H. R. 995

One Hundred Third Congress

of the

United States of America

AT THE SECOND SESSION

Begun and held at the City of Washington on Tuesday,

the twenty-fifth day of January, one thousand nine hundred and ninety-four

An Act

To amend title 38, United States Code, to improve reemployment rights and benefits

of veterans and other benefits of employment of certain members of the uniformed

services, and for other purposes.

Be it enacted by the Senate and House of Representatives of

the United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

This Act may be cited as the ‘‘Uniformed Services Employment

and Reemployment Rights Act of 1994’’.

SEC. 2. REVISION OF CHAPTER 43 OF TITLE 38.

(a) RESTATEMENT AND IMPROVEMENT OF EMPLOYMENT AND

REEMPLOYMENT RIGHTS.—Chapter 43 of title 38, United States

Code, is amended to read as follows:

‘‘CHAPTER 43—EMPLOYMENT AND REEMPLOYMENT RIGHTS OF MEMBERS OF THE UNIFORMED SERVICES

‘‘SUBCHAPTER I—GENERAL

‘‘4301. Purposes; sense of Congress. ‘‘4302. Relation to other law and plans or agreements. ‘‘4303. Definitions.

‘‘4304. Character of service.

‘‘SUBCHAPTER II—EMPLOYMENT AND REEMPLOYMENT RIGHTS AND

LIMITATIONS; PROHIBITIONS

‘‘4311. Discrimination against persons who serve in the uniformed services and acts

of reprisal prohibited. ‘‘4312. Reemployment rights of persons who serve in the uniformed services. ‘‘4313. Reemployment positions. ‘‘4314. Reemployment by the Federal Government. ‘‘4315. Reemployment by certain Federal agencies. ‘‘4316. Rights, benefits, and obligations of persons absent from employment for service in a uniformed service.

‘‘4317. Health plans. ‘‘4318. Employee pension benefit plans.

‘‘SUBCHAPTER III—PROCEDURES FOR ASSISTANCE, ENFORCEMENT, AND

INVESTIGATION

‘‘4321. Assistance in obtaining reemployment or other employment rights or benefits.

‘‘4322. Enforcement of employment or reemployment rights. ‘‘4323. Enforcement of rights with respect to a State or private employer. ‘‘4324. Enforcement of rights with respect to Federal executive agencies. ‘‘4325. Enforcement of rights with respect to certain Federal agencies. ‘‘4326. Conduct of investigation; subpoenas.

‘‘SUBCHAPTER IV—MISCELLANEOUS PROVISIONS

‘‘4331. Regulations.
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‘‘4332. Reports. ‘‘4333. Outreach.

‘‘SUBCHAPTER I—GENERAL

‘‘§ 4301. Purposes; sense of Congress

‘‘(a) The purposes of this chapter are— ‘‘(1) to encourage noncareer service in the uniformed serv- ices by eliminating or minimizing the disadvantages to civilian

careers and employment which can result from such service; ‘‘(2) to minimize the disruption to the lives of persons

performing service in the uniformed services as well as to

their employers, their fellow employees, and their communities,

by providing for the prompt reemployment of such persons

upon their completion of such service under honorable conditions; and

‘‘(3) to prohibit discrimination against persons because of their service in the uniformed services.

‘‘(b) It is the sense of Congress that the Federal Government should be a model employer in carrying out the provisions of this

chapter.

‘‘§ 4302. Relation to other law and plans or agreements

‘‘(a) Nothing in this chapter shall supersede, nullify or diminish any Federal or State law (including any local law or ordinance),

contract, agreement, policy, plan, practice, or other matter that

establishes a right or benefit that is more beneficial to, or is in

addition to, a right or benefit provided for such person in this

chapter. ‘‘(b) This chapter supersedes any State law (including any local law or ordinance), contract, agreement, policy, plan, practice, or

other matter that reduces, limits, or eliminates in any manner

any right or benefit provided by this chapter, including the

establishment of additional prerequisites to the exercise of any

such right or the receipt of any such benefit.

‘‘§ 4303. Definitions

‘‘For the purposes of this chapter— ‘‘(1) The term ‘Attorney General’ means the Attorney Gen- eral of the United States or any person designated by the

Attorney General to carry out a responsibility of the Attorney

General under this chapter. ‘‘(2) The term ‘benefit’, ‘benefit of employment’, or ‘rights and benefits’ means any advantage, profit, privilege, gain, status, account, or interest (other than wages or salary for work

performed) that accrues by reason of an employment contract

or agreement or an employer policy, plan, or practice and

includes rights and benefits under a pension plan, a health

plan, an employee stock ownership plan, insurance coverage

and awards, bonuses, severance pay, supplemental unemployment benefits, vacations, and the opportunity to select work

hours or location of employment.

‘‘(3) The term ‘employee’ means any person employed by

an employer.

‘‘(4)(A) Except as provided in subparagraphs (B) and (C),

the term ‘employer’ means any person, institution, organization,

or other entity that pays salary or wages for work performed

or that has control over employment opportunities, including—
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‘‘(i) a person, institution, organization, or other entity

to whom the employer has delegated the performance of

employment-related responsibilities;

‘‘(ii) the Federal Government;

‘‘(iii) a State;

‘‘(iv) any successor in interest to a person, institution,

organization, or other entity referred to in this subparagraph; and

‘‘(v) a person, institution, organization, or other entity

that has denied initial employment in violation of section

4311.

