Treatment of Employee for testing purposes while on leave of absence

[Guest Joanne Davey]

There is an employee who has been out on a leave of absence for almost 2 years due to a worker's comp. related injury. The employee has not ben oficially terminated by the Employer because of fear of a lawsuit. The question is, is this employee considered a participant that needs to be included in the ADP test for 2003? My sense is that they would not have to be included, but I would like some feedback from others who might be more sure of what to do in a case like this.

[Guest LoloV]

I never include anybody in the test that did not actually work any hours in the plan year. I think you are correct to exclude.

[Harwood]

Also, if their only compensation is from Worker's Compensation, it is extremely unlikely that they have any plan compensation.

[Guest Joanne Davey]

Thanks for your input!