[Congressional Record Volume 140, Number 138 (Wednesday, September 28, 1994)]
[Senate]
[Page S]
From the Congressional Record Online through the Government Printing Office [www.gpo.gov]


[Congressional Record: September 28, 1994]
From the Congressional Record Online via GPO Access [wais.access.gpo.gov]

 
   UNIFORMED SERVICES EMPLOYMENT AND REEMPLOYMENT RIGHTS ACT OF 1994

  Mr. BOREN. Madam President, I ask that the Chair lay before the 
Senate a message from the House of Representatives on a bill (H.R. 995) 
to amend title 38, United States Code, to improve reemployment rights 
and benefits of veterans and other benefits of employment of certain 
members of the uniformed services, and for other purposes.
  The PRESIDING OFFICER laid before the Senate the following message 
from the House of Representatives:

       Resolved, That the House agree to the amendment of the 
     Senate to the bill (H.R. 995) entitled ``An Act to amend 
     title 38, United States Code, to improve reemployment rights 
     and benefits of veterans and other benefits of employment of 
     certain members of the uniformed services, and for other 
     purposes'', with the following amendment:
       In lieu of the matter proposed to be inserted by said 
     amendment, insert:

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Uniformed Services 
     Employment and Reemployment Rights Act of 1994''.

     SEC. 2. REVISION OF CHAPTER 43 OF TITLE 38.

       (a) Restatement and Improvement of Employment and 
     Reemployment Rights.--Chapter 43 of title 38, United States 
     Code, is amended to read as follows:

  ``CHAPTER 43--EMPLOYMENT AND REEMPLOYMENT RIGHTS OF MEMBERS OF THE 
                           UNIFORMED SERVICES

                        ``SUBCHAPTER I--GENERAL

``4301. Purposes; sense of Congress.
``4302. Relation to other law and plans or agreements.
``4303. Definitions.
``4304. Character of service.

 ``SUBCHAPTER II--EMPLOYMENT AND REEMPLOYMENT RIGHTS AND LIMITATIONS; 
                              PROHIBITIONS

``4311. Discrimination against persons who serve in the uniformed 
              services and acts of reprisal prohibited.
``4312. Reemployment rights of persons who serve in the uniformed 
              services.
``4313. Reemployment positions.
``4314. Reemployment by the Federal Government.
``4315. Reemployment by certain Federal agencies.
``4316. Rights, benefits, and obligations of persons absent from 
              employment for service in a uniformed service.
``4317. Health plans.
``4318. Employee pension benefit plans.

     ``SUBCHAPTER III--PROCEDURES FOR ASSISTANCE, ENFORCEMENT, AND 
                             INVESTIGATION

``4321. Assistance in obtaining reemployment or other employment rights 
              or benefits.
``4322. Enforcement of employment or reemployment rights.
``4323. Enforcement of rights with respect to a State or private 
              employer.
``4324. Enforcement of rights with respect to Federal executive 
              agencies.
``4325. Enforcement of rights with respect to certain Federal agencies.
``4326. Conduct of investigation; subpoenas.

               ``SUBCHAPTER IV--MISCELLANEOUS PROVISIONS

``4331. Regulations.
``4332. Reports.
``4333. Outreach.

                        ``SUBCHAPTER I--GENERAL

     ``Sec. 4301. Purposes; sense of Congress

       ``(a) The purposes of this chapter are--
       ``(1) to encourage noncareer service in the uniformed 
     services by eliminating or minimizing the disadvantages to 
     civilian careers and employment which can result from such 
     service;
       ``(2) to minimize the disruption to the lives of persons 
     performing service in the uniformed services as well as to 
     their employers, their fellow employees, and their 
     communities, by providing for the prompt reemployment of such 
     persons upon their completion of such service under honorable 
     conditions; and
       ``(3) to prohibit discrimination against persons because of 
     their service in the uniformed services.
       ``(b) It is the sense of Congress that the Federal 
     Government should be a model employer in carrying out the 
     provisions of this chapter.

     ``Sec. 4302. Relation to other law and plans or agreements

       ``(a) Nothing in this chapter shall supersede, nullify or 
     diminish any Federal or State law (including any local law or 
     ordinance), contract, agreement, policy, plan, practice, or 
     other matter that establishes a right or benefit that is more 
     beneficial to, or is in addition to, a right or benefit 
     provided for such person in this chapter.
       ``(b) This chapter supersedes any State law (including any 
     local law or ordinance), contract, agreement, policy, plan, 
     practice, or other matter that reduces, limits, or eliminates 
     in any manner any right or benefit provided by this chapter, 
     including the establishment of additional prerequisites to 
     the exercise of any such right or the receipt of any such 
     benefit.

     ``Sec. 4303. Definitions

       ``For the purposes of this chapter--
       ``(1) The term `Attorney General' means the Attorney 
     General of the United States or any person designated by the 
     Attorney General to carry out a responsibility of the 
     Attorney General under this chapter.
       ``(2) The term `benefit', `benefit of employment', or 
     `rights and benefits' means any advantage, profit, privilege, 
     gain, status, account, or interest (other than wages or 
     salary for work performed) that accrues by reason of an 
     employment contract or agreement or an employer policy, plan, 
     or practice and includes rights and benefits under a pension 
     plan, a health plan, an employee stock ownership plan, 
     insurance coverage and awards, bonuses, severance pay, 
     supplemental unemployment benefits, vacations, and the 
     opportunity to select work hours or location of employment.
       ``(3) The term `employee' means any person employed by an 
     employer.
       ``(4)(A) Except as provided in subparagraphs (B) and (C), 
     the term `employer' means any person, institution, 
     organization, or other entity that pays salary or wages for 
     work performed or that has control over employment 
     opportunities, including--
       ``(i) a person, institution, organization, or other entity 
     to whom the employer has delegated the performance of 
     employment-related responsibilities;
       ``(ii) the Federal Government;
       ``(iii) a State;
       ``(iv) any successor in interest to a person, institution, 
     organization, or other entity referred to in this 
     subparagraph; and
       ``(v) a person, institution, organization, or other entity 
     that has denied initial employment in violation of section 
     4311.
       ``(B) In the case of a National Guard technician employed 
     under section 709 of title 32, the term `employer' means the 
     adjutant general of the State in which the technician is 
     employed.
       ``(C) Except as an actual employer of employees, an 
     employee pension benefit plan described in section 3(2) of 
     the Employee Retirement Income Security Act of 1974 (29 
     U.S.C. 1002(2)) shall be deemed to be an employer only with 
     respect to the obligation to provide benefits described in 
     section 4318.
       ``(5) The term `Federal executive agency' includes the 
     United States Postal Service, the Postal Rate Commission, any 
     nonappropriated fund instrumentality of the United States, 
     any Executive agency (as that term is defined in section 105 
     of title 5) other than an agency referred to in section 
     2302(a)(2)(C)(ii) of title 5, and any military department (as 
     that term is defined in section 102 of title 5) with respect 
     to the civilian employees of that department.
       ``(6) The term `Federal Government' includes any Federal 
     executive agency, the legislative branch of the United 
     States, and the judicial branch of the United States.
       ``(7) The term `health plan' means an insurance policy or 
     contract, medical or hospital service agreement, membership 
     or subscription contract, or other arrangement under which 
     health services for individuals are provided or the expenses 
     of such services are paid.
       ``(8) The term `notice' means (with respect to subchapter 
     II) any written or verbal notification of an obligation or 
     intention to perform service in the uniformed services 
     provided to an employer by the employee who will perform such 
     service or by the uniformed service in which such service is 
     to be performed.
       ``(9) The term `qualified', with respect to an employment 
     position, means having the ability to perform the essential 
     tasks of the position.
       ``(10) The term `reasonable efforts', in the case of 
     actions required of an employer under this chapter, means 
     actions, including training provided by an employer, that do 
     not place an undue hardship on the employer.
       ``(11) Notwithstanding section 101, the term `Secretary' 
     means the Secretary of Labor or any person designated by such 
     Secretary to carry out an activity under this chapter.
       ``(12) The term `seniority' means longevity in employment 
     together with any benefits of employment which accrue with, 
     or are determined by, longevity in employment.
       ``(13) The term `service in the uniformed services' means 
     the performance of duty on a voluntary or involuntary basis 
     in a uniformed service under competent authority and includes 
     active duty, active duty for training, initial active duty 
     for training, inactive duty training, full-time National 
     Guard duty, and a period for which a person is absent from a 
     position of employment for the purpose of an examination to 
     determine the fitness of the person to perform any such duty.
       ``(14) The term `State' means each of the several States of 
     the United States, the District of Columbia, the Commonwealth 
     of Puerto Rico, Guam, the Virgin Islands, and other 
     territories of the United States (including the agencies and 
     political subdivisions thereof).
       ``(15) The term `undue hardship', in the case of actions 
     taken by an employer, means actions requiring significant 
     difficulty or expense, when considered in light of--
       ``(A) the nature and cost of the action needed under this 
     chapter;
       ``(B) the overall financial resources of the facility or 
     facilities involved in the provision of the action; the 
     number of persons employed at such facility; the effect on 
     expenses and resources, or the impact otherwise of such 
     action upon the operation of the facility;
       ``(C) the overall financial resources of the employer; the 
     overall size of the business of an employer with respect to 
     the number of its employees; the number, type, and location 
     of its facilities; and
       ``(D) the type of operation or operations of the employer, 
     including the composition, structure, and functions of the 
     work force of such employer; the geographic separateness, 
     administrative, or fiscal relationship of the facility or 
     facilities in question to the employer.
       ``(16) The term `uniformed services' means the Armed 
     Forces, the Army National Guard and the Air National Guard 
     when engaged in active duty for training, inactive duty 
     training, or full-time National Guard duty, the commissioned 
     corps of the Public Health Service, and any other category of 
     persons designated by the President in time of war or 
     emergency.

     ``Sec.  4304. Character of service

       ``A person's entitlement to the benefits of this chapter by 
     reason of the service of such person in one of the uniformed 
     services terminates upon the occurrence of any of the 
     following events:
       ``(1) A separation of such person from such uniformed 
     service with a dishonorable or bad conduct discharge.
       ``(2) A separation of such person from such uniformed 
     service under other than honorable conditions, as 
     characterized pursuant to regulations prescribed by the 
     Secretary concerned.
       ``(3) A dismissal of such person permitted under section 
     1161(a) of title 10.
       ``(4) A dropping of such person from the rolls pursuant to 
     section 1161(b) of title 10.

 ``SUBCHAPTER II--EMPLOYMENT AND REEMPLOYMENT RIGHTS AND LIMITATIONS; 
                              PROHIBITIONS

     ``Sec. 4311. Discrimination against persons who serve in the 
       uniformed services and acts of reprisal prohibited

       ``(a) A person who is a member of, applies to be a member 
     of, performs, has performed, applies to perform, or has an 
     obligation to perform service in a uniformed service shall 
     not be denied initial employment, reemployment, retention in 
     employment, promotion, or any benefit of employment by an 
     employer on the basis of that membership, application for 
     membership, performance of service, application for service, 
     or obligation.
       ``(b) An employer shall be considered to have denied a 
     person initial employment, reemployment, retention in 
     employment, promotion, or a benefit of employment in 
     violation of this section if the person's membership, 
     application for membership, service, application for service, 
     or obligation for service in the uniformed services is a 
     motivating factor in the employer's action, unless the 
     employer can prove that the action would have been taken in 
     the absence of such membership, application for membership, 
     performance of service, application for service, or 
     obligation.
       ``(c)(1) An employer may not discriminate in employment 
     against or take any adverse employment action against any 
     person because such person has taken an action to enforce a 
     protection afforded any person under this chapter, has 
     testified or otherwise made a statement in or in connection 
     with any proceeding under this chapter, has assisted or 
     otherwise participated in an investigation under this 
     chapter, or has exercised a right provided for in this 
     chapter.
       ``(2) The prohibition in paragraph (1) shall apply with 
     respect to a person regardless of whether that person has 
     performed service in the uniformed services and shall apply 
     to any position of employment, including a position that is 
     described in section 4312(d)(1)(C).

     ``Sec. 4312. Reemployment rights of persons who serve in the 
       uniformed services

       ``(a) Subject to subsections (b), (c), and (d) and to 
     section 4304, any person who is absent from a position of 
     employment by reason of service in the uniformed services 
     shall be entitled to the reemployment rights and benefits and 
     other employment benefits of this chapter if--
       ``(1) the person (or an appropriate officer of the 
     uniformed service in which such service is performed) has 
     given advance written or verbal notice of such service to 
     such person's employer;
       ``(2) the cumulative length of the absence and of all 
     previous absences from a position of employment with that 
     employer by reason of service in the uniformed services does 
     not exceed five years; and
       ``(3) except as provided in subsection (f), the person 
     reports to, or submits an application for reemployment to, 
     such employer in accordance with the provisions of subsection 
     (e).
       ``(b) No notice is required under subsection (a)(1) if the 
     giving of such notice is precluded by military necessity or, 
     under all of the relevant circumstances, the giving of such 
     notice is otherwise impossible or unreasonable. A 
     determination of military necessity for the purposes of this 
     subsection shall be made pursuant to regulations prescribed 
     by the Secretary of Defense and shall not be subject to 
     judicial review.
       ``(c) Subsection (a) shall apply to a person who is absent 
     from a position of employment by reason of service in the 
     uniformed services if such person's cumulative period of 
     service in the uniformed services, with respect to the 
     employer relationship for which a person seeks reemployment, 
     does not exceed five years, except that any such period of 
     service shall not include any service--
       ``(1) that is required, beyond five years, to complete an 
     initial period of obligated service;
       ``(2) during which such person was unable to obtain orders 
     releasing such person from a period of service in the 
     uniformed services before the expiration of such five-year 
     period and such inability was through no fault of such 
     person;
       ``(3) performed as required pursuant to section 270 of 
     title 10, under section 502(a) or 503 of title 32, or to 
     fulfill additional training requirements determined and 
     certified in writing by the Secretary concerned, to be 
     necessary for professional development, or for completion of 
     skill training or retraining; or
       ``(4) performed by a member of a uniformed service who is--
       ``(A) ordered to or retained on active duty under section 
     672(a), 672(g), 673, 673b, 673c, or 688 of title 10 or under 
     section 331, 332, 359, 360, 367, or 712 of title 14;
       ``(B) ordered to or retained on active duty (other than for 
     training) under any provision of law during a war or during a 
     national emergency declared by the President or the Congress;
       ``(C) ordered to active duty (other than for training) in 
     support, as determined by the Secretary concerned, of an 
     operational mission for which personnel have been ordered to 
     active duty under section 673b of title 10;
       ``(D) ordered to active duty in support, as determined by 
     the Secretary concerned, of a critical mission or requirement 
     of the uniformed services; or
       ``(E) called into Federal service as a member of the 
     National Guard under chapter 15 of title 10 or under section 
     3500 or 8500 of title 10.
       ``(d)(1) An employer is not required to reemploy a person 
     under this chapter if--
       ``(A) the employer's circumstances have so changed as to 
     make such reemployment impossible or unreasonable;
       ``(B) in the case of a person entitled to reemployment 
     under subsection (a)(3), (a)(4), or (b)(2)(B) of section 
     4313, such employment would impose an undue hardship on the 
     employer; or
       ``(C) the employment from which the person leaves to serve 
     in the uniformed services is for a brief, nonrecurrent period 
     and there is no reasonable expectation that such employment 
     will continue indefinitely or for a significant period.
       ``(2) In any proceeding involving an issue of whether--
       ``(A) any reemployment referred to in paragraph (1) is 
     impossible or unreasonable because of a change in an 
     employer's circumstances,
       ``(B) any accommodation, training, or effort referred to in 
     subsection (a)(3), (a)(4), or (b)(2)(B) of section 4313 would 
     impose an undue hardship on the employer, or
       ``(C) the employment referred to in paragraph (1)(C) is 
     brief or for a nonrecurrent period and without a reasonable 
     expectation that such employment will continue indefinitely 
     or for a significant period,
     the employer shall have the burden of proving the 
     impossibility or unreasonableness, undue hardship, or the 
     brief or nonrecurrent nature of the employment without a 
     reasonable expectation of continuing indefinitely or for a 
     significant period.
       ``(e)(1) Subject to paragraph (2), a person referred to in 
     subsection (a) shall, upon the completion of a period of 
     service in the uniformed services, notify the employer 
     referred to in such subsection of the person's intent to 
     return to a position of employment with such employer as 
     follows:
       ``(A) In the case of a person whose period of service in 
     the uniformed services was less than 31 days, by reporting to 
     the employer--
       ``(i) not later than the beginning of the first full 
     regularly scheduled work period on the first full calendar 
     day following the completion of the period of service and the 
     expiration of eight hours after a period allowing for the 
     safe transportation of the person from the place of that 
     service to the person's residence; or
       ``(ii) as soon as possible after the expiration of the 
     eight-hour period referred to in clause (i), if reporting 
     within the period referred to in such clause is impossible or 
     unreasonable through no fault of the person.
       ``(B) In the case of a person who is absent from a position 
     of employment for a period of any length for the purposes of 
     an examination to determine the person's fitness to perform 
     service in the uniformed services, by reporting in the manner 
     and time referred to in subparagraph (A).
       ``(C) In the case of a person whose period of service in 
     the uniformed services was for more than 30 days but less 
     than 181 days, by submitting an application for reemployment 
     with the employer not later than 14 days after the completion 
     of the period of service or if submitting such application 
     within such period is impossible or unreasonable through no 
     fault of the person, the next first full calendar day when 
     submission of such application becomes possible.
       ``(D) In the case of a person whose period of service in 
     the uniformed services was for more than 180 days, by 
     submitting an application for reemployment with the employer 
     not later than 90 days after the completion of the period of 
     service.
       ``(2)(A) A person who is hospitalized for, or convalescing 
     from, an illness or injury incurred in, or aggravated during, 
     the performance of service in the uniformed services shall, 
     at the end of the period that is necessary for the person to 
     recover from such illness or injury, report to the person's 
     employer (in the case of a person described in subparagraph 
     (A) or (B) of paragraph (1)) or submit an application for 
     reemployment with such employer (in the case of a person 
     described in subparagraph (C) or (D) of such paragraph). 
     Except as provided in subparagraph (B), such period of 
     recovery may not exceed two years.
       ``(B) Such two-year period shall be extended by the minimum 
     time required to accommodate the circumstances beyond such 
     person's control which make reporting within the period 
     specified in subparagraph (A) impossible or unreasonable.
       ``(3) A person who fails to report or apply for employment 
     or reemployment within the appropriate period specified in 
     this subsection shall not automatically forfeit such person's 
     entitlement to the rights and benefits referred to in 
     subsection (a) but shall be subject to the conduct rules, 
     established policy, and general practices of the employer 
     pertaining to explanations and discipline with respect to 
     absence from scheduled work.
       ``(f)(1) A person who submits an application for 
     reemployment in accordance with subparagraph (C) or (D) of 
     subsection (e)(1) or subsection (e)(2) shall provide to the 
     person's employer (upon the request of such employer) 
     documentation to establish that--
       ``(A) the person's application is timely;
       ``(B) the person has not exceeded the service limitations 
     set forth in subsection (a)(2) (except as permitted under 
     subsection (c)); and
       ``(C) the person's entitlement to the benefits under this 
     chapter has not been terminated pursuant to section 4304.
       ``(2) Documentation of any matter referred to in paragraph 
     (1) that satisfies regulations prescribed by the Secretary 
     shall satisfy the documentation requirements in such 
     paragraph.
       ``(3)(A) Except as provided in subparagraph (B), the 
     failure of a person to provide documentation that satisfies 
     regulations prescribed pursuant to paragraph (2) shall not be 
     a basis for denying reemployment in accordance with the 
     provisions of this chapter if the failure occurs because such 
     documentation does not exist or is not readily available at 
     the time of the request of the employer. If, after such 
     reemployment, documentation becomes available that 
     establishes that such person does not meet one or more of the 
     requirements referred to in subparagraphs (A), (B), and (C) 
     of paragraph (1), the employer of such person may terminate 
     the employment of the person and the provision of any rights 
     or benefits afforded the person under this chapter.
       ``(B) An employer who reemploys a person absent from a 
     position of employment for more than 90 days may require that 
     the person provide the employer with the documentation 
     referred to in subparagraph (A) before beginning to treat the 
     person as not having incurred a break in service for pension 
     purposes under section 4318(a)(2)(A).
       ``(4) An employer may not delay or attempt to defeat a 
     reemployment obligation by demanding documentation that does 
     not then exist or is not then readily available.
       ``(g) The right of a person to reemployment under this 
     section shall not entitle such person to retention, 
     preference, or displacement rights over any person with a 
     superior claim under the provisions of title 5, United States 
     Code, relating to veterans and other preference eligibles.
       ``(h) In any determination of a person's entitlement to 
     protection under this chapter, the timing, frequency, and 
     duration of the person's training or service, or the nature 
     of such training or service (including voluntary service) in 
     the uniformed services, shall not be a basis for denying 
     protection of this chapter if the service does not exceed the 
     limitations set forth in subsection (c) and the notice 
     requirements established in subsection (a)(1) and the 
     notification requirements established in subsection (e) are 
     met.