‘‘(B) In the case of a National Guard technician employed

under section 709 of title 32, the term ‘employer’ means the

adjutant general of the State in which the technician is

employed.

‘‘(C) Except as an actual employer of employees, an

employee pension benefit plan described in section 3(2) of the

Employee Retirement Income Security Act of 1974 (29 U.S.C.

1002(2)) shall be deemed to be an employer only with respect

to the obligation to provide benefits described in section 4318.

‘‘(5) The term ‘Federal executive agency’ includes the

United States Postal Service, the Postal Rate Commission, any

nonappropriated fund instrumentality of the United States,

any Executive agency (as that term is defined in section 105

of title 5) other than an agency referred to in section

2302(a)(2)(C)(ii) of title 5, and any military department (as

that term is defined in section 102 of title 5) with respect

to the civilian employees of that department. ‘‘(6) The term ‘Federal Government’ includes any Federal

executive agency, the legislative branch of the United States,

and the judicial branch of the United States. ‘‘(7) The term ‘health plan’ means an insurance policy or

contract, medical or hospital service agreement, membership

or subscription contract, or other arrangement under which

health services for individuals are provided or the expenses

of such services are paid.

‘‘(8) The term ‘notice’ means (with respect to subchapter

II) any written or verbal notification of an obligation or

intention to perform service in the uniformed services provided

to an employer by the employee who will perform such service

or by the uniformed service in which such service is to be

performed.

‘‘(9) The term ‘qualified’, with respect to an employment

position, means having the ability to perform the essential

tasks of the position.

‘‘(10) The term ‘reasonable efforts’, in the case of actions

required of an employer under this chapter, means actions,

including training provided by an employer, that do not place

an undue hardship on the employer.

‘‘(11) Notwithstanding section 101, the term ‘Secretary’

means the Secretary of Labor or any person designated by

such Secretary to carry out an activity under this chapter.

‘‘(12) The term ‘seniority’ means longevity in employment

together with any benefits of employment which accrue with,

or are determined by, longevity in employment.

‘‘(13) The term ‘service in the uniformed services’ means

the performance of duty on a voluntary or involuntary basis
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in a uniformed service under competent authority and includes

active duty, active duty for training, initial active duty for

training, inactive duty training, full-time National Guard duty,

and a period for which a person is absent from a position

of employment for the purpose of an examination to determine

the fitness of the person to perform any such duty.

‘‘(14) The term ‘State’ means each of the several States

of the United States, the District of Columbia, the Commonwealth of Puerto Rico, Guam, the Virgin Islands, and other

territories of the United States (including the agencies and

political subdivisions thereof).

‘‘(15) The term ‘undue hardship’, in the case of actions

taken by an employer, means actions requiring significant difficulty or expense, when considered in light of—

‘‘(A) the nature and cost of the action needed under

this chapter;

‘‘(B) the overall financial resources of the facility or

facilities involved in the provision of the action; the number

of persons employed at such facility; the effect on expenses

and resources, or the impact otherwise of such action upon

the operation of the facility;

‘‘(C) the overall financial resources of the employer;

the overall size of the business of an employer with respect

to the number of its employees; the number, type, and

location of its facilities; and

‘‘(D) the type of operation or operations of the employer,

including the composition, structure, and functions of the

work force of such employer; the geographic separateness,

administrative, or fiscal relationship of the facility or facilities in question to the employer.

‘‘(16) The term ‘uniformed services’ means the Armed

Forces, the Army National Guard and the Air National Guard

when engaged in active duty for training, inactive duty training,

or full-time National Guard duty, the commissioned corps of

the Public Health Service, and any other category of persons

designated by the President in time of war or emergency.

‘‘§ 4304. Character of service

‘‘A person’s entitlement to the benefits of this chapter by reason

of the service of such person in one of the uniformed services

terminates upon the occurrence of any of the following events:

‘‘(1) A separation of such person from such uniformed service with a dishonorable or bad conduct discharge.

‘‘(2) A separation of such person from such uniformed service under other than honorable conditions, as characterized

pursuant to regulations prescribed by the Secretary concerned.

‘‘(3) A dismissal of such person permitted under section

1161(a) of title 10.

‘‘(4) A dropping of such person from the rolls pursuant

to section 1161(b) of title 10.
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‘‘SUBCHAPTER II—EMPLOYMENT AND REEMPLOYMENT

RIGHTS AND LIMITATIONS; PROHIBITIONS

‘‘§ 4311. Discrimination against persons who serve in the uniformed services and acts of reprisal prohibited

‘‘(a) A person who is a member of, applies to be a member

of, performs, has performed, applies to perform, or has an obligation

to perform service in a uniformed service shall not be denied initial

employment, reemployment, retention in employment, promotion,

or any benefit of employment by an employer on the basis of

that membership, application for membership, performance of service, application for service, or obligation.

