ADP returns for union/nonunion tests

[Guest anne1]

I am testing a plan for ADP and disaggregating the union/nonunion groups. Both groups fail the ADP test. Can the employer choose to do a QNEC for the union group but do returns for the nonunion group (or vice versa) or must both groups be corrected the same way?

[Guest mjb]

What does the collective bargaining agreement provide for employer contributions? If the only requirement is to make contributions designated in the CBA e,g, .25 per hour, why would the employer want to make additional contributions outside of the CBA and increase its labor costs?

[Guest Harry O]

There is no requirement to correct ADP failures the same way. I second mjb's point that making QNEC for union employees doesn't make a lot of sense.

[JanetM]

Another point about union, if you do QNEC for some, the ones who don't get it can and will file a grievance and the plan sponsor will have that to deal with. You really have HCEs in a union?