     ``Sec. 4313. Reemployment positions

       ``(a) Subject to subsection (b) (in the case of any 
     employee) and sections 4314 and 4315 (in the case of an 
     employee of the Federal Government), a person entitled to 
     reemployment under section 4312, upon completion of a period 
     of service in the uniformed services, shall be promptly 
     reemployed in a position of employment in accordance with the 
     following order of priority:
       ``(1) Except as provided in paragraphs (3) and (4), in the 
     case of a person whose period of service in the uniformed 
     services was for less than 91 days--
       ``(A) in the position of employment in which the person 
     would have been employed if the continuous employment of such 
     person with the employer had not been interrupted by such 
     service, the duties of which the person is qualified to 
     perform; or
       ``(B) in the position of employment in which the person was 
     employed on the date of the commencement of the service in 
     the uniformed services, only if the person is not qualified 
     to perform the duties of the position referred to in 
     subparagraph (A) after reasonable efforts by the employer to 
     qualify the person.
       ``(2) Except as provided in paragraphs (3) and (4), in the 
     case of a person whose period of service in the uniformed 
     services was for more than 90 days--
       ``(A) in the position of employment in which the person 
     would have been employed if the continuous employment of such 
     person with the employer had not been interrupted by such 
     service, or a position of like seniority, status and pay, the 
     duties of which the person is qualified to perform; or
       ``(B) in the position of employment in which the person was 
     employed on the date of the commencement of the service in 
     the uniformed services, or a position of like seniority, 
     status and pay, the duties of which the person is qualified 
     to perform, only if the person is not qualified to perform 
     the duties of a position referred to in subparagraph (A) 
     after reasonable efforts by the employer to qualify the 
     person.
       ``(3) In the case of a person who has a disability incurred 
     in, or aggravated during, such service, and who (after 
     reasonable efforts by the employer to accommodate the 
     disability) is not qualified due to such disability to be 
     employed in the position of employment in which the person 
     would have been employed if the continuous employment of such 
     person with the employer had not been interrupted by such 
     service--
       ``(A) in any other position which is equivalent in 
     seniority, status, and pay, the duties of which the person is 
     qualified to perform or would become qualified to perform 
     with reasonable efforts by the employer; or
       ``(B) if not employed under subparagraph (A), in a position 
     which is the nearest approximation to a position referred to 
     in subparagraph (A) in terms of seniority, status, and pay 
     consistent with circumstances of such person's case.
       ``(4) In the case of a person who (A) is not qualified to 
     be employed in (i) the position of employment in which the 
     person would have been employed if the continuous employment 
     of such person with the employer had not been interrupted by 
     such service, or (ii) in the position of employment in which 
     such person was employed on the date of the commencement of 
     the service in the uniform services for any reason (other 
     than disability incurred in, or aggravated during, service in 
     the uniformed services), and (B) cannot become qualified with 
     reasonable efforts by the employer, in any other position of 
     lesser status and pay which such person is qualified to 
     perform, with full seniority.
       ``(b)(1) If two or more persons are entitled to 
     reemployment under section 4312 in the same position of 
     employment and more than one of them has reported for such 
     reemployment, the person who left the position first shall 
     have the prior right to reemployment in that position.
       ``(2) Any person entitled to reemployment under section 
     4312 who is not reemployed in a position of employment by 
     reason of paragraph (1) shall be entitled to be reemployed as 
     follows:
       ``(A) Except as provided in subparagraph (B), in any other 
     position of employment referred to in subsection (a)(1) or 
     (a)(2), as the case may be (in the order of priority set out 
     in the applicable subsection), that provides a similar status 
     and pay to a position of employment referred to in paragraph 
     (1) of this subsection, consistent with the circumstances of 
     such person's case, with full seniority.
       ``(B) In the case of a person who has a disability incurred 
     in, or aggravated during, a period of service in the 
     uniformed services that requires reasonable efforts by the 
     employer for the person to be able to perform the duties of 
     the position of employment, in any other position referred to 
     in subsection (a)(3) (in the order of priority set out in 
     that subsection) that provides a similar status and pay to a 
     position referred to in paragraph (1) of this subsection, 
     consistent with circumstances of such person's case, with 
     full seniority.

     ``Sec. 4314. Reemployment by the Federal Government

       ``(a) Except as provided in subsections (b), (c), and (d), 
     if a person is entitled to reemployment by the Federal 
     Government under section 4312, such person shall be 
     reemployed in a position of employment as described in 
     section 4313.
       ``(b)(1) If the Director of the Office of Personnel 
     Management makes a determination described in paragraph (2) 
     with respect to a person who was employed by a Federal 
     executive agency at the time the person entered the service 
     from which the person seeks reemployment under this section, 
     the Director shall--
       ``(A) identify a position of like seniority, status, and 
     pay at another Federal executive agency that satisfies the 
     requirements of section 4313 and for which the person is 
     qualified; and
       ``(B) ensure that the person is offered such position.
       ``(2) The Director shall carry out the duties referred to 
     in subparagraphs (A) and (B) of paragraph (1) if the Director 
     determines that--
       ``(A) the Federal executive agency that employed the person 
     referred to in such paragraph no longer exists and the 
     functions of such agency have not been transferred to another 
     Federal executive agency; or
       ``(B) it is impossible or unreasonable for the agency to 
     reemploy the person.
       ``(c) If the employer of a person described in subsection 
     (a) was, at the time such person entered the service from 
     which such person seeks reemployment under this section, a 
     part of the judicial branch or the legislative branch of the 
     Federal Government, and such employer determines that it is 
     impossible or unreasonable for such employer to reemploy such 
     person, such person shall, upon application to the Director 
     of the Office of Personnel Management, be ensured an offer of 
     employment in an alternative position in a Federal executive 
     agency on the basis described in subsection (b).
       ``(d) If the adjutant general of a State determines that it 
     is impossible or unreasonable to reemploy a person who was a 
     National Guard technician employed under section 709 of title 
     32, such person shall, upon application to the Director of 
     the Office of Personnel Management, be ensured an offer of 
     employment in an alternative position in a Federal executive 
     agency on the basis described in subsection (b).

     ``Sec.  4315. Reemployment by certain Federal agencies

       ``(a) The head of each agency referred to in section 
     2302(a)(2)(C)(ii) of title 5 shall prescribe procedures for 
     ensuring that the rights under this chapter apply to the 
     employees of such agency.
       ``(b) In prescribing procedures under subsection (a), the 
     head of an agency referred to in that subsection shall 
     ensure, to the maximum extent practicable, that the 
     procedures of the agency for reemploying persons who serve in 
     the uniformed services provide for the reemployment of such 
     persons in the agency in a manner similar to the manner of 
     reemployment described in section 4313.
       ``(c)(1) The procedures prescribed under subsection (a) 
     shall designate an official at the agency who shall determine 
     whether or not the reemployment of a person referred to in 
     subsection (b) by the agency is impossible or unreasonable.
       ``(2) Upon making a determination that the reemployment by 
     the agency of a person referred to in subsection (b) is 
     impossible or unreasonable, the official referred to in 
     paragraph (1) shall notify the person and the Director of the 
     Office of Personnel Management of such determination.
       ``(3) A determination pursuant to this subsection shall not 
     be subject to judicial review.
       ``(4) The head of each agency referred to in subsection (a) 
     shall submit to the Select Committee on Intelligence and the 
     Committee on Veterans' Affairs of the Senate and the 
     Permanent Select Committee on Intelligence and the Committee 
     on Veterans' Affairs of the House of Representatives on an 
     annual basis a report on the number of persons whose 
     reemployment with the agency was determined under this 
     subsection to be impossible or unreasonable during the year 
     preceding the report, including the reason for each such 
     determination.
       ``(d)(1) Except as provided in this section, nothing in 
     this section, section 4313, or section 4325 shall be 
     construed to exempt any agency referred to in subsection (a) 
     from compliance with any other substantive provision of this 
     chapter.
       ``(2) This section may not be construed--
       ``(A) as prohibiting an employee of an agency referred to 
     in subsection (a) from seeking information from the Secretary 
     regarding assistance in seeking reemployment from the agency 
     under this chapter, alternative employment in the Federal 
     Government under this chapter, or information relating to the 
     rights and obligations of employee and Federal agencies under 
     this chapter; or
       ``(B) as prohibiting such an agency from voluntarily 
     cooperating with or seeking assistance in or of clarification 
     from the Secretary or the Director of the Office of Personnel 
     Management of any matter arising under this chapter.
       ``(e) The Director of the Office of Personnel Management 
     shall ensure the offer of employment to a person in a 
     position in a Federal executive agency on the basis described 
     in subsection (b) if--
       ``(1) the person was an employee of an agency referred to 
     in section 2302(a)(2)(C)(ii) of title 5 at the time the 
     person entered the service from which the person seeks 
     reemployment under this section;
       ``(2) the appropriate officer of the agency determines 
     under subsection (c) that reemployment of the person by the 
     agency is impossible or unreasonable; and
       ``(3) the person submits an application to the Director for 
     an offer of employment under this subsection.

     ``Sec. 4316. Rights, benefits, and obligations of persons 
       absent from employment for service in a uniformed service

       ``(a) A person who is reemployed under this chapter is 
     entitled to the seniority and other rights and benefits 
     determined by seniority that the person had on the date of 
     the commencement of service in the uniformed services plus 
     the additional seniority and rights and benefits that such 
     person would have attained if the person had remained 
     continuously employed.
       ``(b)(1) Subject to paragraphs (2) through (6), a person 
     who is absent from a position of employment by reason of 
     service in the uniformed services shall be--
       ``(A) deemed to be on furlough or leave of absence while 
     performing such service; and
       ``(B) entitled to such other rights and benefits not 
     determined by seniority as are generally provided by the 
     employer of the person to employees having similar seniority, 
     status, and pay who are on furlough or leave of absence under 
     a contract, agreement, policy, practice, or plan in effect at 
     the commencement of such service or established while such 
     person performs such service.
       ``(2)(A) Subject to subparagraph (B), a person who--
       ``(i) is absent from a position of employment by reason of 
     service in the uniformed services, and
       ``(ii) knowingly provides written notice of intent not to 
     return to a position of employment after service in the 
     uniformed service,
     is not entitled to rights and benefits under paragraph 
     (1)(B).
       ``(B) For the purposes of subparagraph (A), the employer 
     shall have the burden of proving that a person knowingly 
     provided clear written notice of intent not to return to a 
     position of employment after service in the uniformed service 
     and, in doing so, was aware of the specific rights and 
     benefits to be lost under subparagraph (A).
       ``(3) A person deemed to be on furlough or leave of absence 
     under this subsection while serving in the uniformed services 
     shall not be entitled under this subsection to any benefits 
     to which the person would not otherwise be entitled if the 
     person had remained continuously employed.
       ``(4) Such person may be required to pay the employee cost, 
     if any, of any funded benefit continued pursuant to paragraph 
     (1) to the extent other employees on furlough or leave of 
     absence are so required.
       ``(5) The entitlement of a person to coverage under a 
     health plan is provided for under section 4317.
       ``(6) The entitlement of a person to a right or benefit 
     under an employee pension benefit plan is provided for under 
     section 4318.
       ``(c) A person who is reemployed by an employer under this 
     chapter shall not be discharged from such employment, except 
     for cause--
       ``(1) within one year after the date of such reemployment, 
     if the person's period of service before the reemployment was 
     more than 180 days; or
       ``(2) within 180 days after the date of such reemployment, 
     if the person's period of service before the reemployment was 
     more than 30 days but less than 181 days.
       ``(d) Any person whose employment with an employer is 
     interrupted by a period of service in the uniformed services 
     shall be permitted, upon request of that person, to use 
     during such period of service any vacation, annual, or 
     similar leave with pay accrued by the person before the 
     commencement of such service.

     ``Sec. 4317. Health plans

       ``(a)(1)(A) Subject to paragraphs (2) and (3), in any case 
     in which a person (or the person's dependents) has coverage 
     under a health plan in connection with the person's position 
     of employment, including a group health plan (as defined in 
     section 607(1) of the Employee Retirement Income Security Act 
     of 1974), and such person is absent from such position of 
     employment by reason of service in the uniformed services, 
     the plan shall provide that the person may elect to continue 
     such coverage as provided in this subsection. The maximum 
     period of coverage of a person and the person's dependents 
     under such an election shall be the lesser of--
       ``(i) the 18-month period beginning on the date on which 
     the person's absence begins; or
       ``(ii) the day after the date on which the person fails to 
     apply for or return to a position of employment, as 
     determined under section 4312(e).
       ``(B) A person who elects to continue health-plan coverage 
     under this paragraph may be required to pay not more than 102 
     percent of the full premium under the plan (determined in the 
     same manner as the applicable premium under section 
     4980B(f)(4) of the Internal Revenue Code of 1986) associated 
     with such coverage for the employer's other employees, except 
     that in the case of a person who performs service in the 
     uniformed services for less than 31 days, such person may not 
     be required to pay more than the employee share, if any, for 
     such coverage.
       ``(C) In the case of a health plan that is a multiemployer 
     plan, as defined in section 3(37) of the Employee Retirement 
     Income Security Act of 1974, any liability under the plan for 
     employer contributions and benefits arising under this 
     paragraph shall be allocated--
       ``(i) by the plan in such manner as the plan sponsor shall 
     provide; or
       ``(ii) if the sponsor does not provide--
       ``(I) to the last employer employing the person before the 
     period served by the person in the uniformed services, or
       ``(II) if such last employer is no longer functional, to 
     the plan.
       ``(b)(1) Except as provided in paragraph (2), in the case 
     of a person whose coverage under a health plan was terminated 
     by reason of service in the uniformed services, an exclusion 
     or waiting period may not be imposed in connection with the 
     reinstatement of such coverage upon reemployment under this 
     chapter if an exclusion or waiting period would not have been 
     imposed under health plan had coverage of such person by such 
     plan not been terminated as a result of such service. This 
     paragraph applies to the person who is reemployed and to any 
     individual who is covered by such plan by reason of the 
     reinstatement of the coverage of such person.
       ``(2) Paragraph (1) shall not apply to the coverage of any 
     illness or injury determined by the Secretary of Veterans 
     Affairs to have been incurred in, or aggravated during, 
     performance of service in the uniformed services.