‘‘(b) An employer shall be considered to have denied a person

initial employment, reemployment, retention in employment, promotion, or a benefit of employment in violation of this section

if the person’s membership, application for membership, service,

application for service, or obligation for service in the uniformed

services is a motivating factor in the employer’s action, unless

the employer can prove that the action would have been taken

in the absence of such membership, application for membership,

performance of service, application for service, or obligation.

‘‘(c)(1) An employer may not discriminate in employment

against or take any adverse employment action against any person

because such person has taken an action to enforce a protection

afforded any person under this chapter, has testified or otherwise

made a statement in or in connection with any proceeding under

this chapter, has assisted or otherwise participated in an investigation under this chapter, or has exercised a right provided for in

this chapter.

‘‘(2) The prohibition in paragraph (1) shall apply with respect

to a person regardless of whether that person has performed service

in the uniformed services and shall apply to any position of employment, including a position that is described in section 4312(d)(1)(C).

‘‘§ 4312. Reemployment rights of persons who serve in the

uniformed services

‘‘(a) Subject to subsections (b), (c), and (d) and to section 4304,

any person who is absent from a position of employment by reason

of service in the uniformed services shall be entitled to the

reemployment rights and benefits and other employment benefits

of this chapter if—

‘‘(1) the person (or an appropriate officer of the uniformed

service in which such service is performed) has given advance

written or verbal notice of such service to such person’s

employer;

‘‘(2) the cumulative length of the absence and of all previous

absences from a position of employment with that employer

by reason of service in the uniformed services does not exceed

five years; and

‘‘(3) except as provided in subsection (f), the person reports

to, or submits an application for reemployment to, such

employer in accordance with the provisions of subsection (e).

‘‘(b) No notice is required under subsection (a)(1) if the giving

of such notice is precluded by military necessity or, under all

of the relevant circumstances, the giving of such notice is otherwise

impossible or unreasonable. A determination of military necessity

for the purposes of this subsection shall be made pursuant to
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regulations prescribed by the Secretary of Defense and shall not

be subject to judicial review.

‘‘(c) Subsection (a) shall apply to a person who is absent from

a position of employment by reason of service in the uniformed

services if such person’s cumulative period of service in the uniformed services, with respect to the employer relationship for which

a person seeks reemployment, does not exceed five years, except

that any such period of service shall not include any service—

‘‘(1) that is required, beyond five years, to complete an

initial period of obligated service;

‘‘(2) during which such person was unable to obtain orders

releasing such person from a period of service in the uniformed

services before the expiration of such five-year period and such

inability was through no fault of such person;

‘‘(3) performed as required pursuant to section 270 of title

10, under section 502(a) or 503 of title 32, or to fulfill additional

training requirements determined and certified in writing by

the Secretary concerned, to be necessary for professional development, or for completion of skill training or retraining; or

‘‘(4) performed by a member of a uniformed service who

is—

‘‘(A) ordered to or retained on active duty under section

672(a), 672(g), 673, 673b, 673c, or 688 of title 10 or under

section 331, 332, 359, 360, 367, or 712 of title 14;

‘‘(B) ordered to or retained on active duty (other than

for training) under any provision of law during a war

or during a national emergency declared by the President

or the Congress; ‘‘(C) ordered to active duty (other than for training)

in support, as determined by the Secretary concerned, of

an operational mission for which personnel have been

ordered to active duty under section 673b of title 10; ‘‘(D) ordered to active duty in support, as determined

by the Secretary concerned, of a critical mission or requirement of the uniformed services; or

‘‘(E) called into Federal service as a member of the

National Guard under chapter 15 of title 10 or under

section 3500 or 8500 of title 10.

‘‘(d)(1) An employer is not required to reemploy a person under

this chapter if—

‘‘(A) the employer’s circumstances have so changed as to

make such reemployment impossible or unreasonable; ‘‘(B) in the case of a person entitled to reemployment under subsection (a)(3), (a)(4), or (b)(2)(B) of section 4313, such

employment would impose an undue hardship on the employer;

or

‘‘(C) the employment from which the person leaves to serve

in the uniformed services is for a brief, nonrecurrent period

and there is no reasonable expectation that such employment

will continue indefinitely or for a significant period.

‘‘(2) In any proceeding involving an issue of whether—

‘‘(A) any reemployment referred to in paragraph (1) is

impossible or unreasonable because of a change in an employer’s circumstances,

‘‘(B) any accommodation, training, or effort referred to in

subsection (a)(3), (a)(4), or (b)(2)(B) of section 4313 would

impose an undue hardship on the employer, or
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‘‘(C) the employment referred to in paragraph (1)(C) is

brief or for a nonrecurrent period and without a reasonable

expectation that such employment will continue indefinitely

or for a significant period,

the employer shall have the burden of proving the impossibility

or unreasonableness, undue hardship, or the brief or nonrecurrent

nature of the employment without a reasonable expectation of

continuing indefinitely or for a significant period.

