary Plan Description.--Section 102(b) of the
Employee Retirement Income Security Act of 1974 (29 U.S.C. 1022) is
amended by inserting ``; in the case of a group health plan (as so
defined), whether the provisions of the plan permit the plan sponsor or
any employer participating in the plan to unilaterally modify or
terminate the benefits under the plan with respect to employees,
retired employees, and beneficiaries, and when and to what extent
benefits under the plan are fully vested with respect to employees,
retired employees, and beneficiaries'' after ``the name and address of
such issuer''.
(b) Presumption That Retired Employee Health Benefits Cannot Be
Modified or Terminated.--Section 502 of the Employee Retirement Income
Security Act of 1974 (29 U.S.C. 1132) is amended by adding at the end
the following new subsection:
``(n) In the case of a suit brought under this title by a
participant or beneficiary relating to benefits of a retired employee
or the dependents of a retired employee under a group health plan (as
defined in section 733(a)(1)), the presumption for purposes of such
suit shall be that as of the date an employee retires or completes 20
years of service with the employer, benefits available under the plan
during retirement of the employee are fully vested and cannot be
modified or terminated for the life of the employee or, if longer, the
life of the employee's spouse. This presumption can be overcome only
upon a showing, by clear and convincing evidence, that the terms of the
group health plan allow for a modification or termination of benefits
available under the plan and that the employee, prior to becoming a
participant in the plan, was made aware, in clear and unambiguous
terms, that the plan allowed for such modification or termination of
benefits.''.
SEC. 3. PROTECTION OF RETIREES UNDER CERTAIN COLLECTIVELY BARGAINED
AGREEMENTS.
Section 8 of the National Labor Relations Act (29 U.S.C. 158) is
amended by adding at the end the following:
``(h) It shall be an unfair labor practice for any labor
organization and any employer to enter into any contract or agreement,
express or implied, whereby the organization and employer agree to
modify the terms of any previous agreement in a manner that would
result in a reduction or termination of retiree health insurance
benefits provided to an employee or a dependent of an employee under
the previous agreement, if such modification of the terms of the
previous agreement occurs after the date on which the employee
retires.''.
SEC. 4. COMPTROLLER GENERAL REPORT.
(a) In General.--Not later than 180 days after the date of
enactment of this Act, the Comptroller General of the United States
shall submit to Congress a report on the strategies that corporations
use to avoid obligations to pay promised employee and retiree benefits.
(b) Contents.--The report under subsection (a) shall include a
discussion of--
(1) the use of spin-offs, mergers, subsidiaries,
bankruptcies, asset sales, and other strategies to avoid
obligations to pay promised employee and retiree benefits;
(2) the impact of such avoidance on the financial,
physical, and mental well-being of employees and retirees;
(3) the impact on Federal and State budgets when employers
terminate or reduce the benefits of employees and retirees,
including the costs that are incurred when employees and
retirees seek assistance from Federal and State government
programs and services as a result of the termination or
reduction of their employment-related benefits; and
(4) recommendations to prevent corporations from evading
contractual obligations to pay employee and retiree benefits.
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