Benefit Accrual after Back Pay Award-Maximum hours of service credited

[Guest Jeff Kropp]

The ERISA regulations state that an hour of service, for participation, vesting, and benefit accrual purposes, must include an hour of service for which an employee received a backpay award. For participation and vesting purposes, no more than 501 hours of service need be credited for one continuous period for which the employee was not actively at work, in order to prevent a break-in-service.

At the same time, the same 501 hour rule appears to apply for benefit accruals, although the break in service rules are not relevant. Any thoughts as to whether same 501 minimum applies to benefit accruals?

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[Guest Steven Weinstein]