‘‘(e)(1) Subject to paragraph (2), a person referred to in subsection (a) shall, upon the completion of a period of service in

the uniformed services, notify the employer referred to in such

subsection of the person’s intent to return to a position of employment with such employer as follows:

‘‘(A) In the case of a person whose period of service in

the uniformed services was less than 31 days, by reporting

to the employer—

‘‘(i) not later than the beginning of the first full regularly scheduled work period on the first full calendar day

following the completion of the period of service and the

expiration of eight hours after a period allowing for the

safe transportation of the person from the place of that

service to the person’s residence; or

‘‘(ii) as soon as possible after the expiration of the

eight-hour period referred to in clause (i), if reporting

within the period referred to in such clause is impossible

or unreasonable through no fault of the person.

‘‘(B) In the case of a person who is absent from a position

of employment for a period of any length for the purposes

of an examination to determine the person’s fitness to perform

service in the uniformed services, by reporting in the manner

and time referred to in subparagraph (A). ‘‘(C) In the case of a person whose period of service in

the uniformed services was for more than 30 days but less

than 181 days, by submitting an application for reemployment

with the employer not later than 14 days after the completion

of the period of service or if submitting such application within

such period is impossible or unreasonable through no fault

of the person, the next first full calendar day when submission

of such application becomes possible.

‘‘(D) In the case of a person whose period of service in

the uniformed services was for more than 180 days, by submitting an application for reemployment with the employer not

later than 90 days after the completion of the period of service.

‘‘(2)(A) A person who is hospitalized for, or convalescing from,

an illness or injury incurred in, or aggravated during, the performance of service in the uniformed services shall, at the end of the

period that is necessary for the person to recover from such illness

or injury, report to the person’s employer (in the case of a person

described in subparagraph (A) or (B) of paragraph (1)) or submit

an application for reemployment with such employer (in the case

of a person described in subparagraph (C) or (D) of such paragraph).

Except as provided in subparagraph (B), such period of recovery

may not exceed two years.

‘‘(B) Such two-year period shall be extended by the minimum

time required to accommodate the circumstances beyond such person’s control which make reporting within the period specified in

subparagraph (A) impossible or unreasonable.
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‘‘(3) A person who fails to report or apply for employment

or reemployment within the appropriate period specified in this

subsection shall not automatically forfeit such person’s entitlement

to the rights and benefits referred to in subsection (a) but shall

be subject to the conduct rules, established policy, and general

practices of the employer pertaining to explanations and discipline

with respect to absence from scheduled work.

‘‘(f)(1) A person who submits an application for reemployment

in accordance with subparagraph (C) or (D) of subsection (e)(1)

or subsection (e)(2) shall provide to the person’s employer (upon

the request of such employer) documentation to establish that—

‘‘(A) the person’s application is timely;

‘‘(B) the person has not exceeded the service limitations

set forth in subsection (a)(2) (except as permitted under subsection (c)); and

‘‘(C) the person’s entitlement to the benefits under this

chapter has not been terminated pursuant to section 4304.

‘‘(2) Documentation of any matter referred to in paragraph

(1) that satisfies regulations prescribed by the Secretary shall satisfy the documentation requirements in such paragraph.

‘‘(3)(A) Except as provided in subparagraph (B), the failure

of a person to provide documentation that satisfies regulations

prescribed pursuant to paragraph (2) shall not be a basis for denying

reemployment in accordance with the provisions of this chapter

if the failure occurs because such documentation does not exist

or is not readily available at the time of the request of the employer.

If, after such reemployment, documentation becomes available that

establishes that such person does not meet one or more of the

requirements referred to in subparagraphs (A), (B), and (C) of

paragraph (1), the employer of such person may terminate the

employment of the person and the provision of any rights or benefits

afforded the person under this chapter.

‘‘(B) An employer who reemploys a person absent from a position of employment for more than 90 days may require that the

person provide the employer with the documentation referred to

in subparagraph (A) before beginning to treat the person as not

having incurred a break in service for pension purposes under

section 4318(a)(2)(A).

‘‘(4) An employer may not delay or attempt to defeat a reemployment obligation by demanding documentation that does not then

exist or is not then readily available.

‘‘(g) The right of a person to reemployment under this section

shall not entitle such person to retention, preference, or displacement rights over any person with a superior claim under the provisions of title 5, United States Code, relating to veterans and other

preference eligibles.

‘‘(h) In any determination of a person’s entitlement to protection

under this chapter, the timing, frequency, and duration of the

person’s training or service, or the nature of such training or service

(including voluntary service) in the uniformed services, shall not

be a basis for denying protection of this chapter if the service

does not exceed the limitations set forth in subsection (c) and

the notice requirements established in subsection (a)(1) and the

notification requirements established in subsection (e) are met.
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‘‘§ 4313. Reemployment positions

‘‘(a) Subject to subsection (b) (in the case of any employee) and sections 4314 and 4315 (in the case of an employee of the

Federal Government), a person entitled to reemployment under

section 4312, upon completion of a period of service in the uniformed

services, shall be promptly reemployed in a position of employment

in accordance with the following order of priority: ‘‘(1) Except as provided in paragraphs (3) and (4), in the case of a person whose period of service in the uniformed

services was for less than 91 days— ‘‘(A) in the position of employment in which the person would have been employed if the continuous employment

of such person with the employer had not been interrupted

by such service, the duties of which the person is qualified

to perform; or ‘‘(B) in the position of employment in which the person was employed on the date of the commencement of the

service in the uniformed services, only if the person is

not qualified to perform the duties of the position referred

to in subparagraph (A) after reasonable efforts by the

employer to qualify the person.