     ``Sec. 4318. Employee pension benefit plans

       ``(a)(1)(A) Except as provided in subparagraph (B), in the 
     case of a right provided pursuant to an employee pension 
     benefit plan (including those described in sections 3(2) and 
     3(33) of the Employee Retirement Income Security Act of 1974) 
     or a right provided under any Federal or State law governing 
     pension benefits for governmental employees, the right to 
     pension benefits of a person reemployed under this chapter 
     shall be determined under this section.
       ``(B) In the case of benefits under the Thrift Savings 
     Plan, the rights of a person reemployed under this chapter 
     shall be those rights provided in section 8432b of title 5. 
     The first sentence of this subparagraph shall not be 
     construed to affect any other right or benefit under this 
     chapter.
       ``(2)(A) A person reemployed under this chapter shall be 
     treated as not having incurred a break in service with the 
     employer or employers maintaining the plan by reason of such 
     person's period or periods of service in the uniformed 
     services.
       ``(B) Each period served by a person in the uniformed 
     services shall, upon reemployment under this chapter, be 
     deemed to constitute service with the employer or employers 
     maintaining the plan for the purpose of determining the 
     nonforfeitability of the person's accrued benefits and for 
     the purpose of determining the accrual of benefits under the 
     plan.
       ``(b)(1) An employer reemploying a person under this 
     chapter shall, with respect to a period of service described 
     in subsection (a)(2)(B), be liable to an employee pension 
     benefit plan for funding any obligation of the plan to 
     provide the benefits described in subsection (a)(2) and shall 
     allocate the amount of any employer contribution for the 
     person in the same manner and to the same extent the 
     allocation occurs for other employees during the period of 
     service. For purposes of determining the amount of such 
     liability and any obligation of the plan, earnings and 
     forfeitures shall not be included. For purposes of 
     determining the amount of such liability and for purposes of 
     section 515 of the Employee Retirement Income Security Act of 
     1974 or any similar Federal or State law governing pension 
     benefits for governmental employees, service in the uniformed 
     services that is deemed under subsection (a) to be service 
     with the employer shall be deemed to be service with the 
     employer under the terms of the plan or any applicable 
     collective bargaining agreement. In the case of a 
     multiemployer plan, as defined in section 3(37) of the 
     Employee Retirement Income Security Act of 1974, any 
     liability of the plan described in this paragraph shall be 
     allocated--
       ``(A) by the plan in such manner as the sponsor maintaining 
     the plan shall provide; or
       ``(B) if the sponsor does not provide--
       ``(i) to the last employer employing the person before the 
     period served by the person in the uniformed services, or
       ``(ii) if such last employer is no longer functional, to 
     the plan.
       ``(2) A person reemployed under this chapter shall be 
     entitled to accrued benefits pursuant to subsection (a) that 
     are contingent on the making of, or derived from, employee 
     contributions or elective deferrals (as defined in section 
     402(g)(3) of the Internal Revenue Code of 1986) only to the 
     extent the person makes payment to the plan with respect to 
     such contributions or deferrals. No such payment may exceed 
     the amount the person would have been permitted or required 
     to contribute had the person remained continuously employed 
     by the employer throughout the period of service described in 
     subsection (a)(2)(B). Any payment to the plan described in 
     this paragraph shall be made during the period beginning with 
     the date of reemployment and whose duration is three times 
     the period of the person's service in the uniformed services, 
     not to exceed five years.
       ``(3) For purposes of computing an employer's liability 
     under paragraph (1) or the employee's contributions under 
     paragraph (2), the employee's compensation during the period 
     of service described in subsection (a)(2)(B) shall be 
     computed--
       ``(A) at the rate the employee would have received but for 
     the period of service described in subsection (a)(2)(B), or
       ``(B) in the case that the determination of such rate is 
     not reasonably certain, on the basis of the employee's 
     average rate of compensation during the 12-month period 
     immediately preceding such period (or, if shorter, the period 
     of employment immediately preceding such period).
       ``(c) Any employer who reemploys a person under this 
     chapter and who is an employer contributing to a 
     multiemployer plan, as defined in section 3(37) of the 
     Employee Retirement Income Security Act of 1974, under which 
     benefits are or may be payable to such person by reason of 
     the obligations set forth in this chapter, shall, within 30 
     days after the date of such reemployment, provide 
     information, in writing, of such reemployment to the 
     administrator of such plan.

     ``SUBCHAPTER III--PROCEDURES FOR ASSISTANCE, ENFORCEMENT, AND 
                             INVESTIGATION

     ``Sec. 4321. Assistance in obtaining reemployment or other 
       employment rights or benefits

       ``The Secretary (through the Veterans' Employment and 
     Training Service) shall provide assistance to any person with 
     respect to the employment and reemployment rights and 
     benefits to which such person is entitled under this chapter. 
     In providing such assistance, the Secretary may request the 
     assistance of existing Federal and State agencies engaged in 
     similar or related activities and utilize the assistance of 
     volunteers.

     ``Sec. 4322. Enforcement of employment or reemployment rights

       ``(a) A person who claims that--
       ``(1) such person is entitled under this chapter to 
     employment or reemployment rights or benefits with respect to 
     employment by an employer; and
       ``(2)(A) such employer has failed or refused, or is about 
     to fail or refuse, to comply with the provisions of this 
     chapter; or
       ``(B) in the case that the employer is a Federal executive 
     agency, such employer or the Office of Personnel Management 
     has failed or refused, or is about to fail or refuse, to 
     comply with the provisions of this chapter,
     may file a complaint with the Secretary in accordance with 
     subsection (b), and the Secretary shall investigate such 
     complaint.
       ``(b) Such complaint shall be in writing, be in such form 
     as the Secretary may prescribe, include the name and address 
     of the employer against whom the complaint is filed, and 
     contain a summary of the allegations that form the basis for 
     the complaint.
       ``(c) The Secretary shall, upon request, provide technical 
     assistance to a potential claimant with respect to a 
     complaint under this subsection, and when appropriate, to 
     such claimant's employer.
       ``(d) The Secretary shall investigate each complaint 
     submitted pursuant to subsection (a). If the Secretary 
     determines as a result of the investigation that the action 
     alleged in such complaint occurred, the Secretary shall 
     resolve the complaint by making reasonable efforts to ensure 
     that the person or entity named in the complaint complies 
     with the provisions of this chapter.
       ``(e) If the efforts of the Secretary with respect to a 
     complaint under subsection (d) are unsuccessful, the 
     Secretary shall notify the person who submitted the complaint 
     of--
       ``(1) the results of the Secretary's investigation; and
       ``(2) the complainant's entitlement to proceed under the 
     enforcement of rights provisions provided under section 4323 
     (in the case of a person submitting a complaint against a 
     State or private employer) or section 4324 (in the case of a 
     person submitting a complaint against a Federal executive 
     agency).
       ``(f) This subchapter does not apply to any action relating 
     to benefits to be provided under the Thrift Savings Plan 
     under title 5.

     ``Sec. 4323. Enforcement of rights with respect to a State or 
       private employer

       ``(a)(1) A person who receives from the Secretary a 
     notification pursuant to section 4322(e) of an unsuccessful 
     effort to resolve a complaint relating to a State (as an 
     employer) or a private employer may request that the 
     Secretary refer the complaint to the Attorney General. If the 
     Attorney General is reasonably satisfied that the person on 
     whose behalf the complaint is referred is entitled to the 
     rights or benefits sought, the Attorney General may appear on 
     behalf of, and act as attorney for, the person on whose 
     behalf the complaint is submitted and commence an action for 
     appropriate relief for such person in an appropriate United 
     States district court.
       ``(2) A person may commence an action for relief with 
     respect to a complaint if that person--
       ``(A) has chosen not to apply to the Secretary for 
     assistance regarding the complaint under section 4322(c);
       ``(B) has chosen not to request that the Secretary refer 
     the complaint to the Attorney General under paragraph (1); or
       ``(C) has been refused representation by the Attorney 
     General with respect to the complaint under such paragraph.
       ``(b) In the case of an action against a State as an 
     employer, the appropriate district court is the court for any 
     district in which the State exercises any authority or 
     carries out any function. In the case of a private employer 
     the appropriate district court is the district court for any 
     district in which the private employer of the person 
     maintains a place of business.
       ``(c)(1)(A) The district courts of the United States shall 
     have jurisdiction, upon the filing of a complaint, motion, 
     petition, or other appropriate pleading by or on behalf of 
     the person claiming a right or benefit under this chapter--
       ``(i) to require the employer to comply with the provisions 
     of this chapter;
       ``(ii) to require the employer to compensate the person for 
     any loss of wages or benefits suffered by reason of such 
     employer's failure to comply with the provisions of this 
     chapter; and
       ``(iii) to require the employer to pay the person an amount 
     equal to the amount referred to in clause (ii) as liquidated 
     damages, if the court determines that the employer's failure 
     to comply with the provisions of this chapter was willful.
       ``(B) Any compensation under clauses (ii) and (iii) of 
     subparagraph (A) shall be in addition to, and shall not 
     diminish, any of the other rights and benefits provided for 
     in this chapter.
       ``(2)(A) No fees or court costs shall be charged or taxed 
     against any person claiming rights under this chapter.
       ``(B) In any action or proceeding to enforce a provision of 
     this chapter by a person under subsection (a)(2) who obtained 
     private counsel for such action or proceeding, the court may 
     award any such person who prevails in such action or 
     proceeding reasonable attorney fees, expert witness fees, and 
     other litigation expenses.
       ``(3) The court may use its full equity powers, including 
     temporary or permanent injunctions, temporary restraining 
     orders, and contempt orders, to vindicate fully the rights or 
     benefits of persons under this chapter.
       ``(4) An action under this chapter may be initiated only by 
     a person claiming rights or benefits under this chapter, not 
     by an employer, prospective employer, or other entity with 
     obligations under this chapter.
       ``(5) In any such action, only an employer or a potential 
     employer, as the case may be, shall be a necessary party 
     respondent.
       ``(6) No State statute of limitations shall apply to any 
     proceeding under this chapter.
       ``(7) A State shall be subject to the same remedies, 
     including prejudgment interest, as may be imposed upon any 
     private employer under this section.

     ``Sec. 4324. Enforcement of rights with respect to Federal 
       executive agencies

       ``(a)(1) A person who receives from the Secretary a 
     notification pursuant to section 4322(e) of an unsuccessful 
     effort to resolve a complaint relating to a Federal executive 
     agency may request that the Secretary refer the complaint for 
     litigation before the Merit Systems Protection Board. The 
     Secretary shall refer the complaint to the Office of Special 
     Counsel established by section 1211 of title 5.
       ``(2)(A) If the Special Counsel is reasonably satisfied 
     that the person on whose behalf a complaint is referred under 
     paragraph (1) is entitled to the rights or benefits sought, 
     the Special Counsel (upon the request of the person 
     submitting the complaint) may appear on behalf of, and act as 
     attorney for, the person and initiate an action regarding 
     such complaint before the Merit Systems Protection Board.
       ``(B) If the Special Counsel declines to initiate an action 
     and represent a person before the Merit Systems Protection 
     Board under subparagraph (A), the Special Counsel shall 
     notify such person of that decision.
       ``(b) A person may submit a complaint against a Federal 
     executive agency under this subchapter directly to the Merit 
     Systems Protection Board if that person--
       ``(1) has chosen not to apply to the Secretary for 
     assistance regarding a complaint under section 4322(c);
       ``(2) has received a notification from the Secretary under 
     section 4322(e);
       ``(3) has chosen not to be represented before the Board by 
     the Special Counsel pursuant to subsection (a)(2)(A); or
       ``(4) has received a notification of a decision from the 
     Special Counsel under subsection (a)(2)(B).
       ``(c)(1) The Merit Systems Protection Board shall 
     adjudicate any complaint brought before the Board pursuant to 
     subsection (a)(2)(A) or (b). A person who seeks a hearing or 
     adjudication by submitting such a complaint under this 
     paragraph may be represented at such hearing or adjudication 
     in accordance with the rules of the Board.
       ``(2) If the Board determines that a Federal executive 
     agency has not complied with the provisions of this chapter 
     relating to the employment or reemployment of a person by the 
     agency, the Board shall enter an order requiring the agency 
     or employee to comply with such provisions and to compensate 
     such person for any loss of wages or benefits suffered by 
     such person by reason of such lack of compliance.
       ``(3) Any compensation received by a person pursuant to an 
     order under paragraph (2) shall be in addition to any other 
     right or benefit provided for by this chapter and shall not 
     diminish any such right or benefit.
       ``(4) If the Board determines as a result of a hearing or 
     adjudication conducted pursuant to a complaint submitted by a 
     person directly to the Board pursuant to subsection (b) that 
     such person is entitled to an order referred to in paragraph 
     (2), the Board may, in its discretion, award such person 
     reasonable attorney fees, expert witness fees, and other 
     litigation expenses.
       ``(d)(1) A person adversely affected or aggrieved by a 
     final order or decision of the Merit Systems Protection Board 
     under subsection (c) may petition the United States Court of 
     Appeals for the Federal Circuit to review the final order or 
     decision. Such petition and review shall be in accordance 
     with the procedures set forth in section 7703 of title 5.
       ``(2) Such person may be represented in the Federal Circuit 
     proceeding by the Special Counsel unless the person was not 
     represented by the Special Counsel before the Merit Systems 
     Protection Board regarding such order or decision.

     ``Sec. 4325. Enforcement of rights with respect to certain 
       Federal agencies

       ``(a) This section applies to any person who alleges that--
       ``(1) the reemployment of such person by an agency referred 
     to in subsection (a) of section 4315 was not in accordance 
     with procedures for the reemployment of such person under 
     subsection (b) of such section; or
       ``(2) the failure of such agency to reemploy the person 
     under such section was otherwise wrongful.
       ``(b) Any person referred to in subsection (a) may submit a 
     claim relating to an allegation referred to in that 
     subsection to the inspector general of the agency which is 
     the subject of the allegation. The inspector general shall 
     investigate and resolve the allegation pursuant to procedures 
     prescribed by the head of the agency.
       ``(c) In prescribing procedures for the investigation and 
     resolution of allegations under subsection (b), the head of 
     an agency shall ensure, to the maximum extent practicable, 
     that the procedures are similar to the procedures for 
     investigating and resolving complaints utilized by the 
     Secretary under section 4322(d).
       ``(d) This section may not be construed--
       ``(1) as prohibiting an employee of an agency referred to 
     in subsection (a) from seeking information from the Secretary 
     regarding assistance in seeking reemployment from the agency 
     under this chapter, alternative employment in the Federal 
     Government under this chapter, or information relating to the 
     rights and obligations of employee and Federal agencies under 
     this chapter; or
       ``(2) as prohibiting such an agency from voluntarily 
     cooperating with or seeking assistance in or of clarification 
     from the Secretary or the Director of the Office of Personnel 
     Management of any matter arising under this chapter.

     ``Sec. 4326. Conduct of investigation; subpoenas

       ``(a) In carrying out any investigation under this chapter, 
     the Secretary's duly authorized representatives shall, at all 
     reasonable times, have reasonable access to, for purposes of 
     examination, and the right to copy and receive, any documents 
     of any person or employer that the Secretary considers 
     relevant to the investigation.
       ``(b) In carrying out any investigation under this chapter, 
     the Secretary may require by subpoena the attendance and 
     testimony of witnesses and the production of documents 
     relating to any matter under investigation. In case of 
     disobedience of the subpoena or contumacy and on request of 
     the Secretary, the Attorney General may apply to any district 
     court of the United States in whose jurisdiction such 
     disobedience or contumacy occurs for an order enforcing the 
     subpoena.
       ``(c) Upon application, the district courts of the United 
     States shall have jurisdiction to issue writs commanding any 
     person or employer to comply with the subpoena of the 
     Secretary or to comply with any order of the Secretary made 
     pursuant to a lawful investigation under this chapter and the 
     district courts shall have jurisdiction to punish failure to 
     obey a subpoena or other lawful order of the Secretary as a 
     contempt of court.
       ``(d) Subsections (b) and (c) shall not apply to the 
     legislative branch or the judicial branch of the United 
     States.

               ``SUBCHAPTER IV--MISCELLANEOUS PROVISIONS

     ``Sec. 4331. Regulations

       ``(a) The Secretary (in consultation with the Secretary of 
     Defense) may prescribe regulations implementing the 
     provisions of this chapter with regard to the application of 
     this chapter to States, local governments, and private 
     employers.
       ``(b)(1) The Director of the Office of Personnel Management 
     (in consultation with the Secretary and the Secretary of 
     Defense) may prescribe regulations implementing the 
     provisions of this chapter with regard to the application of 
     this chapter to Federal executive agencies (other than the 
     agencies referred to in paragraph (2)) as employers. Such 
     regulations shall be consistent with the regulations 
     pertaining to the States as employers and private employers, 
     except that employees of the Federal Government may be given 
     greater or additional rights.
       ``(2) The following entities may prescribe regulations to 
     carry out the activities of such entities under this chapter:
       ``(A) The Merit Systems Protection Board.
       ``(B) The Office of Special Counsel.
       ``(C) The agencies referred to in section 2303(a)(2)(C)(ii) 
     of title 5.

     ``Sec. 4332. Reports

       ``The Secretary shall, after consultation with the Attorney 
     General and the Special Counsel referred to in section 
     4324(a)(1) and no later than February 1, 1996, and annually 
     thereafter through 2000, transmit to the Congress, a report 
     containing the following matters for the fiscal year ending 
     before such February 1:
       ``(1) The number of cases reviewed by the Department of 
     Labor under this chapter during the fiscal year for which the 
     report is made.
       ``(2) The number of cases referred to the Attorney General 
     or the Special Counsel pursuant to section 4323 or 4324, 
     respectively, during such fiscal year.
       ``(3) The number of complaints filed by the Attorney 
     General pursuant to section 4323 during such fiscal year.
       ``(4) The nature and status of each case reported on 
     pursuant to paragraph (1), (2), or (3).
       ``(5) An indication of whether there are any apparent 
     patterns of violation of the provisions of this chapter, 
     together with an explanation thereof.
       ``(6) Recommendations for administrative or legislative 
     action that the Secretary, the Attorney General, or the 
     Special Counsel considers necessary for the effective 
     implementation of this chapter, including any action that 
     could be taken to encourage mediation, before claims are 
     filed under this chapter, between employers and persons 
     seeking employment or reemployment.

