Catch-Up: Universal Availability and Union Plans

[Guest Lex]

An employer sponsors a Union plan and an non-Union plan. The employer amends for catch-ups in the Non-Union Plan on 1/1/02.

When does he have to allow catch-ups in the Union Plan- by the 10/1/02 date?

Or by the plan year that begins after the termination of the CBA in effect on 1/1/02?

[Guest yukon]

If the collective bargaining agreement was in effect 1/1/02, then the plan does not have to be taken into account for universal availability purposes until the first plan year beginning after the agreement terminates.

You want to be careful though. If the union does not agree to make catch-up contributions avaialable to its members, then the employer may have to eliminate the option for the non-union plan. In other words, it ain't up to the employer.