‘‘(2) Except as provided in paragraphs (3) and (4), in the case of a person whose period of service in the uniformed

services was for more than 90 days— ‘‘(A) in the position of employment in which the person would have been employed if the continuous employment

of such person with the employer had not been interrupted

by such service, or a position of like seniority, status and

pay, the duties of which the person is qualified to perform;

or

‘‘(B) in the position of employment in which the person was employed on the date of the commencement of the

service in the uniformed services, or a position of like

seniority, status and pay, the duties of which the person

is qualified to perform, only if the person is not qualified

to perform the duties of a position referred to in subparagraph (A) after reasonable efforts by the employer to qualify

the person.

‘‘(3) In the case of a person who has a disability incurred in, or aggravated during, such service, and who (after reasonable efforts by the employer to accommodate the disability)

is not qualified due to such disability to be employed in the

position of employment in which the person would have been

employed if the continuous employment of such person with

the employer had not been interrupted by such service—

‘‘(A) in any other position which is equivalent in seniority, status, and pay, the duties of which the person is

qualified to perform or would become qualified to perform

with reasonable efforts by the employer; or

‘‘(B) if not employed under subparagraph (A), in a

position which is the nearest approximation to a position

referred to in subparagraph (A) in terms of seniority, status, and pay consistent with circumstances of such person’s

case.

‘‘(4) In the case of a person who (A) is not qualified to

be employed in (i) the position of employment in which the

person would have been employed if the continuous employment
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of such person with the employer had not been interrupted

by such service, or (ii) in the position of employment in which

such person was employed on the date of the commencement

of the service in the uniform services for any reason (other

than disability incurred in, or aggravated during, service in

the uniformed services), and (B) cannot become qualified with

reasonable efforts by the employer, in any other position of

lesser status and pay which such person is qualified to perform,

with full seniority.

‘‘(b)(1) If two or more persons are entitled to reemployment

under section 4312 in the same position of employment and more

than one of them has reported for such reemployment, the person

who left the position first shall have the prior right to reemployment

in that position.

‘‘(2) Any person entitled to reemployment under section 4312

who is not reemployed in a position of employment by reason

of paragraph (1) shall be entitled to be reemployed as follows:

‘‘(A) Except as provided in subparagraph (B), in any other

position of employment referred to in subsection (a)(1) or (a)(2),

as the case may be (in the order of priority set out in the

applicable subsection), that provides a similar status and pay

to a position of employment referred to in paragraph (1) of

this subsection, consistent with the circumstances of such person’s case, with full seniority.

‘‘(B) In the case of a person who has a disability incurred

in, or aggravated during, a period of service in the uniformed

services that requires reasonable efforts by the employer for

the person to be able to perform the duties of the position

of employment, in any other position referred to in subsection

(a)(3) (in the order of priority set out in that subsection) that

provides a similar status and pay to a position referred to

in paragraph (1) of this subsection, consistent with circumstances of such person’s case, with full seniority.

‘‘§ 4314. Reemployment by the Federal Government

‘‘(a) Except as provided in subsections (b), (c), and (d), if a

person is entitled to reemployment by the Federal Government

under section 4312, such person shall be reemployed in a position

of employment as described in section 4313.

‘‘(b)(1) If the Director of the Office of Personnel Management

makes a determination described in paragraph (2) with respect

to a person who was employed by a Federal executive agency

at the time the person entered the service from which the person

seeks reemployment under this section, the Director shall—

‘‘(A) identify a position of like seniority, status, and pay

at another Federal executive agency that satisfies the requirements of section 4313 and for which the person is qualified;

and

‘‘(B) ensure that the person is offered such position.

‘‘(2) The Director shall carry out the duties referred to in

subparagraphs (A) and (B) of paragraph (1) if the Director determines that—

‘‘(A) the Federal executive agency that employed the person

referred to in such paragraph no longer exists and the functions

of such agency have not been transferred to another Federal

executive agency; or
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‘‘(B) it is impossible or unreasonable for the agency to

reemploy the person.

‘‘(c) If the employer of a person described in subsection (a)

was, at the time such person entered the service from which such

person seeks reemployment under this section, a part of the judicial

branch or the legislative branch of the Federal Government, and

such employer determines that it is impossible or unreasonable

for such employer to reemploy such person, such person shall,

upon application to the Director of the Office of Personnel Management, be ensured an offer of employment in an alternative position

in a Federal executive agency on the basis described in subsection

(b).

‘‘(d) If the adjutant general of a State determines that it is

impossible or unreasonable to reemploy a person who was a

National Guard technician employed under section 709 of title

32, such person shall, upon application to the Director of the Office

of Personnel Management, be ensured an offer of employment in

an alternative position in a Federal executive agency on the basis

described in subsection (b).

‘‘§ 4315. Reemployment by certain Federal agencies

‘‘(a) The head of each agency referred to in section

2302(a)(2)(C)(ii) of title 5 shall prescribe procedures for ensuring

that the rights under this chapter apply to the employees of such

agency.