     ``Sec.  4333. Outreach

       ``The Secretary, the Secretary of Defense, and the 
     Secretary of Veterans Affairs shall take such actions as such 
     Secretaries determine are appropriate to inform persons 
     entitled to rights and benefits under this chapter and 
     employers of the rights, benefits, and obligations of such 
     persons and such employers under this chapter.''.
       (b) Conforming Amendments.--
       (1) Amendments to title 38.--The tables of chapters at the 
     beginning of title 38, United States Code, and the beginning 
     of part III of such title are each amended by striking out 
     the item relating to chapter 43 and inserting in lieu thereof 
     the following:
``43. Employment and reemployment rights of members of the uniformed 
  services......................................................4301''.
       (2) Amendment to title 5.--(A) Section 1204(a)(1) of title 
     5, United States Code, is amended by striking out ``section 
     4323'' and inserting in lieu thereof ``chapter 43''.
       (B) Subchapter II of chapter 35 of such title is repealed.
       (C) The table of sections for chapter 35 of such title is 
     amended by striking out the heading relating to subchapter II 
     of such chapter and the item relating to section 3551 of such 
     chapter.
       (3) Amendment to title 10.--Section 706(c)(1) of title 10, 
     United States Code, is amended by striking out ``section 
     4321'' and inserting in lieu thereof ``chapter 43''.
       (c) Amendments to Title 28.--Section 631 of title 28, 
     United States Code, is amended--
       (1) by striking out subsection (j);
       (2) by redesignating subsections (k) and (l) as subsections 
     (j) and (k), respectively; and
       (3) in subsection (j), as redesignated by paragraph (2), by 
     striking out ``under the terms of'' and all that follows 
     through ``section,'' the first place it appears and inserting 
     in lieu thereof ``under chapter 43 of title 38,''.

     SEC. 3. EXEMPTION FROM MINIMUM SERVICE REQUIREMENTS.

       Section 5303A(b)(3) of title 38, United States Code, is 
     amended--
       (1) by striking out ``or'' at the end of subparagraph (E);
       (2) by striking out the period at the end of subparagraph 
     (F) and inserting in lieu thereof ``; or''; and
       (3) by adding at the end thereof the following new 
     subparagraph:
       ``(G) to benefits under chapter 43 of this title.''.

     SEC. 4. THRIFT SAVINGS PLAN.

       (a) In General.--(1) Title 5, United States Code, is 
     amended by inserting after section 8432a the following:

     ``Sec. 8432b. Contributions of persons who perform military 
       service

       ``(a) This section applies to any employee who--
       ``(1) separates or enters leave-without-pay status in order 
     to perform military service; and
       ``(2) is subsequently restored to or reemployed in a 
     position which is subject to this chapter, pursuant to 
     chapter 43 of title 38.
       ``(b)(1) Each employee to whom this section applies may 
     contribute to the Thrift Savings Fund, in accordance with 
     this subsection, an amount not to exceed the amount described 
     in paragraph (2).
       ``(2) The maximum amount which an employee may contribute 
     under this subsection is equal to--
       ``(A) the contributions under section 8432(a) which would 
     have been made, over the period beginning on date of 
     separation or commencement of leave-without-pay status (as 
     applicable) and ending on the day before the date of 
     restoration or reemployment (as applicable); reduced by
       ``(B) any contributions under section 8432(a) actually made 
     by such employee over the period described in subparagraph 
     (A).
       ``(3) Contributions under this subsection--
       ``(A) shall be made at the same time and in the same manner 
     as would any contributions under section 8432(a);
       ``(B) shall be made over the period of time specified by 
     the employee under paragraph (4)(B); and
       ``(C) shall be in addition to any contributions then 
     actually being made under section 8432(a).
       ``(4) The Executive Director shall prescribe the time, 
     form, and manner in which an employee may specify--
       ``(A) the total amount such employee wishes to contribute 
     under this subsection with respect to any particular period 
     referred to in paragraph (2)(B); and
       ``(B) the period of time over which the employee wishes to 
     make contributions under this subsection.
     The employing agency may place a maximum limit on the period 
     of time referred to in subparagraph (B), which cannot be 
     shorter than two times the period referred to in paragraph 
     (2)(B) and not longer than four times such period.
       ``(c) If an employee makes contributions under subsection 
     (b), the employing agency shall make contributions to the 
     Thrift Savings Fund on such employee's behalf--
       ``(1) in the same manner as would be required under section 
     8432(c)(2) if the employee contributions were being made 
     under section 8432(a); and
       ``(2) disregarding any contributions then actually being 
     made under section 8432(a) and any agency contributions 
     relating thereto.
       ``(d) An employee to whom this section applies is entitled 
     to have contributed to the Thrift Savings Fund on such 
     employee's behalf an amount equal to--
       ``(1) 1 percent of such employee's basic pay (as determined 
     under subsection (e)) for the period referred to in 
     subsection (b)(2)(B); reduced by
       ``(2) any contributions actually made on such employee's 
     behalf under section 8432(c)(1) with respect to the period 
     referred to in subsection (b)(2)(B).
       ``(e) For purposes of any computation under this section, 
     an employee shall, with respect to the period referred to in 
     subsection (b)(2)(B), be considered to have been paid at the 
     rate which would have been payable over such period had such 
     employee remained continuously employed in the position which 
     such employee last held before separating or entering leave-
     without-pay status to perform military service.
       ``(f)(1) The employing agency may be required to pay lost 
     earnings on contributions made pursuant to subsections (c) 
     and (d). Such earnings, if required, shall be calculated 
     retroactively to the date the contribution would have been 
     made had the employee not separated or entered leave without 
     pay status to perform military service.
       ``(2) Procedures for calculating and crediting the earnings 
     payable pursuant to paragraph (1) shall be prescribed by the 
     Executive Director.
       ``(g) Amounts paid under subsection (c), (d), or (f) shall 
     be paid--
       ``(1) by the agency to which the employee is restored or in 
     which such employee is reemployed;
       ``(2) from the same source as would be the case under 
     section 8432(e) with respect to sums required under section 
     8432(c); and
       ``(3) within the time prescribed by the Executive Director.
       ``(h)(1) For purposes of section 8432(g), in the case of an 
     employee to whom this section applies--
       ``(A) a separation from civilian service in order to 
     perform the military service on which the employee's 
     restoration or reemployment rights are based shall be 
     disregarded; and
       ``(B) such employee shall be credited with a period of 
     civilian service equal to the period referred to in 
     subsection (b)(2)(B).
       ``(2)(A) An employee to whom this section applies may 
     elect, for purposes of section 8433(d), or paragraph (1) or 
     (2) of section 8433(h), as the case may be, to have such 
     employee's separation (described in subsection (a)(1)) 
     treated as if it had never occurred.
       ``(B) An election under this paragraph shall be made within 
     such period of time after restoration or reemployment (as the 
     case may be) and otherwise in such manner as the Executive 
     Director prescribes.
       ``(i) The Executive Director shall prescribe regulations to 
     carry out this section.''.
       (2) The table of sections for chapter 84 of title 5, United 
     States Code, is amended by inserting after the item relating 
     to section 8432a the following:

``8432b. Contributions of persons who perform military service.''.

       (b) Preservation of Certain Rights.--(1) Section 8433(d) of 
     title 5, United States Code, is amended by striking 
     ``subsection (e).'' and inserting ``subsection (e), unless an 
     election under section 8432b(h)(2) is made to treat such 
     separation for purposes of this subsection as if it had never 
     occurred.''.
       (2) Paragraphs (1) and (2) of section 8433(h) are each 
     amended by striking the period at the end and inserting ``, 
     or unless an election under section 8432b(h)(2) is made to 
     treat such separation for purposes of this paragraph as if it 
     had never occurred.''.
       (c) Election To Resume Regular Contributions Upon 
     Restoration or Reemployment.--Section 8432 of title 5, United 
     States Code, is amended by adding at the end the following:
       ``(i)(1) This subsection applies to any employee--
       ``(A) to whom section 8432b applies; and
       ``(B) who, during the period of such employee's absence 
     from civilian service (as referred to in section 
     8432b(b)(2)(B))--
       ``(i) is eligible to make an election described in 
     subsection (b)(1); or
       ``(ii) would be so eligible but for having either elected 
     to terminate individual contributions to the Thrift Savings 
     Fund within 2 months before commencing military service or 
     separated in order to perform military service.
       ``(2) The Executive Director shall prescribe regulations to 
     ensure that any employee to whom this subsection applies 
     shall, within a reasonable time after being restored or 
     reemployed (in the manner described in section 8432b(a)(2)), 
     be afforded the opportunity to make, for purposes of this 
     section, any election which would be allowable during a 
     period described in subsection (b)(1)(A).''.
       (d) Applicability to Employees Under CSRS.--Section 8351(b) 
     of title 5, United States Code, is amended by adding at the 
     end the following:
       ``(11) In applying section 8432b to an employee 
     contributing to the Thrift Savings Fund after being restored 
     to or reemployed in a position subject to this subchapter, 
     pursuant to chapter 43 of title 38--
       ``(A) any reference in such section to contributions under 
     section 8432(a) shall be considered a reference to employee 
     contributions under this section;
       ``(B) the contribution rate under section 8432b(b)(2)(A) 
     shall be the maximum percentage allowable under subsection 
     (b)(2) of this section; and
       ``(C) subsections (c) and (d) of section 8432b shall be 
     disregarded.''.
       (e) Effective Date; Applicability.--This section and the 
     amendments made by this section--
       (1) shall take effect on the date of enactment of this Act; 
     and
       (2) shall apply to any employee whose release from military 
     service, discharge from hospitalization, or other similar 
     event making the individual eligible to seek restoration or 
     reemployment under chapter 43 of title 38, United States 
     Code, occurs on or after August 2, 1990.
       (f) Rules for Applying Amendments to Employees Restored or 
     Reemployed Before Effective Date.--In the case of any 
     employee (described in subsection (e)(2)) who is reemployed 
     or restored (in the circumstances described in section 
     8432b(a) of title 5, United States Code, as amended by this 
     section) before the date of enactment of this Act, the 
     amendments made by this section shall apply to such employee, 
     in accordance with their terms, subject to the following:
       (1) The employee shall be deemed not to have been 
     reemployed or restored until--
       (A) the date of enactment of this Act, or
       (B) the first day following such employee's reemployment or 
     restoration on which such employee is or was eligible to make 
     an election relating to contributions to the Thrift Savings 
     Fund,
     whichever occurs or occurred first.
       (2) If the employee changed agencies during the period 
     between date of actual reemployment or restoration and the 
     date of enactment of this Act, the employing agency as of 
     such date of enactment shall be considered the reemploying or 
     restoring agency.
       (3)(A) For purposes of any computation under section 8432b 
     of such title, pay shall be determined in accordance with 
     subsection (e) of such section, except that, with respect to 
     the period described in subparagraph (B), actual pay 
     attributable to such period shall be used.
       (B) The period described in this subparagraph is the period 
     beginning on the first day of the first applicable pay period 
     beginning on or after the date of the employee's actual 
     reemployment or restoration and ending on the day before the 
     date determined under paragraph (1).
       (4) Deem section 8432b(b)(2)(A) of such title to be amended 
     by striking ``ending on the day before the date of 
     restoration or reemployment (as applicable)'' and inserting 
     ``ending on the date determined under section 4(f)(1) of the 
     Uniformed Services Employment and Reemployment Rights Act of 
     1994''.

     SEC. 5. REVISION OF FEDERAL CIVIL SERVICE RETIREMENT BENEFIT 
                   PROGRAM FOR RESERVISTS.

       (a) Creditable Military Service Under CSRS.--Section 
     8331(13) of title 5, United States Code, is amended in the 
     flush matter by inserting ``or full-time National Guard duty 
     (as such term is defined in section 101(d) of title 10) if 
     such service interrupts creditable civilian service under 
     this subchapter and is followed by reemployment in accordance 
     with chapter 43 of title 38 that occurs on or after August 1, 
     1990'' before the semicolon.
       (b) Pay Deductions for Military Service Under CSRS.--
     Section 8334(j) of such title is amended--
       (1) in paragraph (1)--
       (A) by striking ``Each employee'' and inserting ``(A) 
     Except as provided in subparagraph (B), each employee''; and
       (B) by adding at the end the following:
       ``(B) In any case where military service interrupts 
     creditable civilian service under this subchapter and 
     reemployment pursuant to chapter 43 of title 38 occurs on or 
     after August 1, 1990, the deposit payable under this 
     paragraph may not exceed the amount that would have been 
     deducted and withheld under subsection (a)(1) from basic pay 
     during civilian service if the employee had not performed the 
     period of military service.''; and
       (2) in paragraph (2), immediately before the comma at the 
     end of subparagraph (B), by inserting ``following the period 
     of military service for which such deposit is due''.
       (c) Creditable Military Service Under FERS.--Section 
     8401(31) of such title is amended in the flush matter by 
     inserting ``or full-time National Guard duty (as such term is 
     defined in section 101(d) of title 10) if such service 
     interrupts creditable civilian service under this subchapter 
     and is followed by reemployment in accordance with chapter 43 
     of title 38 that occurs on or after August 1, 1990'' before 
     the semicolon.
       (d) Pay Deductions for Military Service Under FERS.--
     Section 8422(e) of such title is amended--
       (1) in paragraph (1)--
       (A) by striking ``Each employee'' and inserting ``(A) 
     Except as provided in subparagraph (B), each employee''; and
       (B) by adding at the end the following:
       ``(B) In any case where military service interrupts 
     creditable civilian service under this subchapter and 
     reemployment pursuant to chapter 43 of title 38 occurs on or 
     after August 1, 1990, the deposit payable under this 
     paragraph may not exceed the amount that would have been 
     deducted and withheld under subsection (a)(1) from basic pay 
     during civilian service if the employee had not performed the 
     period of military service.''; and
       (2) in paragraph (2), immediately before the comma at the 
     end of subparagraph (B), by inserting ``following the period 
     of military service for which such deposit is due''.
       (e) Technical Amendments.--Title 5, United States Code, is 
     amended as follows:
       (1) In section 8401(11), by striking out ``1954'' in the 
     flush matter above clause (i) and inserting in lieu thereof 
     ``1986''.
       (2) In section 8422(a)(2)(A)(ii), by striking out ``1954'' 
     and inserting in lieu thereof ``1986''.
       (3) In section 8432(d), by striking out ``1954'' in the 
     first sentence and inserting in lieu thereof ``1986''.
       (4) In section 8433(i)(4), by striking out ``1954'' and 
     inserting in lieu thereof ``1986''.
       (5) In section 8440--
       (A) by striking out ``1954'' in subsection (a) and 
     inserting in lieu thereof ``1986''; and
       (B) by striking out ``1954'' in subsection (c) and 
     inserting in lieu thereof ``1986''.

     SEC. 6. TECHNICAL AMENDMENT.

       (a) Technical Amendment.--Section 9(d) of Public Law 102-16 
     (105 Stat. 55) is amended by striking out ``Act'' the first 
     place it appears and inserting in lieu thereof ``section''.
       (b) Effective Date.--The amendment made by subsection (a) 
     shall take effect as if included in Public Law 102-16 to 
     which such amendment relates.

     SEC. 7. INCREASE IN AMOUNT OF LOAN GUARANTY FOR LOANS FOR THE 
                   PURCHASE OR CONSTRUCTION OF HOMES.

       Subparagraphs (A)(i)(IV) and (B) of section 3703(a)(1) of 
     title 38, United States Code, are each amended by striking 
     out ``$46,000'' and inserting in lieu thereof ``$50,750''.

     SEC. 8. TRANSITION RULES AND EFFECTIVE DATES.

       (a) Reemployment.--(1) Except as otherwise provided in this 
     Act, the amendments made by this Act shall be effective with 
     respect to reemployments initiated on or after the first day 
     after the 60-day period beginning on the date of enactment of 
     this Act.
       (2) The provisions of chapter 43 of title 38, United States 
     Code, in effect on the day before such date of enactment, 
     shall continue to apply to reemployments initiated before the 
     end of such 60-day period.
       (3) In determining the number of years of service that may 
     not be exceeded in an employee-employer relationship with 
     respect to which a person seeks reemployment under chapter 43 
     of title 38, United States Code, as in effect before or after 
     the date of enactment of this Act, there shall be included 
     all years of service without regard to whether the periods of 
     service occurred before or after such date of enactment 
     unless the period of service is exempted by the chapter 43 
     that is applicable, as provided in paragraphs (1) and (2), to 
     the reemployment concerned.
       (4) A person who initiates reemployment under chapter 43 of 
     title 38, United States Code, during or after the 60-day 
     period beginning on the date of enactment of this Act and 
     whose reemployment is made in connection with a period of 
     service in the uniformed services that was initiated before 
     the end of such period shall be deemed to have satisfied the 
     notification requirement of section 4312(a)(1) of title 38, 
     United States Code, as provided in the amendments made by 
     this Act, if the person complied with any applicable notice 
     requirement under chapter 43, United States Code, as in 
     effect on the day before the date of enactment of this Act.
       (b) Discrimination.--The provisions of section 4311 of 
     title 38, United States Code, as provided in the amendments 
     made by this Act, and the provisions of subchapter III of 
     chapter 43 of such title, as provided in the amendments made 
     by this Act, that are necessary for the implementation of 
     such section 4311 shall become effective on the date of 
     enactment of this Act.
       (c) Insurance.--(1) The provisions of section 4316 of title 
     38, United States Code, as provided in the amendments made by 
     this Act, concerning insurance coverage (other than health) 
     shall become effective with respect to furloughs or leaves of 
     absence initiated on or after the date of enactment of this 
     Act.
       (2) With respect to the provisions of section 4317 of title 
     38, United States Code, as provided in the amendments made by 
     this Act, a person on active duty on the date of enactment of 
     this Act, or a family member or personal representative of 
     such person, may, after the date of enactment of this Act, 
     elect to reinstate or continue a health plan as provided in 
     such section 4317. If such an election is made, the health 
     plan shall remain in effect for the remaining portion of the 
     18-month period that began on the date of such person's 
     separation from civilian employment or the period of the 
     person's service in the uniformed service, whichever is the 
     period of lesser duration.
       (d) Disability.--(1) Section 4313(a)(3) of chapter 43 of 
     title 38, United States Code, as provided in the amendments 
     made by this Act, shall apply to reemployments initiated on 
     or after August 1, 1990.
       (2) Effective as of August 1, 1990, section 4307 of title 
     38, United States Code (as in effect on the date of enactment 
     of this Act), is repealed, and the table of sections at the 
     beginning of chapter 43 of such title (as in effect on the 
     date of enactment of this Act) is amended by striking out the 
     item relating to section 4307.
       (e) Investigations and Subpoenas.--The provisions of 
     section 4326 of title 38, United States Code, as provided in 
     the amendments made by this Act, shall become effective on 
     the date of the enactment of this Act and apply to any matter 
     pending with the Secretary of Labor under section 4305 of 
     title 38, United States Code, as of that date.
       (f) Previous Actions.--Except as otherwise provided, the 
     amendments made by this Act do not affect reemployments that 
     were initiated, rights, benefits, and duties that matured, 
     penalties that were incurred, and proceedings that begin 
     before the end of the 60-day period referred to in subsection 
     (a).
       (g) Rights and Benefits Relative to Notice of Intent Not To 
     Return.--Section 4316(b)(2) of title 38, United States Code, 
     as added by the amendments made by this Act, applies only to 
     the rights and benefits provided in section 4316(b)(1)(B) and 
     does not apply to any other right or benefit of a person 
     under chapter 43 of title 38, United States Code. Such 
     section shall apply only to persons who leave a position of 
     employment for service in the uniformed services more than 60 
     days after the date of enactment of this Act.
       (h) Employer Pension Benefit Plans.--(1) Nothing in this 
     Act shall be construed to relieve an employer of an 
     obligation to provide contributions to a pension plan (or 
     provide pension benefits), or to relieve the obligation of a 
     pension plan to provide pension benefits, which is required 
     by the provisions of chapter 43 of title 38, United States 
     Code, in effect on the day before this Act takes effect.
       (2) If any employee pension benefit plan is not in 
     compliance with section 4318 of such title or paragraph (1) 
     of this subsection on the date of enactment of this Act, such 
     plan shall have two years to come into compliance with such 
     section and paragraph.
       (i) Definition.--For the purposes of this section, the term 
     ``service in the uniformed services'' shall have the meaning 
     given such term in section 4303(13) of title 38, United 
     States Code, as provided in the amendments made by this Act.
  Mr. ROCKEFELLER. Madam President, as chairman of the Committee on 
Veterans' Affairs, I am enormously pleased that the Senate is about to 
take final action on H.R. 995, the proposed Uniformed Services 
Employment and Reemployment Rights Act of 1994, legislation which would 
revise and improve the Veterans Reemployment Rights [VRR] law, found in 
chapter 43 of title 38, United States Code, this is the final 
legislative action in an effort that dates back to the early days of 
the last Congress.
  The pending measure, H.R. 995, with a House amendment to the Senate 
amendment to the original House bill, represents a compromise agreement 
that the Veterans' Affairs Committees of the House of Representatives 
and Senate have reached on H.R. 995 as originally passed by the House 
on May 4, 1993, and as passed by the Senate on November 8, 1993. This 
measure, which I will refer to as the compromise agreement, would, as 
would the original House and senate versions in somewhat different 
ways, completely revise chapter 43 of title 38, United States Code, in 
order to clarify VRR law provisions and to make improvements in various 
aspects of this over-50-year-old law. The VRR law has as its core 
principle ensuring that an individual who enters the military for a 
short period of service can return to the civilian job held before 
entering service and can do so with no loss of seniority or benefits 
based on seniority.
  Madam President, the House passed this compromise agreement on 
September 13, 1994, and I urge my colleagues to give this measure their 
unanimous support and send it to the White House for the President's 
signature.


