Full Vesting Upon Attainment of Normal Retirement Age; Occurs as Long as Employed by a Member of the Controlled Group in Which the Endorsing Entity Occurs; the Member of the Controlled Group Lacking an Endorsement of the Plan Lacks Effect on the Situation

[Pathfinder]

To present a hypothetical situation, Myra R----- works at Entity W and enters retirement plan 3. She later transitions to work at Entity T, an entity within the controlled group in which Entity W occurs. Entity T has not endorsed plan 3; she attains normal retirement age while at Entity T. To prevent ambiguity, Myra R----- transitioned from Entity W prior to having attained unequivocal vesting, though with a sufficient balance to thwart § 401(a)(31)(B) distributions.  Must she receive full vesting while employed at Entity T?   

 

[Belgarath]

Yes. At least IMHO. See DOL 2530.210(d).

[CuseFan]

YES - all service within the control group must count for eligibility and vesting whether earned at a participating employer or not.