‘‘(b) In prescribing procedures under subsection (a), the head

of an agency referred to in that subsection shall ensure, to the

maximum extent practicable, that the procedures of the agency

for reemploying persons who serve in the uniformed services provide

for the reemployment of such persons in the agency in a manner

similar to the manner of reemployment described in section 4313.

‘‘(c)(1) The procedures prescribed under subsection (a) shall

designate an official at the agency who shall determine whether

or not the reemployment of a person referred to in subsection

(b) by the agency is impossible or unreasonable.

‘‘(2) Upon making a determination that the reemployment by

the agency of a person referred to in subsection (b) is impossible

or unreasonable, the official referred to in paragraph (1) shall

notify the person and the Director of the Office of Personnel

Management of such determination.

‘‘(3) A determination pursuant to this subsection shall not be

subject to judicial review.

‘‘(4) The head of each agency referred to in subsection (a)

shall submit to the Select Committee on Intelligence and the

Committee on Veterans’ Affairs of the Senate and the Permanent

Select Committee on Intelligence and the Committee on Veterans’

Affairs of the House of Representatives on an annual basis a report

on the number of persons whose reemployment with the agency

was determined under this subsection to be impossible or unreasonable during the year preceding the report, including the reason

for each such determination.

‘‘(d)(1) Except as provided in this section, nothing in this section,

section 4313, or section 4325 shall be construed to exempt any

agency referred to in subsection (a) from compliance with any

other substantive provision of this chapter.

‘‘(2) This section may not be construed—
H. R. 995—12

‘‘(A) as prohibiting an employee of an agency referred to

in subsection (a) from seeking information from the Secretary

regarding assistance in seeking reemployment from the agency

under this chapter, alternative employment in the Federal

Government under this chapter, or information relating to the

rights and obligations of employee and Federal agencies under

this chapter; or

‘‘(B) as prohibiting such an agency from voluntarily

cooperating with or seeking assistance in or of clarification

from the Secretary or the Director of the Office of Personnel

Management of any matter arising under this chapter.

‘‘(e) The Director of the Office of Personnel Management shall

ensure the offer of employment to a person in a position in a

Federal executive agency on the basis described in subsection (b)

if—

‘‘(1) the person was an employee of an agency referred

to in section 2302(a)(2)(C)(ii) of title 5 at the time the person

entered the service from which the person seeks reemployment

under this section;

‘‘(2) the appropriate officer of the agency determines under

subsection (c) that reemployment of the person by the agency

is impossible or unreasonable; and

‘‘(3) the person submits an application to the Director for

an offer of employment under this subsection.

‘‘§ 4316. Rights, benefits, and obligations of persons absent

from employment for service in a uniformed service

‘‘(a) A person who is reemployed under this chapter is entitled

to the seniority and other rights and benefits determined by seniority that the person had on the date of the commencement of service

in the uniformed services plus the additional seniority and rights

and benefits that such person would have attained if the person

had remained continuously employed. ‘‘(b)(1) Subject to paragraphs (2) through (6), a person who

is absent from a position of employment by reason of service in

the uniformed services shall be—

‘‘(A) deemed to be on furlough or leave of absence while

performing such service; and ‘‘(B) entitled to such other rights and benefits not determined by seniority as are generally provided by the employer

of the person to employees having similar seniority, status,

and pay who are on furlough or leave of absence under a

contract, agreement, policy, practice, or plan in effect at the

commencement of such service or established while such person

performs such service.

‘‘(2)(A) Subject to subparagraph (B), a person who—

‘‘(i) is absent from a position of employment by reason

of service in the uniformed services, and

‘‘(ii) knowingly provides written notice of intent not to

return to a position of employment after service in the uniformed service,

is not entitled to rights and benefits under paragraph (1)(B).

‘‘(B) For the purposes of subparagraph (A), the employer shall

have the burden of proving that a person knowingly provided clear

written notice of intent not to return to a position of employment

after service in the uniformed service and, in doing so, was aware
H. R. 995—13

of the specific rights and benefits to be lost under subparagraph

(A).

‘‘(3) A person deemed to be on furlough or leave of absence

under this subsection while serving in the uniformed services shall

not be entitled under this subsection to any benefits to which

the person would not otherwise be entitled if the person had

remained continuously employed.

‘‘(4) Such person may be required to pay the employee cost,

if any, of any funded benefit continued pursuant to paragraph

(1) to the extent other employees on furlough or leave of absence

are so required.

‘‘(5) The entitlement of a person to coverage under a health

plan is provided for under section 4317.

‘‘(6) The entitlement of a person to a right or benefit under

an employee pension benefit plan is provided for under section

4318.

‘‘(c) A person who is reemployed by an employer under this

chapter shall not be discharged from such employment, except

for cause—

‘‘(1) within one year after the date of such reemployment,

if the person’s period of service before the reemployment was

more than 180 days; or

‘‘(2) within 180 days after the date of such reemployment,

if the person’s period of service before the reemployment was

more than 30 days but less than 181 days.

‘‘(d) Any person whose employment with an employer is interrupted by a period of service in the uniformed services shall be

permitted, upon request of that person, to use during such period

of service any vacation, annual, or similar leave with pay accrued

by the person before the commencement of such service.