                               background

  Madam President, the VRR law, first enacted in 1940, provides job 
security to employees who leave their civilian jobs in order to enter 
active military service, voluntarily or involuntarily. Within certain 
limits, the law generally entitles an individual who serves in the 
military to return to his or her former civilian job after being 
discharged or released from active duty under honorable conditions. For 
purposes of seniority, status, and pay, the employee is entitled to be 
treated as though he or she never left. The effect of this law is often 
characterized as enabling the returning veteran to step back on the 
seniority escalator at the point he or she would have occupied without 
interruption for military service. The law applies both to active-duty 
service and to training periods served by reservists and members of the 
National Guard.
  The VRR law is intended to encourage noncareer service in the 
uniformed services by eliminating or minimizing the disadvantages to 
civilian careers and employment which occur as a result of such 
service. The pending measure would help ensure that the VRR law 
effectively and fairly continues to serve this historical purpose.
  The compromise agreement is also aimed at clarifying the VRR law. It 
is important that both employees and employers be able to understand 
this law clearly so that active-duty servicemembers and reservists, 
whether they serve on active duty during an extended conflict, such as 
in Operation Desert Shield/Desert Storm, or participate in routine 
training, do not experience unnecessary delays or disputes in returning 
to their former civilian jobs. Unfortunately, over the last 54 years 
the VRR law has become a confusing and cumbersome patchwork of 
statutory amendments and judicial constructions that, at times, hinder 
the resolution of claims. Thus, the compromise agreement would amend 
the VRR law to restate past amendments in a clearer manner and 
incorporate important court decisions interpreting the law. The 
substantive rights at the heart of the VRR law would remain as valuable 
protection to those who provide this country with noncareer service in 
the uniformed services.
  Madam President, Congress has long recognized that the support of 
civilian employers is necessary if the uniformed services are to be 
able to recruit and retain noncareer personnel. I sincerely appreciate 
the very cooperative and patriotic manner in which the vast majority of 
employers have carried out their responsibilities under the VRR law. 
The compromise agreement is designed to take into account the 
legitimate interests and needs of employers and to assist them by 
stating their obligations in a clear fashion.
  Both the House and the Senate Committees on Veterans' Affairs and the 
administration committed much time and energy to the revision and 
improvement of this law over the past several years. For over 3 years, 
beginning in the mid-1980's, and executive branch task force on VRR 
law, including representatives of the Departments of Labor, Defense, 
and Justice and the Office of Personnel Management, worked to develop a 
revision of chapter 43. H.R. 1578, the proposed Uniformed Services 
Employment and Reemployment Rights Act of 1991, as passed by the House 
on May 14, 1991, was similar to and largely derived from draft 
legislation submitted by the administration in early 1991. H.R. 1578 
was modified and passed again by the House on October 1, 1992.
  The Senate Committee on Veterans' Affairs during the 102d Congress 
worked closely with representatives from each of the Federal agencies 
responsible for administering the VRR law in developing the Senate 
bill, S. 1095, the proposed Uniformed Services Employment and 
Reemployment Rights Act of 1991. Our committee held a hearing on the 
legislation and subsequently filed a report on S. 1095 on November 7, 
1991. Unfortunately, the Senate was unable to proceed to the 
consideration of S. 1095 until October 1, 1992--only a few days before 
adjournment of the 102d Congress--and, as a result, no further action 
was possible.
  In this Congress, I introduced VRR legislation on April 29, 1993, as 
S. 843. the committee held a hearing on this bill on May 13, 1993, and 
the bill was reported on October 18, 1993. As I noted a moment ago, the 
Senate passed this legislation on November 8, 1993. I refer my 
colleagues and all others with an interest in the bill as reported to 
the committee report, Senate Report No. 103-158.
  Because the provisions of the compromise agreement are describe in 
detail in an explanatory statement--developed jointly with our 
colleagues on the House Committee on Veterans' Affairs and which my 
good friend, the chairman of the House Committee, Sonny Montgomery, 
inserted in the Record during House passage of this measure on 
September 13, 1994--I will at this point just summarize chapter 43 as 
it would be amended by the compromise agreement.


                                summary

  Madam President, as it would be modified by the compromise agreement, 
chapter 43 of title 38 would:
  Continue to protect employees or applicants for employment from 
discrimination or reprisal based on their military obligation, and add 
a prohibition of employer reprisals against witnesses in reemployment 
rights cases. I note, as the committee report did (page 45), that the 
portion of new section 4311 which would codify the burden and standard 
of proof in discrimination cases is merely a reaffirmation of the 
original intent of Congress when present section 2021(b)(3) was enacted 
in 1968. The restatement of the standard and burden of proof in the 
compromise agreement is, therefore, meant to be applicable to all 
discrimination cases based on the VRR law regardless of when the claim 
first arose.
  Place a 5-year limit, with certain exceptions, on the cumulative 
length of time that an individual may be absent from a position of 
employment and still be eligible for reemployment rights with respect 
to that position.
  Repeal the exclusion of individuals who held temporary positions from 
reemployment protection.
  Generally base time requirements for returning to work or applying 
for reemployment on the length of the individual's absence for service.
  Require an absent individual--or an appropriate officer of the 
uniformed service--to give the employer advance written or verbal 
notice of service.
  Allow employers who reemploy individuals absent for more than 90 days 
for active-duty service to require documentation regarding their 
service before they would become entitled to pension benefits with 
respect to the period of service.
  Codify court holdings that entitlement to reemployment protection 
does not depend upon the timing, frequency, duration, or nature of an 
individual's service.
  Require employers to make reasonable efforts--actions, including 
training, that do not create an undue hardship on the employer--to 
refresh or update the skills of an individual who needs training in 
order to qualify for reemployment.
  Require employers to make reasonable efforts to accommodate the 
disability of an individual seeking employment who has a service-
connected disability.
  Ensure an individual whose reemployment in a legislative or judicial 
branch position, or as a National Guard technician, is impossible or 
unreasonable, an offer of alternative employment in a Federal executive 
agency in a position of like seniority, status, and pay.
  Maintain the so-called escalator principle under which an individual 
absent from employment by reason of service in the uniformed services 
is entitled, upon being reemployed, to the seniority and other rights 
and benefits determined by seniority the individual had when he or she 
began service plus the additional seniority and rights and benefits he 
or she would have attained if the person had remained continuously 
employed.
  Reaffirm that while an individual is performing service in the 
uniformed services, he or she is deemed to be on furlough or leave of 
absence and is entitled to those other rights and benefits not 
determined by seniority which were in effect at the beginning of the 
service, unless the individual knowingly waives this entitlement by 
indicating that he or she does not intend to return to the civilian 
position.
  Provide that if an individual's employer-sponsored health plan 
coverage would otherwise terminate due to an extended absence from 
employment for purposes of service in the uniformed services, he or she 
may elect to continue the health plan coverage for up to 18 months 
after the absence begins or for the period of service, whichever period 
is the lesser. The individual generally could be required to pay no 
more than 102 percent of the full premium for the coverage, and an 
individual serving for less than 31 days could not be required to pay 
more then the normal employee share of any premium.
  Provide that a reemployed individual whose period of service was more 
than 30 days but less than 181 days could not be removed without cause 
for 6 months; and an individual whose period of service was more than 
180 days could not be removed without cause for 1 year.
  Provide that an individual, upon submitting a written request to his 
or her employer, would be able to use accrued vacation or annual leave 
while serving in the uniformed services.
  Provide that, for pension purposes, an individual must be treated as 
not having incurred a break in service with the employer; service in 
the uniformed services would be considered service with the employer 
for vesting and benefit accrual purposes; the employer who reemploys 
the individual is liable for funding any resulting obligation; and the 
reemployed individual would be entitled to any accrued benefits from 
employee contributions only to the extent that the individual makes 
payments with respect to the contributions.
  Provide that, in a multiemployer defined contribution pension plan, 
the sponsor maintaining the plan may allocate among the participating 
employers the liability of the plan for pension benefits accrued by 
individuals who are absent for service in the uniformed services. If no 
cost-sharing arrangement is provided, the full liability to make the 
retroactive contributions to the plan would be allocated to the last 
employer employing the person before the period of uniformed service 
or, if that employer is no longer functional, to the overall plan.

  Provide that a returning employee's payments into the pension plan 
may be made, as the employer and employee may agree, during any 
reasonable continuous period--beginning with the date of reemployment, 
but in no event will the individual be afforded a payment period 
shorter than the length of absence for service for which the payments 
are due.
  Provide, for the purposes of determining an employer's liability or 
an employee's contributions under a pension benefit plan, that the 
employee's reconstructed compensation during the period of his or her 
service in the uniformed services would be based on the rate of pay the 
employee would have received from the employer but for the absence 
during the period of service, or if the employee's compensation was not 
based on a fixed rate, on the basis of the employee's average rate of 
pay during the 12-month period immediately preceding his or her entry 
into service--or, if shorter than 12 months, the period of employment 
immediately preceding entry into service.
  Require the Secretary of Labor to investigate an individual's 
complaint that the employer has failed or refused, or is about to fail 
or refuse, to comply with the reemployment law, and require the 
Secretary to make reasonable efforts to ensure compliance.
  Authorize the Secretary of Labor to require by subpoena the 
attendance and testimony of witnesses and the production of documents 
relating to any matter under investigation.
  Enable Federal executive agency employees whose cases are not 
resolved successfully by the Department of Labor to receive 
representation by the Office of Special Counsel before the Merit 
Systems Protection Board [MSPB] and the U.S. Court of Appeals.
  Provide that an individual would be able to petition a U.S. Court of 
Appeals to review a decision of the MSPB.
  Require the heads of intelligence agencies, which are otherwise 
exempt from enforcement procedures of the reemployment laws applicable 
to Federal agencies, to prescribe the conditions under which 
individuals who are absent from employment by reason of service in the 
uniformed services will be reemployed and the procedures for ensuring 
that those who satisfy the conditions are reemployed. In cases where it 
is impossible, unreasonable, or not practicable to reemploy an 
individual, the agency head would be required to notify the individual 
and the Director of the Office of Personnel Management [OPM]. The 
Director of OPM would be required to place the individual in a 
comparable position elsewhere in a Federal executive agency.
  Authorize the award of attorneys' fees and expenses to employees who 
choose to be represented by private counsel and who prevail in court.
  Provide for liquidated damages in an amount equal to the compensatory 
damages awarded in a case in which an employee prevails against a 
State--as an employer--or a private employer in court and the court 
determines that the employer's failure to comply with the provisions of 
the employment law was willful.
  Provide that, effective August 1, 1990, the amount of Federal civil 
service retirement payments for a period of military service may not 
exceed the amount that would have been deducted or withheld for a 
period of civilian service if the employee had not performed the period 
of military service.
  Provide for the treatment of contributions to the Thrift Savings Fund 
by Federal employees who perform military service.


                               conclusion

  Madam President, before closing I note one issue that involves a 
matter related to the compromise agreement which is under the 
jurisdiction of the Finance Committee, a committee on which I am 
privileged to serve. This matter relates to provisions in the 
compromise agreement which address a returning servicemember's rights 
to participate in the employer's pension plan and more specifically, 
the relationship between the VRR law and the Internal Revenue Code. 
Under the VRR law as it will be amended, it is possible that a pension 
plan, by seeking to comply with the VRR law, could have to make 
payments on behalf of now returned servicemembers that could cause the 
plan to go out of compliance with the Internal Revenue Code because of 
the total amount of payments made by the plan in a given year. 
Obviously, this is a situation that is not intended and which should be 
avoided. However, the appropriate remedy--an amendment to the Internal 
Revenue Code--is in the jurisdiction of the Finance Committee and thus 
the matter cannot be resolved in the compromise agreement.
  Madam President, so as to allow time for such an amendment to be 
considered, the compromise agreement provides a 2-year period before 
compliance with the pension provisions in the agreement would be 
required. It is my intention, which I have communicated to Senator 
Moynihan in his role as chairman of the Finance Committee, to take the 
lead in the Finance Committee in proposing the appropriate amendment to 
the Internal Revenue Code as part of the first appropriate tax bill. In 
addition, I have indicated to Chairman Moynihan that, should such an 
amendment not be in law as the 2-year window provided in the compromise 
agreement nears its end, I will work to amend the VRR law so as to 
provide for a further delay in the effective date of the pension 
provisions. I very much appreciate Senator Moynihan's assistance and 
cooperation on this issue which facilitates Senate action on the 
compromise agreement.
  Madam President, this is a good and needed piece of legislation and I 
urge my colleagues to give it their full support. I thank my good 
friends Sonny Montgomery and Representative Bob Stump, the chairman and 
ranking minority member of the House Committee on Veterans' Affairs for 
their cooperation and assistance as we have developed this compromise. 
I also thank our committee's ranking minority member, my good friend 
Frank Murkowski, and all the members of the Senate committee for their 
support on this measure. I thank the staff who have worked so long and 
hard on this compromise--Jill Cochran, Joe Womack, Pat Ryan, Mack 
Fleming, and Kingston Smith on the House committee, and Bill Brew, Jim 
Gottlieb, Bill Tuerk, and John Moseman with the Senate committee. I 
also thank Wade Ballou and Charlie Armstrong of the House and Senate 
Offices of Legislative Counsel for their excellent assistance and 
support in drafting the compromise agreement. Finally, I would be 
remiss were I to fail to note the tremendous work done on this 
legislation by Chuck Lee, a former member of the staff of the Senate 
committee, prior to his taking another position earlier this year.
  Madam President, I ask unanimous consent that the explanatory 
statement that I mentioned earlier be printed in the Record.
  There being no objection, the material was ordered to be printed in 
the Record, as follows:

                   Explanatory Statement on H.R. 995

       H.R. 995 reflects a compromise agreement that the Senate 
     and House of Representatives Committees on Veterans' Affairs 
     have reached on certain bills considered in the Senate and 
     the House of Representatives during the 103d Congress. These 
     measures are H.R. 995, which the House passed on May 4, 1993, 
     (hereinafter referred to as ``House bill''), and the text of 
     S. 843, which the Senate passed on November 8, 1993, as an 
     amendment to H.R. 995 (hereinafter referred to as ``Senate 
     amendment'').
       The Committees on Veterans' Affairs of the Senate and the 
     House of Representatives have prepared the following 
     explanation of H.R. 995 as amended (hereinafter referred to 
     as the ``compromise agreement''). Differences between the 
     provisions contained in the compromise agreement and the 
     related provisions in the above-mentioned House bill and 
     Senate amendment are noted in this document, except for 
     clerical corrections, conforming changes made necessary by 
     the compromise agreement, and minor drafting, technical, and 
     clarifying changes.


                           scope of coverage

       Current law: Section 4301(a) provides that an individual 
     must have left a position (other than temporary) in the 
     employ of an employer in order to perform training or service 
     in the Armed Forces to be eligible for reemployment rights 
     and benefits.
       House bill: Proposed new section 4312(a) would provide that 
     an individual must have left a position (other than 
     temporary) in the employ of an employer for voluntary or 
     involuntary service in the uniformed service to be entitled 
     to a leave of absence or, upon completion of service, to 
     reemployment.
       Proposed new section 4303(8) would define ``other than a 
     temporary position'' to mean a position of employment as to 
     which there is a reasonable expectation that it will continue 
     indefinitely.
       Senate amendment: Proposed new section 4312(a) is similar 
     to the provision in the House bill, but would not exclude 
     individuals who held temporary positions when they entered 
     the uniformed services from eligibility for reemployment 
     rights and benefits. Also, proposed new section 4303 would 
     not define the term ``other than a temporary position.''
       Compromise agreement: Section 4312(d)(1)(C) would provide 
     that an employer is not required to reemploy an individual if 
     his or her employment prior to military service was for a 
     brief, nonrecurrent period and there was no reasonable 
     expectation that it would continue indefinitely or for a 
     significant period.
       The compromise agreement would not, therefore, include a 
     definition of the term ``other than a temporary position.''