‘‘§ 4317. Health plans

‘‘(a)(1)(A) Subject to paragraphs (2) and (3), in any case in which a person (or the person’s dependents) has coverage under

a health plan in connection with the person’s position of employment, including a group health plan (as defined in section 607(1)

of the Employee Retirement Income Security Act of 1974), and

such person is absent from such position of employment by reason

of service in the uniformed services, the plan shall provide that

the person may elect to continue such coverage as provided in

this subsection. The maximum period of coverage of a person and

the person’s dependents under such an election shall be the lesser

of—

‘‘(i) the 18-month period beginning on the date on which

the person’s absence begins; or

‘‘(ii) the day after the date on which the person fails to

apply for or return to a position of employment, as determined

under section 4312(e).

‘‘(B) A person who elects to continue health-plan coverage under

this paragraph may be required to pay not more than 102 percent

of the full premium under the plan (determined in the same manner

as the applicable premium under section 4980B(f)(4) of the Internal

Revenue Code of 1986) associated with such coverage for the

employer’s other employees, except that in the case of a person

who performs service in the uniformed services for less than 31

days, such person may not be required to pay more than the

employee share, if any, for such coverage.
H. R. 995—14

‘‘(C) In the case of a health plan that is a multiemployer

plan, as defined in section 3(37) of the Employee Retirement Income

Security Act of 1974, any liability under the plan for employer

contributions and benefits arising under this paragraph shall be

allocated—

‘‘(i) by the plan in such manner as the plan sponsor shall

provide; or

‘‘(ii) if the sponsor does not provide—

‘‘(I) to the last employer employing the person before

the period served by the person in the uniformed services,

or

‘‘(II) if such last employer is no longer functional, to

the plan.

‘‘(b)(1) Except as provided in paragraph (2), in the case of

a person whose coverage under a health plan was terminated by

reason of service in the uniformed services, an exclusion or waiting

period may not be imposed in connection with the reinstatement

of such coverage upon reemployment under this chapter if an exclusion or waiting period would not have been imposed under a health

plan had coverage of such person by such plan not been terminated

as a result of such service. This paragraph applies to the person

who is reemployed and to any individual who is covered by such

plan by reason of the reinstatement of the coverage of such person.

‘‘(2) Paragraph (1) shall not apply to the coverage of any illness

or injury determined by the Secretary of Veterans Affairs to have

been incurred in, or aggravated during, performance of service

in the uniformed services.

‘‘§ 4318. Employee pension benefit plans

‘‘(a)(1)(A) Except as provided in subparagraph (B), in the case

of a right provided pursuant to an employee pension benefit plan

(including those described in sections 3(2) and 3(33) of the Employee

Retirement Income Security Act of 1974) or a right provided under

any Federal or State law governing pension benefits for governmental employees, the right to pension benefits of a person

reemployed under this chapter shall be determined under this section.

‘‘(B) In the case of benefits under the Thrift Savings Plan,

the rights of a person reemployed under this chapter shall be

those rights provided in section 8432b of title 5. The first sentence

of this subparagraph shall not be construed to affect any other

right or benefit under this chapter. ‘‘(2)(A) A person reemployed under this chapter shall be treated

as not having incurred a break in service with the employer or

employers maintaining the plan by reason of such person’s period

or periods of service in the uniformed services.

‘‘(B) Each period served by a person in the uniformed services

shall, upon reemployment under this chapter, be deemed to constitute service with the employer or employers maintaining the

plan for the purpose of determining the nonforfeitability of the

person’s accrued benefits and for the purpose of determining the

accrual of benefits under the plan.

‘‘(b)(1) An employer reemploying a person under this chapter

shall, with respect to a period of service described in subsection

(a)(2)(B), be liable to an employee pension benefit plan for funding

any obligation of the plan to provide the benefits described in

subsection (a)(2) and shall allocate the amount of any employer
H. R. 995—15

contribution for the person in the same manner and to the same

extent the allocation occurs for other employees during the period

of service. For purposes of determining the amount of such liability

and any obligation of the plan, earnings and forfeitures shall not

be included. For purposes of determining the amount of such liability and for purposes of section 515 of the Employee Retirement

Income Security Act of 1974 or any similar Federal or State law

governing pension benefits for governmental employees, service in

the uniformed services that is deemed under subsection (a) to

be service with the employer shall be deemed to be service with

the employer under the terms of the plan or any applicable collective

bargaining agreement. In the case of a multiemployer plan, as

defined in section 3(37) of the Employee Retirement Income Security

Act of 1974, any liability of the plan described in this paragraph

shall be allocated—

‘‘(A) by the plan in such manner as the sponsor maintaining

the plan shall provide; or

‘‘(B) if the sponsor does not provide—

‘‘(i) to the last employer employing the person before

the period served by the person in the uniformed services,

or

‘‘(ii) if such last employer is no longer functional, to

the plan.