        PROHIBITION AGAINST DISCRIMINATION AND ACTS OF REPRISAL

       Current law: Section 4301(b)(3) provides that an individual 
     may not be denied hiring, retention in employment, or any 
     promotion or other incident or advantage of employment 
     because of any obligation as a member of a Reserve component 
     of the Armed Forces.
       House bill: Proposed new section 4311 would provide that 
     (1) an individual may not be denied initial employment, 
     reemployment, retention in employment, promotion, or any 
     benefit of employment because of present or past application 
     for or membership in a uniformed service, or obligation for 
     future service; (2) an employer is considered to have 
     committed a prohibited act of discrimination or reprisal 
     against an individual if the individual's service, 
     application, or obligation for service was a motivating 
     factor in the employer's action, unless the employer can 
     prove that the action would have been taken in the absence of 
     the service, application, or obligation for service; (3) an 
     employer may not discriminate against or take any adverse 
     employment action against any individual because that 
     individual has filed a claim under the Act, sought assistance 
     concerning an alleged violation, testified in a proceeding, 
     assisted or otherwise participated in an investigation, or 
     exercised any right under the reemployment law; and (4) the 
     prohibitions regarding discrimination will apply with respect 
     to an individual regardless of whether that individual has 
     performed service in the uniformed services.
       Senate amendment: Proposed new section 4311 is 
     substantively identical to the House provision but would 
     extend protection under the reemployment law to employees in 
     a foreign country.
       Compromise agreement: Section 4311 does not contain 
     protection for employees in a foreign country.


                 MAXIMUM PERIOD OF SERVICE FOR COVERAGE

       Current law: Under section 4304, an individual is permitted 
     to remain on active duty for a total of four year and still 
     retain reemployment rights. An additional year of eligibility 
     for reemployment rights is granted if an individual remains 
     on active duty beyond the four-year period at the request of, 
     and for the convenience of, the Federal Government. Active 
     duty for training and inactive duty does not count toward the 
     five years.
       House bill: Subsections (a) and (c) of proposed new section 
     4312 would provide for a five-year limit on an individual's 
     cumulative length of absence from a position of employment 
     with the employer by reason of service in the uniformed 
     services for the purposes of reemployment rights and 
     benefits. This would include all types of service except 
     (1) service required beyond five years to complete an 
     initial period of obligated services; (2) service from 
     which the individual, through no fault of his or her own, 
     is unable to obtain a release from service within the 
     five-year limit; (3) service for statutorily mandated 
     training or to fulfill additional training requirements 
     determined by the Secretary of Defense to be necessary for 
     individual professional skill development; (4) service 
     resulting from an order to, or retention on, active duty 
     during a war or national emergency under a law or joint 
     resolution related to a specific crisis situation; (5) 
     service resulting from an order to active duty in support 
     of an operational mission for which personnel have been 
     ordered to active duty in section 673b of title 10, United 
     States Code; (6) service resulting from an order to active 
     duty in support, as determined by the Secretary concerned, 
     of a critical mission or requirement of the uniformed 
     services; or (7) service resulting from an order to active 
     duty by the President of members of the National Guard to 
     suppress an insurrection, repel an invasion by a foreign 
     nation, suppress a rebellion, or execute laws of the 
     United States that the President is unable to execute with 
     the regular army.
       Senate amendment: Subsections (a) and (c) of proposed new 
     section 4312 are substantively identical to the House 
     provision, but with additional coverage of Coast Guard 
     personnel ordered to or retained on active duty under 
     circumstances excepted for other uniformed service personnel.
       Compromise agreement: Subsections (a) and (c) of section 
     4312 contain the Senate provision.


                     applications for reemployment

       Current law: Section 4301(a) requires that an individual 
     who is inducted into the Armed Forces generally must make 
     application for reemployment within 90 days after separation. 
     Section 4304(a) requires the same application obligation of 
     an individual who enlists in the Armed Forces. Subsections 
     (c) and (g) of section 4304 require that a member of a 
     Reserve component who is ordered to an initial period of 
     active duty for training of not less than 12 consecutive 
     weeks or who is ordered to active duty other than for 
     training under section 673b of title 10, generally must make 
     application for reemployment within 31 days after separation; 
     section 4304(d) provides that all other individuals required 
     to perform active duty for training or inactive duty training 
     must report to work at the beginning of the next regularly 
     scheduled working period after expiration of the last 
     calendar day necessary to travel from the place of training 
     to the place of employment following the employee's release, 
     or within a reasonable time thereafter if delayed return is 
     due to factors beyond the employee's control.
       Under current law, if an individual is hospitalized 
     incident to active duty, the application for reemployment 
     generally must be made within the foregoing timeframes 
     determined by the individual's type or category of military 
     training or service. However, the application period begins 
     upon discharge from hospitalization of not more than one year 
     instead of beginning on the date of discharge from service.
       House bill: Proposed new section 4312(e)(1) would require 
     that (1) if the service was for less than 31 days or for the 
     purpose of an examination to determine fitness to enter 
     service, an individual entitled to reemployment must report 
     to the employer for reemployment at the beginning of the 
     first full regularly scheduled working period on the first 
     calendar day following the completion of service and the 
     expiration of eight hours after a time for safe 
     transportation back to his or her residence or as soon as 
     possible after the expiration of the eight-hour period if 
     reporting within that period is impossible or unreasonable 
     through no fault of the individual; (2) if the period of 
     service was 31 days or more but less than 181 days, an 
     individual entitled to reemployment must submit an 
     application to the employer no later than 14 days following 
     completion of service or as soon as possible thereafter if 
     submitting an application within the period is impossible or 
     unreasonable through no fault of the individual; (3) if the 
     period of service was 181 days or more, an individual 
     entitled to reemployment must submit an application no later 
     than 90 days following completion of service or as soon as 
     possible thereafter if submitting an application within the 
     period is impossible or unreasonable through no fault of the 
     individual.
       Proposed new section 4312(e)(2) would provide for an 
     extension of the time limits specified in subsection (e)(1) 
     by up to two years if an individual is hospitalized for, or 
     convalescing from, an injury or illness incurred or 
     aggravated by military service. The two-year period would be 
     extended by the minimum time required to accommodate the 
     circumstance beyond the individual's control which makes 
     reporting within the time limit impossible or unreasonable.
       Senate amendment: Proposed new section 4312(e)(1) is 
     substantively identical to the House provision, but without 
     possible extension for events beyond the individual's control 
     if the period of service was 31 days or more.
       Proposed new section 4312(e)(2) is substantively identical 
     to the House provision.
       Compromise agreement: Section 4312(e)(1) contains the House 
     provision regarding service of less than 31 days or for the 
     purpose of an examination to determine fitness to enter 
     service; the House provision regarding service of 31 days or 
     more but less than 181 days, modified to make specific the 
     time beyond 14 days within which the returning employee must 
     make application for reemployment; and the Senate provision 
     regarding service of more than 180 days.
       Section 4312(e)(2) includes the provision relating to an 
     extension of time in the case of an illness or injury.
       Section 4312(e)(3) provides that a failure to report or 
     apply within the time limits does not automatically forfeit 
     the person's reemployment rights, but subjects the person to 
     the employer's rules, policies, or practices pertaining to 
     absence from work.


                       documentation upon return

       Current law: No provision.
       House bill: Proposed new section 4311(g) would provide 
     that: (1) when reporting for reemployment, an individual, 
     upon request, must provide to the employer documentation to 
     establish the timeliness of the application for reemployment, 
     that the individual did not exceed the applicable time-in-
     service limitation, and that the character of service was 
     satisfactory; (2) notwithstanding a failure to provide 
     documentation, an employer must reemploy an individual if the 
     failure occurs because such documentation does not exist or 
     is not readily available at the time of the request, with the 
     condition that if, after reemployment, documentation becomes 
     available that establishes that one or more of the 
     eligibility requirements was not met, the employer may 
     terminate the individual's employment and the provision of 
     any rights or benefits afforded the individual prospectively; 
     and (3) it is unlawful for an employer to delay or attempt to 
     defeat a reemployment obligation by demanding documentation 
     that does not then exist or is not then readily available.
       Senate amendment: Proposed new section 4312(f) contains 
     documentation requirements substantively identical to those 
     in the House bill except that, if an individual is absent 
     from employment for more than 90 days, the employer may 
     require documentation before making retroactive pension 
     contributions.
       Compromise agreement: Section 4312(f) contains the Senate 
     provision.


                        entitlement limitations

       Current law: No provision.
       House bill: Proposed new section 4312(i) would provide that 
     entitlement to protection under the reemployment law does not 
     depend on the timing, frequency, duration of an individual's 
     training or service or the nature of that service if the 
     service does not exceed the service limitations and the 
     applicable notice requirements are met.
       Senate amendment: Proposed new section 4312(h) is 
     substantively identical to the House provision.
       Compromise agreement: Section 4312(h) contains this 
     provision.


              position to which entitled upon reemployment

       Current law: Section 4301(a) provides that a returning 
     servicemember who was absent from an employment position 
     (other than a temporary position) for service in the Armed 
     Forces is generally entitled (1) if still qualified to 
     perform the duties of that position, to be restored to that 
     position or a position of like seniority, status, and pay; or 
     (2) if not qualified to perform the duties of that position 
     by reason of a disability sustained during service, to be 
     offered and employed in a position the duties of which he or 
     she is qualified to perform that will provide like seniority, 
     status, and pay, or the nearest approximation consistent with 
     the circumstances of the individual's case.
       Section 4301(b)(2) provides that it is the sense of 
     Congress that an individual must be so restored as to give 
     the individual the status that he or she would have enjoyed 
     but for the absence for service in the Armed Forces.
       House bill: Proposed new section 4313(a)(1) would 
     provide that an individual whose period of service was for 
     fewer than 91 days must be reemployed promptly (1) in a 
     position that he or she would have attained by remaining 
     continuously employed, unless the employer can prove that 
     the individual is not qualified or capable of becoming 
     qualified with reasonable efforts by the employer, or (2) 
     if not qualified or capable of becoming qualified for the 
     new position, in the same position that he or she left. 
     Proposed new section 4313(a)(2) would provide for a 
     similar pattern of position offerings for an individual 
     whose period of service was for 91 days or more, with the 
     additional option that the employer may offer a position 
     of like seniority, status, and pay to the new position or, 
     as determined by whether the individual is qualified or 
     capable of becoming qualified, the position that the 
     individual left. Proposed new section 4313(a)(4) would 
     provide that a returning servicemember who is not 
     qualified to be employed in the position that he or she 
     would have attained by remaining continuously employed or 
     in the position that he or she left, for any reason other 
     than disability incurred during the period of service, and 
     who cannot become qualified with reasonable efforts by the 
     employer, must be employed promptly in any other position 
     of lesser status and pay the duties of which he or she is 
     qualified to perform, with full seniority.
       Senate amendment: Proposed new sections 4313(a) (1), (2), 
     and (4) are similar to the House provisions but would provide 
     that the employer may offer a position of like status and pay 
     if the period of service was for more than 30 days.
       Compromise agreement: Section 4313 generally follows the 
     House bill.


                 position to which entitled if disabled

       Current law: Section 4307 requires an employer to make 
     reasonable accommodations to the known physical or mental 
     limitations incurred in the military service of an individual 
     to enable him or her to perform the essential functions of a 
     position, unless the employer can demonstrate that the 
     accommodation would impose an undue hardship on the operation 
     of the business. The terms ``reasonable accommodation'' and 
     ``undue hardship'' have the same meanings as are provided in 
     the Americans with Disabilities Act of 1990 (ADA) (Public Law 
     101-336; 42 U.S.C. 12101 et seq.).
       House bill: Proposed new section 4313(a)(3) would provide 
     that if an individual is disabled because of a disability 
     incurred during, or as a result of, a period of service in 
     the uniformed services and is not qualified to be employed in 
     the position that he or she would have attained if 
     continuously employed or in the position that he or she left 
     for service (even after reasonable efforts by the employer to 
     accommodate the disability), the individual must be 
     reemployed promptly (1) in any other position of similar 
     seniority, status, and pay for which he or she is 
     qualified or would become qualified with reasonable effort 
     by the employer; or (2) in a position which is the nearest 
     approximation consistent with the circumstances of the 
     individual's case.
       Senate amendment: Proposed new section 4313(a)(3) is 
     substantively identical to the House provision.
       Compromise agreement: Section 4313(a)(3) contains this 
     provision.


   two or more persons entitled to reemployment in the same position

       Current law: Section 4306 provides that in any case in 
     which two or more individuals are entitled to reemployment in 
     the same position, the individual who left first has the 
     prior right to be reemployed in that position, without 
     prejudice to the reemployment rights of the other individual 
     or individuals.
       House bill: Proposed new section 4313(b) would provide that 
     in any case in which two or more individuals are entitled to 
     reemployment in the same position and more than one of them 
     has reported for reemployment, (1) the individual who left 
     the position first has the prior right to be reemployed in 
     that position and (2) any individual not reemployed is 
     entitled to be employed promptly in any other position which 
     is equivalent in seniority, status, and pay for which the 
     individual is qualified or would become qualified with 
     reasonable efforts by the employer or in a position which is 
     the nearest approximation consistent with the circumstances 
     of the individual's case
       Senate amendment: Proposed new section 4313(b) is 
     substantively identical to the House provision.
       Compromise agreement: Section 4313(b) contains this 
     provision.


                 reemployment by the federal government

       Current law: Section 4303 provides that any individual who 
     is entitled to reemployment and who was employed, immediately 
     before entering the Armed Forces, by any agency in the 
     executive branch of the Federal government or by the District 
     of Columbia, must be reemployed by that agency or the 
     successor to its functions, or by the District of Columbia. 
     In cases in which the Director of the Office of Personnel 
     Management (OPM) finds that (1) the agency is no longer in 
     existence and its functions have not been transferred to any 
     other agency, or (2) for any reason it is not feasible for 
     the individual to be reemployed by the agency or the District 
     of Columbia, the Director must determine whether or not 
     there is another position in any other agency in the 
     executive branch or in the government of the District of 
     Columbia for which the individual is qualified and which 
     is either vacant or held by an individual having a 
     temporary appointment, and, if such a position exists, the 
     individual must be offered the position and, if the 
     individual so requests, be employed in the position.
       In cases in which it is not possible for an individual who 
     is entitled to reemployment rights to be restored to a 
     position that he or she left in the legislative branch and 
     who is otherwise eligible to acquire a status for a transfer 
     to a position in the competitive service, the Director of the 
     OPM is required to search for a comparable position in the 
     executive branch for which the individual is qualified and 
     which is either vacant or held by an individual having a 
     temporary appointment, and, if such a position exists, it 
     must be offered to the individual. An individual who was 
     employed in the judicial branch must be restored to the 
     position that the individual held immediately before entering 
     the Armed Forces.
       House bill: Proposed new section 4314 is similar to current 
     law but would provide that (1) an individual is entitled to 
     be reemployed according to the priorities set out in new 
     section 4313; (2) the District of Columbia government is not 
     considered part of the executive branch; and (3) in a case in 
     which an employer in the legislative or judicial branch, or 
     the adjutant general of a State in the case of a National 
     Guard technician, determines that it is impossible or 
     unreasonable to reemploy an individual who left to serve in 
     the uniformed services and the individual is otherwise 
     eligible to acquire a status for a transfer to a position in 
     the competitive service, the Director of OPM must identify 
     and offer an alternative position in the executive branch.
       Senate amendment: Proposed new section 4314 is similar to 
     the House provision but would require the Director of OPM to 
     ensure that an individual whose reemployment in a Federal 
     Government position--to include the legislative or judicial 
     branch--or as a National Guard technician is impossible or 
     unreasonable is offered an alternative position of employment 
     in the executive branch.
       Compromise agreement: Section 4314 contains the Senate 
     provision.


                reemployment by certain federal agencies

       Current law: Although current Chapter 43 does not exempt 
     federal intelligence community agencies--those listed in 
     section 2302(a)(2)(C)(ii) of title 5, United States Code (the 
     Federal Bureau of Investigation, the Central Intelligence 
     Agency, the Defense Intelligence Agency, the National 
     Security Agency, and any Executive agency or unit the 
     function of which is determined by the President to be the 
     conduct of foreign intelligence or counterintelligence 
     activities), section 403(c) of title 50, United States 
     Code, provides that the Director of Central Intelligence 
     may, in his or her discretion, terminate the employment of 
     any officer or employee of the Agency whenever he or she 
     deems such a termination necessary or advisable in the 
     interests of the United States. Other intelligence 
     community agencies have similar authority to make 
     employment determinations without outside review.
       House bill: No provision.
       Senate amendment: Proposed new section 4315 would provide 
     that the head of each agency referred to in section 
     2302(a)(2)(C)(ii) of title 5 must (1) prescribe procedures 
     for ensuring that veterans' reemployment rights apply to the 
     employees of that agency, and ensure, to the maximum extent 
     practicable, that the procedures for reemployment in that 
     agency are similar to those that apply to other executive 
     branch employees; (2) upon making a determination that the 
     reemployment of an individual is impossible or unreasonable, 
     notify the individual and the Director of OPM of the 
     determination; and (3) on an annual basis, submit to the 
     Senate Select Committee on Intelligence and the Permanent 
     Select Committee on Intelligence of the House of 
     Representatives a report of the number of individuals whose 
     reemployment with the agency was determined to be impossible 
     or unreasonable during the year preceding the report and the 
     reason for each determination.
       Compromise agreement: Section 4315 contains the Senate 
     provision, modified to require the heads of each agency to 
     submit annual reports to the House and Senate Committees on 
     Veterans' Affairs.


                      general rights and benefits

       Current law: Section 4301(b)(1) provides that an individual 
     reemployed under the veterans' reemployment rights law (1) 
     shall be considered as having been on furlough or leave of 
     absence during the period of service, (2) must be reemployed 
     without loss of seniority, and (3) is entitled to participate 
     in insurance or other benefits offered by the employer 
     according to rules and practices relating to employees on 
     furlough or leave of absence in effect with the employer at 
     the beginning of the period of service. Section 4301(b)(2) 
     provides that it is the sense of Congress that the reemployed 
     individual should be so reemployed as to give the individual 
     the status that he or she would have enjoyed if employed 
     continuously during the period of active service.
       House bill: Proposed new section 4315(a) would, as in 
     current law, provide that upon reemployment under the 
     veterans' reemployment rights law, a person would be entitled 
     to the seniority and other rights and benefits determined by 
     seniority that the individual had on the date of the 
     beginning of uniformed service plus the additional seniority 
     and rights and benefits the individual would have attained if 
     the individual had remained continuously employed.
       Proposed new section 4315(b) would provide that (1) an 
     individual who performs service in the uniformed services 
     would be considered to be on a furlough or leave of absence 
     while in the uniformed services and would be entitled, while 
     away, to rights and benefits, not determined by seniority, 
     relating to other employees on furlough or leave of absence 
     which were established, but contract, practice, policy, 
     agreement, or plan effective at the beginning of the period 
     of service or implemented while the individual is performing 
     service; and (2) the individual may be required to pay the 
     employee cost, if any, of any funded benefit continued to the 
     extend other employees on furlough or leave of absence are 
     required to pay.
       Senate amendment: Subsections (a) and (b) of proposed new 
     section 4316 are substantively identical to the House 
     provision, except that subsection (b) and (1) provide that in 
     the case of a multiemployer pension plan, liability will be 
     allocated by the plan or if the plan does not provide, 
     liability would be allocated to the last employer before the 
     period of uniformed service; (2) clarify that the 
     servicemember deemed to be on furlough or leave of absence 
     because of uniformed service would not be entitled to any 
     benefits which he or she would not otherwise he entitled if 
     the individual were not on furlough or leave of absence; (3) 
     exempt entitlement for health insurance to care and treatment 
     to the extent the individual would be entitled to the same 
     care and treatment from the Federal Government during 
     uniformed service; (4) preserve policy exclusion of 
     disability insurance for persons in service in excess of 31 
     days; (5) preserve policy war-clause exclusions; and (6) 
     limit the right of continued insurance coverages to the 
     lesser of (a) 18 months from date of absence, or (b) the 
     period of service plus period of notice of intent to return.
       Compromise agreement: The compromise agreement addressed 
     the seniority and non-seniority benefits in three sections--
     proposed new sections 4316 (Rights, benefits, and obligations 
     of persons absent from employment for service in a uniformed 
     service), 4317 (Health Plans), and 4318 (Employee pension 
     benefit plans).
       Subsection (a) of section 4316 contains the general 
     provisions relating to seniority benefits as set forth in 
     both the House bill and the Senate amendment.
       Subsection (b) of section 4316 contains the general 
     provisions relating to non-seniority benefits with a 
     provision, in new subsection 4316(b)(2)(A), that provides 
     that a person otherwise entitled to rights and benefits 
     accorded to other employees on furlough or leave of 
     absence may waive those rights and benefits if the person 
     knowingly provides written notice of intent not to return 
     to employment after military service. Basic waiver law 
     would be applicable to such a knowing waiver.
       Subsection 4316(b) contains the Senate provision relating 
     to multiemployer plans, modified to provide that, in the 
     event the last employer is not functioning, liability would 
     be allocated to the plan. Subsection (b) also contains the 
     Senate provision clarifying that a servicemember deemed to be 
     on a leave of absence because of uniformed service is not 
     entitled to any benefits which a person would not be entitled 
     if he or she was not on a leave of absence.
       Although the compromise agreement for subsection 4316(b) 
     does not contain the Senate exemptions relating to 
     duplicative federal coverage, disability insurance, or war-
     clauses, nothing in this law is intended to overrule contract 
     rights of coverage in the areas of health, disability, and 
     life insurance.


                            retention rights

       Current law: Section 4301(b)(1)(A) provides that an 
     individual who was inducted into the Armed Forces and who is 
     then reemployed cannot be discharged from his or her position 
     without cause for one year following reemployment. 
     Subsections (c) and (g) of section 4304 provide that 
     reservists who were ordered to an initial period of active 
     duty for training of not less than twelve consecutive weeks 
     or who were ordered voluntarily or involuntarily to active 
     duty under section 673b of title 10 cannot be discharged form 
     their positions without cause for six months after 
     reemployment.
       House bill: Proposed new section 4315(d) would provide that 
     an individual reemployed under this chapter may not be 
     discharged from employment, except for cause (1) if the 
     period of service was more than 180 days, within one year; 
     (2) if the period of service was more than 30 days but less 
     than 181 days, within six months; or (3) if the period of 
     service was less than 31 days, within a period of time equal 
     to the period of service concerned.
       Senate amendment: Proposed new section 4316(e) is similar 
     to the House provision except that retention rights would not 
     be provided to individuals serving for less than 31 days.
       Compromise agreement: Section 4316(c) contains the Senate 
     provision.


                             accrued leave

       Current law: No provision.
       House bill: Proposed new section 4315(e) would provide that 
     any individual who is absent from a position (other than a 
     temporary position) for voluntary or involuntary service in 
     the uniformed services may use, during the period of service, 
     accrued or other leave which the individual could have used 
     if employment had not been interrupted for service.
       Senate amendment: Proposed new section 4316(f) is similar 
     to the House provision, except (1) temporary positions are 
     not excluded, and (2) application would be limited to 
     accumulated vacation or annual leave with pay.
       Compromise agreement: Section 4316(d) contains the Senate 
     provision, modified to add ``similar leave'' with pay to the 
     types of leave that could be used.


                              health plans

       Current Law: Section 4301(b)(1)(A) provides, among other 
     things, that any reemployed person ``shall be entitled to 
     participate in insurance or other benefits offered by the 
     employer pursuant to established rules and practices relating 
     to employees on furlough or leave of absence in effect with 
     the employer at the time such person was inducted into'' the 
     Armed Forces.
       Section 4301(b)(1)(B) provides that, in the case of 
     employer-offered health insurance, an exclusion or waiting 
     period may not be imposed in connection with coverage of a 
     health or physical condition of a servicemember entitled to 
     participate in that insurance, or a health or physical 
     condition of any other individual who is covered by the 
     insurance by reason of the coverage of the servicemember, if 
     (1) the condition arose before or during the individual's 
     period of training or service in the Armed Forces; (2) an 
     exclusion or waiting period would not have been imposed for 
     the condition during a period of coverage resulting from 
     participation by the individual in the insurance; and (3) the 
     condition of the individual has not been determined by the 
     Secretary of Veterans Affairs to be service-connected.
       House bill: Proposed new section 4315(c)(1) would provide 
     that, notwithstanding the general provision that persons in 
     military service are considered to be on furlough or leave of 
     absence and are entitled to non-seniority rights and benefits 
     which other employees on furlough or leave are entitled to, a 
     person would be entitled to continuation of any insurance 
     provided by the employer, including health insurance, for up 
     to 18 months. The person could be required to pay the entire 
     cost of any insurance benefit, except the person would only 
     be responsible for the employee share of any insurance 
     premium when the person was ordered to service of less than 
     31 days.
       Proposed new section 4315(c)(2) is substantively identical 
     to existing section 4301(b)(1)(B) (dealing with reinstatement 
     of health coverage without exclusions or waiting periods).
       Senate amendment: Proposed new section 4316(d)(1), dealing 
     with an employee's right to continue health-plan coverage, 
     would apply if the person's health-plan coverage ``would 
     otherwise terminate due to an extended absence from 
     employment for purposes of performing service in the 
     uniformed services.'' A person who elects continuation 
     coverage could be required to pay 102 percent of the full 
     premium associated with such coverage except, in the case of 
     service of less than 31 days, the person could not be 
     required to pay more than the employee share. A person who 
     elected continuation coverage would not be entitled to such 
     coverage (1) to the extent that the person is entitled to 
     care or treatment from the Federal Government, or (2) if the 
     person failed to notify the employer of the person's intent 
     to return to employment within the periods prescribed in 
     section 4312(e) of the Senate bill.
       Proposed new section 4316(d) would provide that, if an 
     individual's coverage under an employer-sponsored health plan 
     is terminated by reason of uniformed service, an exclusion or 
     waiting period may not be imposed in connection with coverage 
     of the servicemember or any other individual covered by the 
     health plan upon reemployment by the employer, if an 
     exclusion or waiting period would not have been imposed had 
     coverage not been terminated. An exception would apply to 
     disabilities that the Secretary of Veterans Affairs has 
     determined to be service-connected.
       Compromise agreement: Section 4317 requires the health plan 
     to offer continuation coverage for up to 18 months to persons 
     who have coverage in connection with employment and who are 
     absent from such employment due to military service. The 
     health plan may not require the person to pay more than the 
     employee share for that coverage if the period of military 
     service does not exceed 31 days. If the period of service 
     exceeds 31 days, the employee may be required to pay not more 
     than 102 percent of the full premium under the plan.
       The compromise also includes provisions pertaining to 
     allocation of liability in the case of a multiemployer plan 
     and limiting the obligation to continue coverage to the day 
     after the date on which the person fails to apply for or 
     return to a position of employment.
       With respect to reinstatement of health plan coverage 
     following a period of service, the compromise generally 
     follows the Senate provision, with a clarification that all 
     persons who are covered by the plan by reason of the 
     reinstatement of the coverage of the person who is reemployed 
     would also have coverage reinstated without the imposition of 
     an exclusion or waiting period.


                     employee pension benefit plans

       Current law: Section 4321(b)(1)(A) provides that upon 
     reemployment after military service, a person shall be 
     restored without loss of seniority. In Alabama Power Co. v. 
     Davis, 431 U.S. 581 (1977), the Supreme Court held that 
     pension benefits were protected under the Act as 
     ``perquisites of seniority'' because the real nature of the 
     benefit is a reward for length of service.
       House bill: Proposed new section 4316 would clarify the 
     protection provided pension benefits under the Act. Section 
     4316(a)(1)(A) would define the pension plans entitled to 
     protection under the Act as any plan which falls within the 
     definition of an employee pension benefit plan described in 
     section 3(2) of the Employee Retirement Income Security Act 
     of 1974, 29 U.S.C. s 1002(2), as well as any federal, state 
     or local government plan.
       This definition would include profit-sharing plans to the 
     extent that such plans provide retirement benefits to 
     participants.
       Sections 4316(a)(2) (A) and (B) would make explicit the 
     rights of reemployed servicemembers in their 
     pension plans, such as no break in employment service would 
     be considered to have occurred, no forfeiture of benefits 
     already accrued would be allowed, and there would be no 
     necessity to requalify for participation in the pension plan 
     by reason of absence for military service.
       Section 4316(b)(1)(A) would provide a pension plan with a 
     claim against the employer for amounts that may be required 
     to fund obligations arising under this section. In the case 
     of a multiemployer plan, this provision would enable the plan 
     to pursue its existing remedies under section 515 of the 
     Employee Retirement Income Security Act, 29 U.S.C. 1145, for 
     failure to make the required contributions, in the event that 
     neither the plan nor the collective bargaining agreement 
     pursuant to which the plan is maintained provides for any 
     such funding obligations.
       Section 4316(b)(1)(B) would provide that a returning 
     veteran is entitled to have earnings and any employer 
     contribution which is determined without reference to the 
     number of, or compensation of, plan participants credited to 
     such person's pension account to the same extent as they 
     would have been credited had such person remained 
     continuously employed instead of serving in the uniformed 
     service. With regard to forfeitures, this section would 
     permit, but not require, the allocation of forfeitures to 
     such person's pension account.
       Section 4316(b)(2) would provide that, if the plan is 
     contributory (i.e., provides for employee contributions as 
     well as employer contributions), the portion of such accrued 
     benefit that is derivable from employee contributions would 
     be required to be calculated only to the extent that the 
     reemployed serviceperson makes the required employee 
     contribution to the plan. No interest or penalty would be 
     charged on the employee contribution, nor would the employee 
     be credited with interest that would have been earned on such 
     contribution. However, if a reemployed serviceperson has 
     withdrawn his or her pension plan monies, in whole or in 
     part, prior to entering military service, such person must 
     be allowed to voluntarily repay the withdrawn amounts 
     (together with the interest that would have been earned 
     had the monies not been withdrawn) and receive the 
     appropriate credit in the pension plan. The period of 
     repayment would be subject to negotiation between the 
     employer and employee.
       Section 4316(b)(3) would provide that if there is a need to 
     use imputed earnings of an employee to calculate pension 
     benefits during a period when in fact there were no earnings 
     because of the absence in military service, the employee's 
     preservice rate of pay will be used or if no fixed rate was 
     in effect, the average earnings of the 12 months immediately 
     preceding military service shall be used.
       Section 4316(c) would require that, where military service 
     might result in additional pension liability, the 
     administrator of a multiemployer pension plan be notified 
     that a contributing employer has reemployed a veteran under 
     chapter 43. Such a notification would provide the plan the 
     opportunity to take whatever steps may be required to protect 
     its interests. Unlike administrators of single-employer 
     pension plans, administrators of multiemployer plans are 
     generally not in a position to be aware of the fact that a 
     contributing employer has reemployed a person who may have a 
     pension claim arising from a period of military service.
       Senate amendment: Proposed new section 4317 is similar to 
     the House provisions with some changes (described below).
       Section 4317(b)(1) would provide, in the case of a 
     multiemployer pension plan, if the plan does not have a 
     method of allocating liability for a returning servicemember, 
     the last employer employing the person prior to military 
     service shall be liable.
       Section 4317(b)(2) would provide, with reference to the 
     repayment of employee contributions, for the repayment period 
     to be no shorter than the length of absence.
       Section 4317(b)(4) would not allow earnings on 
     contributions to a plan until the contributions are made and 
     would not allow the reallocation of already allocated 
     forfeitures to a returning servicemember's account.
       Section 4317(d) would provide that no action need be taken 
     which would cause the plan, participants, or the employer to 
     suffer adverse tax or other consequences under the Internal 
     Revenue Code.
       Compromise Agreement: Section 4318 generally follows the 
     House bill with several modifications.
       The first modification is that, in a multiemployer context, 
     section 4318(b)(1)(A) requires allocation of liability first 
     to the plan in whatever manner the plan provides. If there is 
     no provision made, the last employer of such person before 
     military service would be responsible and, if there is no 
     longer a functional last employer, the liability would revert 
     to the plan.
       The next modification is the section 4318(b)(2) now 
     provides that repayment of employee contributions can be made 
     over a period of three times the period of military service, 
     not to exceed five years.
       Under section 4318(b)(3), for purposes of computing an 
     employer's liability or an employee's contributions to the 
     extent that they are based on an employee's earning, the same 
     ``reasonable certainty'' analysis as is applicable to pay 
     rate cases would be applicable here.
       It is the Committees' intent that earnings or losses on 
     contributions made after return from military service not be 
     credited until after the contributions are made and only 
     prospectively and there is no requirement to reallocate 
     already allocated forfeitures to a returning servicemember's 
     account.
       The Committees also intend that no pension rights accrue 
     for a period of military service if the servicemember elects 
     not to be reemployed, but the person's vested interest prior 
     to entering military service would remain intact.


                     Assistance in asserting claims

       Current law: Under section 4305, the Secretary of Labor, 
     through the Office of Veterans' Reemployment Rights, is 
     required (1) to render aid in the replacement in their former 
     positions or reemployment of individuals who have 
     satisfactorily completed a period of active duty in the Armed 
     Forces or the Public Health Service and (2) to use existing 
     Federal and State agencies engaged in similar or related 
     activities and the assistance of volunteers.
       House bill: Proposed new section 4321 is similar to current 
     law, except that the Secretary would be authorized, rather 
     than required, to use existing Federal and State agencies 
     engaged in similar or related activities and the assistance 
     of volunteers.
       Proposed new section 4322 would specify (1) procedures for 
     individuals to file reemployment complaints with the 
     Secretary and (2) that the Secretary is authorized to conduct 
     investigations and make efforts to obtain voluntary 
     compliance from employers.
       Senate amendment: Proposed new section 4321 is similar to 
     the House provisions and in addition, would require that in 
     cases in which the efforts of the Secretary to obtain 
     voluntary compliance are unsuccessful, the Secretary must 
     notify the individual who submitted the complaint of (1) the 
     results of the investigation, and (2) the complainant's 
     entitlement to request referral of the claim to the Office of 
     the Special Counsel or the United States Attorney, depending 
     on whether the employer is the Federal government or a State 
     or private employer.
       Compromise agreement: Section 4321 and 4322 contain 
     the Senate provisions.

                              Enforcement


                       state or private employer

       Current law: Under section 4302, in the case of a private 
     or State employer who fails or refuses to comply with the 
     reemployment laws, (1) the district court of the United 
     States for the district in which the employer maintains a 
     place of business, exercises authority, or carries out its 
     function, has the power, upon the filing or a motion, 
     petition, or other appropriate pleading by the individual 
     entitled to the benefits or the reemployment laws, to require 
     the employer to comply with the reemployment law and to 
     compensate the individual for any loss of wages or benefits 
     suffered by reason of the employer's unlawful action; (2) the 
     United States attorney or comparable official, if reasonably 
     satisfied that an individual who applies for representation 
     is entitled to the reemployment benefits, must appear and act 
     as an attorney for the individual in the amicable adjustment 
     of the claim or in the filing and prosecution of a complaint; 
     (3) no fees or court costs may be taxed against an individual 
     who applies for such benefits; (4) only the employer may be 
     deemed a necessary party respondent; and (5) no State statute 
     of limitations may apply to any proceedings.
       House bill: Proposed new section 4322 is similar to current 
     law except that it would provide that (1) if the Secretary of 
     Labor, after investigation, is reasonably satisfied that a 
     violation has occurred and efforts to obtain voluntary 
     compliance are not successful, and if the claimant requests 
     referral for litigation, the Secretary must refer the case to 
     the Attorney General; (2) the Attorney General, if reasonably 
     satisfied that the individual requesting representation is 
     entitled to the rights or benefits sought, may appear and act 
     as attorney for the claimant in the filing and prosecution of 
     a complaint; (3) an individual may be represented before the 
     District Court by a counsel of choice; (4) the court may 
     award an individual who prevails a reasonable attorney's fee, 
     expert witness fee, and other litigation expenses; (5) the 
     court may use its full equity powers to vindicate rights 
     under the Act; (6) a reemployment rights claim may only be 
     initiated by an individual claiming such rights or benefits, 
     not by an employer, prospective employer, or other entity 
     with obligations under the reemployment law; (7) a State will 
     be subject to the same remedies, including prejudgment 
     interest, as may be imposed upon any private employer; and 
     (8) if the District Court determines that the employer's 
     failure to comply with the provisions of chapter 43 were 
     willful, the court may require the State or private employer 
     to pay, in addition to the compensation determined to be paid 
     the person, an amount equal to that compensation as 
     liquidated damages.
       Senate amendment: Proposed new section 4322 
     is substantively identical to the House provision.
       Compromise agreement: Section 4323 contains these 
     provisions.


                     federal government as employer

       Current law: Section 4303(a) provides that the Director of 
     the Office of Personnel Management is authorized and directed 
     when the Director finds, upon appeal of the individual 
     concerned, that any agency in the executive branch or the 
     government of the District of Columbia has failed or refuses 
     to comply with the provisions of the law relating to 
     reemployment by the executive branch or the government of the 
     District of Columbia, to issue an order requiring compliance 
     and to compensate the individual for any loss of salary or 
     wages suffered by reason of failure to comply, less any 
     amounts received by the individual through other employment, 
     unemployment compensation, or readjustment allowances.
       House bill: Proposed new section 4322(e), which applies 
     with respect to the Federal Government as employer, would 
     provide that (1) if the Secretary, after investigation, is 
     reasonably satisfied that a violation has occurred with 
     respect to the Federal Government as employer and efforts to 
     obtain voluntary compliance are not successful, and if the 
     claimant requests that the claim be referred for litigation 
     before the Merit Systems Protection Board (MSPB), the 
     Secretary would be required to refer the case to the Office 
     of the Special Counsel; (2) if the Special Counsel is 
     reasonably satisfied that the individual requesting 
     representation is entitled to the rights or benefits sought, 
     the Special Counsel would be required to appear and act as an 
     attorney for the claimant in filing and pursuing an appeal to 
     the MSPB; (3) if the Special Counsel were to decline to 
     represent an individual after receiving a referral from the 
     Secretary or if an individual were to decide not to apply to 
     the Secretary for assistance or to use the Special Counsel 
     for representation, the individual may be represented before 
     the MSPB by counsel of the individual's choice; (4) if the 
     MSPB concludes that a Federal Government employer has failed 
     or refused to comply with the reemployment laws or that the 
     Director of OPM has not met his or her obligation under the 
     reemployment law, it would require the employing agency or 
     the Director to comply with the law and to compensate the 
     individual for any loss of wages or benefits suffered by 
     reason of the unlawful action; and (5) a claimant would be 
     able to petition the United States Court of Appeals for the 
     Federal Circuit to review a decision of the MSPB in which the 
     claimant is denied the relief sought, but would not be 
     represented by the Secretary or the Special Counsel before 
     the Court of Appeals or the Supreme Court.
       Senate bill: Proposed new section 4323 is 
     substantively identical to the House provision but would 
     provide that (1) the individual would be able to be 
     represented before the MSPB by a representative of choice; 
     (2) the MSPB would be able to award the individual 
     reasonable attorney fees, expert witness fees, and other 
     litigation expenses; and (3) an individual would be able 
     to be represented by the Special Counsel in an action for 
     a review of a decision issued by the MSPB, unless the 
     individual was not represented by the Special Counsel 
     before the MSPB regarding this decision.
       Compromise agreement: Section 4324 contains the Senate 
     provision.


                federal intelligence agency as employer

       Current law: No provision.
       House bill: No provision.
       Senate amendment: Proposed new section 4324 would provide 
     that any individual employed prior to service in the 
     uniformed services by a federal intelligence agency--those 
     listed in section 2302(a)(2)(C)(ii) of Title 5 (the Federal 
     Bureau of Investigation, the Central Intelligence Agency, the 
     Defense Intelligence Agency, the National Security Agency, or 
     any Executive agency or unit the function of which is 
     determined by the President to be the conduct of foreign 
     intelligence or counterintelligence activities)--would be 
     able to submit a complaint regarding reemployment to the 
     Inspector General of the agency in question, who would be 
     required to investigate and resolve the claim pursuant to 
     procedures prescribed by the head of the agency, which must 
     be, to the maximum extent practicable, similar to the 
     provisions relating to the investigation and resolution of a 
     claim by the Secretary of Labor.
       Compromise agreement: Section 4325 contains the Senate 
     provision.


                               subpoenas

       Current law: No provision.
       House bill: Subsections (b) and (c) of proposed new section 
     4323 would provide that the Secretary may (1) require by 
     subpoena the attendance and testimony of witnesses and the 
     production of documents relating to any matter under 
     investigation and (2) in the case disobedience of a subpoena, 
     may request that the Attorney General apply to a district 
     court of jurisdiction for an order enforcing the subpoena. 
     Subpoena authority would not apply in the case where the 
     employer is the Federal Government.
       Senate amendment: Subsections (b) and (c) of proposed 
     new section 4325 are substantively identical to the House 
     provisions, but would not apply the subpoena authority to 
     the legislative and judicial branches of the United States
       Compromise agreement: Section 4326 contains the Senate 
     provision.


                              regulations

       Current law: Under section 4303(a), the Director of the 
     Office of Personnel management (OPM) is authorized and 
     directed to issue regulations relating to the reemployment in 
     the executive branch or in the government of the District of 
     Columbia.
       House bill: Proposed new section 4331 would provide that 
     (1) the Secretary of Labor, in consultation with the 
     Secretary of Defense, would be authorized to prescribe 
     regulations with regard to States, local governments, and 
     private employers; (2) the Director of OPM, in consultation 
     with the Secretaries of Labor and Defense, would be 
     authorized to prescribe regulations with regard to the 
     Federal Government as employer, and any such regulations 
     would have to be consistent with regulations pertaining to 
     States and private employers, except that employees of the 
     Federal government may be given greater or additional rights; 
     and (3) regulations may be prescribed by the Merit Systems 
     Protection Board and by the Office of Special Counsel to 
     carry out their responsibilities.
       Senate amendment: Proposed new section 4331 is 
     substantively identical to the House provision but (1) would 
     not authorize the Director of OPM to prescribe regulations 
     giving Federal employees greater rights than employees of 
     States and private employers, and (2) would authorize 
     intelligence community agencies to prescribe regulations.
       Compromise agreement: Section 4331 contains the House 
     provision, modified to authorize intelligence community 
     agencies to prescribe regulations.


                                reports

       Current law: No provision.
       House bill: Proposed new section 4332 would require the 
     Secretary of Labor, after consultation with the Attorney 
     General and Special Counsel, to provide Congress no later 
     than February 1, 1995, and each February 1 annually 
     thereafter, a report concerning actions taken under chapter 
     43 during the prior fiscal year, including (1) the number of 
     cases reviewed by the Department of Labor; (2) the number of 
     cases referred to the Attorney General or the Special 
     Counsel; (3) the number of complaints filed by the Attorney 
     General; (4) the nature and status of each case; (5) an 
     indication of whether there are any apparent patterns of 
     violation of the provisions of this chapter; and (6) 
     recommendations for administrative or legislative action 
     that the Secretary, Attorney General, or the Special 
     Counsel considers necessary for the effective 
     implementation of this chapter.
       Senate amendment: Section 2(c) would require the Secretary 
     of Labor, the Attorney General, and the Special Counsel to 
     submit a report to Congress, not later than one year after 
     the date of enactment, relating to the implementation of 
     chapter 43.
       Compromise agreement: Section 4332 contains the House 
     provision, modified to provide that Congress be provided with 
     an annual report on February 1 of each year for five years, 
     beginning with 1996.


                                outreach

       Current law: No provision.
       House bill: No provision.
       Senate amendment: Proposed new section 4332 would require 
     that the Secretaries of Labor, Defense, and Veterans Affairs 
     to take appropriate actions to inform individuals entitled to 
     reemployment rights and benefits and employers of the 
     reemployment rights, benefits, and obligations.
       Compromise agreement: Section 4333 contains the Senate 
     provision.


              exemption from minimum service requirements

       Current law: Section 5303A(b)(1) of title 38 generally 
     provides that an individual who is discharged or released 
     from active duty before completing the shorter of 24 months 
     of continuous active duty or the full period for which called 
     or ordered to active duty is not eligible by reason of that 
     period of active duty for any benefit under title 38 or any 
     other law administered by the VA.
       House bill: Section 3 would exclude reemployment benefits 
     under chapter 43 of title 38 from the minimum service 
     requirements.
       Senate amendment: Section 3 is identical to the House 
     provision.
       Compromise agreement: Section 3 contains this provision.


                          thrift savings plan

       Current law: Under current law, Federal and Postal 
     employees who return from active military service have 
     certain reemployment and restoration rights, including the 
     rights to obtain retirement credit under the Civil Service 
     Retirement System (CSRS) or under the basic annuity 
     provisions of the Federal Employees' Retirement System (FERS) 
     for the period of military service. However, Federal and 
     Postal employees who separate from service or who enter 
     leave-without-pay status to perform military service cease to 
     be eligible to make contributions to the Thrift Savings Plan 
     (TSP) or to have their employing agencies contribute to their 
     accounts during their period of military service. The TSP is 
     a deferred compensation arrangement similar to private sector 
     401(k) plans. The structure of the TSP is based on the 
     premise that contributions by employees must be deferred from 
     current civilian pay in order for an employee to enjoy the 
     tax benefits of deferred income, which are an integral part 
     of the TSP.
       House bill: Section 4 would amend title 5, United States 
     Code, principally by adding a proposed new section 8432b, so 
     as to allow Federal and Postal employees who separate or 
     enter leave-without-pay status to perform military service to 
     make up contributions to the Thrift Savings Plan (TSP) missed 
     because of military service. The maximum amount an employee 
     would be allowed to contribute would be equal to the amount 
     an employee would have been eligible to contribute, subject 
     to the applicable statutory maximums, reduced by any 
     contributions actually made during the period of military 
     service (since these employees may use military or annual 
     leave to cover periods of military service and since 
     employees on military and annual leave continue to receive 
     civilian basic pay, contributions continue to be made to the 
     Thrift Savings Fund for such periods.)
       For purposes of any computation under this section, an 
     employee would be, with respect to the period of military 
     service, considered to have been paid at the rate which the 
     employing agency determines would have been payable over such 
     period had such employee remained continuously employed in 
     the position which such employee last held before separating 
     or entering leave-without-pay status to perform military 
     service.
       An employing agency would be required to give an employee 
     up to two times, and may give an employee up to four times, 
     the length of his or her military service to make up TSP 
     contributions, although an employee may choose to make up 
     contributions sooner. Make-up contributions would have to be 
     made at the same time, in the same manner, and in addition 
     to, contributions the employee is otherwise eligible to make.
       If an employee is entitled to agency matching contributions 
     based on make-up contributions, the agency would be required 
     to make such contributions in the same manner as regular 
     matching contributions. Agency matching contributions 
     attributable to employee make-up contributions would be in 
     addition to any matching contributions to which the 
     employee is already entitled.
       Upon reemployment or restoration, the employing agency 
     would be required to pay lost earnings on contributions made 
     by the employee as well as any agency automatic contributions 
     to which the employee would have been entitled during the 
     make-up period.
       The period of military service would be counted towards 
     service required for vesting in TSP agency automatic 
     contributions, and any separation to perform military service 
     would not cause forfeiture of such contributions if the 
     employee is subsequently reemployed or restored pursuant to 
     chapter 43 of title 38. Persons who received involuntary TSP 
     payments as a result of their separation to perform military 
     service would have the right to restore those payments to the 
     plan.
       Employees who have been restored or reemployed before the 
     date of enactment of this Act would be entitled to make up 
     contributions for the period beginning with their absence 
     from civilian service and continuing through either the date 
     of enactment or the first TSP open season from which the 
     employee is eligible, whichever occurs first.
       An employee would be allowed to elect, for purposes of 
     transferring TSP account balances to eligible retirement 
     plans or establishing nonforfeitability of account balances 
     of less than $3,500, to have the employee's separation 
     treated as if it had never occurred. An election for these 
     purposes would have to be made within such period of time 
     after restoration or reemployment, as the case may be, and 
     otherwise in such manner as the Executive Director of the 
     Federal Retirement Thrift Investment Board prescribes.
       Senate amendment: Section 6 is substantively identical to 
     the House provisions but does not include requiring the 
     employing agency to pay lost earnings on retroactive 
     contributions.
       Compromise agreement: Section 4 follows the House bill with 
     a modification giving the employing agency the discretion to 
     pay lost earnings on retroactive contributions.


  revision of federal civil service retire- ment benefit program for 
                               reservists

       Current law: Some Federal workers--those enrolled in 
     Federal Employees' Retirement System (FERS)--who interrupt 
     their civilian employment to serve on active duty in the 
     military may be required to pay more to receive Federal 
     civilian retirement credit for that service than they would 
     have had to pay had they not gone on active duty.
       In order to receive Federal civilian retirement credit for 
     military service, Federal employees who are enrolled in FERS 
     are required to pay 3 percent of their military pay. However, 
     these employees pay only 0.8 percent of the civilian wages to 
     receive retirement credit for their civilian Federal 
     employment. As a result, when 3 percent of such an 
     individual's military pay exceeds 0.8 percent of that 
     individual's civilian pay, the individual would pay a 
     larger dollar amount to receive retirement credit for 
     military time than the individual would have paid had he 
     or she remained in the civilian job.
       House bill: No Provision.
       Senate amendment: Section 5 would amend sections 8334(j)(1) 
     and 8422(e)(1) of title 5, United States Code, to provide 
     that in the case of individuals enrolled in FERS (or in the 
     Civil Service Retirement System, which does not have this 
     anomaly) who have their Federal civilian service interrupted 
     by military service and who are reemployed under chapter 43 
     of title 38 on or after August 1, 1990, the deposit into 
     their retirement benefit program may not exceed the amount 
     that would have been deducted and withheld from basic pay 
     during civilian service if the employee had remained in 
     continuous civilian service.
       Section 5 also would amend sections 8331(13) and 8401(31) 
     of title 5, to expend the definition of ``military service'' 
     for both CSRS and FERS, respecively, by adding to the meaning 
     full-time National Guard duty (as that term is defined in 
     section 101(d) of title 10) if that service interrupts 
     creditable civilian service and is followed by reemployment 
     in accordance with chapter 43 of title 38 that occurs on or 
     after August 1, 1990.
       Compromise agreement: Section 5 includes this provision.


increase in amount of loan guaranty for the purchase or construction of 
                                 homes

       Current law: Section 3703(a)(1) of title 38 sets the 
     maximum amount of a VA loan guaranty for loans for the 
     purchase or construction of homes at $46,000, an amount that 
     would support a no-downpayment, VA-guaranteed home loan of 
     $184,000.
       House bill: No provision in H.R. 995. Section 1 of H.R. 
     949, as passed by the House on September 21, 1993, would 
     amend section 3703(a)(1) to increase the maximum loan 
     guaranty to $50,750 and thus increase the maximum loan 
     guaranty to $50,750 and thus increase the no-downpayment VA-
     guaranteed home loans to $203,000.
       Senate amendment: Section 10 is substantively identical to 
     section 1 of H.R. 949.
       Compromise agreement: Section 7 includes this provision.


                  transition rules and effective dates

       Current law: No provision.
       House bill: Section 6 of H.R. 995 would provide that 
     (1) except as provided elsewhere, the amendments made by 
     this Act would be effective with respect to reemployment 
     initiated on or after the first day after the 60-day 
     period beginning on the date of enactment, (2) the 
     reemployment provisions contained in chapter 43 in effect 
     on the day before the date of enactment would continue to 
     apply to reemployment initiated before the end of the 60-
     day period; (3) for the purposes of the five-year service 
     limitation, military service performed prior to the date 
     of enactment would be considered only to the extent that 
     period of military service would have counted toward the 
     service limitations under current law; (4) the anti-
     discrimination provisions that are added by amendments to 
     this Act would be effective on the date of enactment; (5) 
     the insurance provision would be effective on the date of 
     enactment, except that an individual on active duty on the 
     date of enactment would be able to elect to reinstate or 
     continue insurance coverage for the remaining portion of 
     the 18 months that began on the date of separation from 
     civilian employment; and (6) the disability provisions 
     would be effective with respect to reemployment initiated 
     on or after August 1, 1990.
       The provisions of section 4311(a) defining the actions 
     protected from discrimination or reprisal and the standard 
     and burden of proof set forth in section 4311(b) are not 
     additions to the Act but are a codification of existing law.
       Senate amendment: Section 9 is substantively identical to 
     the House provision with the additional provision that the 
     provisions of proposed section 4325 regarding investigations 
     and subpoenas would become effective on the date of enactment 
     and apply to any matter pending with the Secretary of Labor.
       Compromise agreement: Section 8 contains the Senate 
     provision. It also contains a provision that the notice of 
     intent not to return found in section 4316(b)(2) applies only 
     to furlough or leave of absence rights and benefits under 
     that section and does not apply to or waive any other right 
     or benefit under the Act.
       The compromise also provides that nothing in this Act would 
     relieve an employer or an obligation to provide contributions 
     to a pension plan (or provide pension benefits) which is 
     required by the provisions of the existing chapter 43 of 
     title 38, United States Code, in effect on the day before 
     this Act takes effect. Any plan which is not in compliance 
     with the requirements of the law would have two years from 
     the date of enactment to come into compliance with the law.
  Mr. BOREN. I move that the Senate concur in the House amendment.
  The PRESIDING OFFICER. The question is on agreeing to the motion.
  The motion was agreed to.

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