‘‘(2) A person reemployed under this chapter shall be entitled

to accrued benefits pursuant to subsection (a) that are contingent

on the making of, or derived from, employee contributions or elective

deferrals (as defined in section 402(g)(3) of the Internal Revenue

Code of 1986) only to the extent the person makes payment to

the plan with respect to such contributions or deferrals. No such

payment may exceed the amount the person would have been

permitted or required to contribute had the person remained

continuously employed by the employer throughout the period of

service described in subsection (a)(2)(B). Any payment to the plan

described in this paragraph shall be made during the period beginning with the date of reemployment and whose duration is three

times the period of the person’s service in the uniformed services,

not to exceed five years.

‘‘(3) For purposes of computing an employer’s liability under

paragraph (1) or the employee’s contributions under paragraph

(2), the employee’s compensation during the period of service

described in subsection (a)(2)(B) shall be computed—

‘‘(A) at the rate the employee would have received but

for the period of service described in subsection (a)(2)(B), or

‘‘(B) in the case that the determination of such rate is

not reasonably certain, on the basis of the employee’s average

rate of compensation during the 12-month period immediately

preceding such period (or, if shorter, the period of employment

immediately preceding such period).

‘‘(c) Any employer who reemploys a person under this chapter

and who is an employer contributing to a multiemployer plan,

as defined in section 3(37) of the Employee Retirement Income

Security Act of 1974, under which benefits are or may be payable

to such person by reason of the obligations set forth in this chapter,

shall, within 30 days after the date of such reemployment, provide

information, in writing, of such reemployment to the administrator

of such plan.
H. R. 995—16

‘‘SUBCHAPTER III—PROCEDURES FOR ASSISTANCE,

ENFORCEMENT, AND INVESTIGATION

‘‘§ 4321. Assistance in obtaining reemployment or other

employment rights or benefits

‘‘The Secretary (through the Veterans’ Employment and Training Service) shall provide assistance to any person with respect

to the employment and reemployment rights and benefits to which

such person is entitled under this chapter. In providing such assistance, the Secretary may request the assistance of existing Federal

and State agencies engaged in similar or related activities and

utilize the assistance of volunteers.

‘‘§ 4322. Enforcement of employment or reemployment rights

‘‘(a) A person who claims that—

‘‘(1) such person is entitled under this chapter to employment or reemployment rights or benefits with respect to employment by an employer; and

‘‘(2)(A) such employer has failed or refused, or is about

to fail or refuse, to comply with the provisions of this chapter;

or

‘‘(B) in the case that the employer is a Federal executive

agency, such employer or the Office of Personnel Management

has failed or refused, or is about to fail or refuse, to comply

with the provisions of this chapter,

may file a complaint with the Secretary in accordance with subsection (b), and the Secretary shall investigate such complaint.

‘‘(b) Such complaint shall be in writing, be in such form as

the Secretary may prescribe, include the name and address of

the employer against whom the complaint is filed, and contain

a summary of the allegations that form the basis for the complaint.

‘‘(c) The Secretary shall, upon request, provide technical assistance to a potential claimant with respect to a complaint under

this subsection, and when appropriate, to such claimant’s employer.

‘‘(d) The Secretary shall investigate each complaint submitted

pursuant to subsection (a). If the Secretary determines as a result

of the investigation that the action alleged in such complaint

occurred, the Secretary shall resolve the complaint by making

reasonable efforts to ensure that the person or entity named in

the complaint complies with the provisions of this chapter.

‘‘(e) If the efforts of the Secretary with respect to a complaint

under subsection (d) are unsuccessful, the Secretary shall notify

the person who submitted the complaint of—

‘‘(1) the results of the Secretary’s investigation; and

‘‘(2) the complainant’s entitlement to proceed under the

enforcement of rights provisions provided under section 4323

(in the case of a person submitting a complaint against a

State or private employer) or section 4324 (in the case of

a person submitting a complaint against a Federal executive

agency).

‘‘(f) This subchapter does not apply to any action relating to

benefits to be provided under the Thrift Savings Plan under title

5.
H. R. 995—17

‘‘§ 4323. Enforcement of rights with respect to a State or

private employer

‘‘(a)(1) A person who receives from the Secretary a notification

pursuant to section 4322(e) of an unsuccessful effort to resolve

a complaint relating to a State (as an employer) or a private

employer may request that the Secretary refer the complaint to

the Attorney General. If the Attorney General is reasonably satisfied

that the person on whose behalf the complaint is referred is entitled

to the rights or benefits sought, the Attorney General may appear

on behalf of, and act as attorney for, the person on whose behalf

the complaint is submitted and commence an action for appropriate

relief for such person in an appropriate United States district

court.

‘‘(2) A person may commence an action for relief with respect

to a complaint if that person—

‘‘(A) has chosen not to apply to the Secretary for assistance

regarding the complaint under section 4322(c);

‘‘(B) has chosen not to request that the Secretary refer

the complaint to the Attorney General under paragraph (1);

or

‘‘(C) has been refused representation by the Attorney General with respect to the complaint under such paragraph.

‘‘(b) In the case of an action against a State as an employer,

the appropriate district court is the court for any district in which

the State exercises any authority or carries out any function. In

the case of a private employer the appropriate district court is

the district court for any district in which the private employer

of the person maintains a place of business.

‘‘(c)(1)(A) The district courts of the United States shall have

jurisdiction, upon the filing of a complaint, motion, petition, or

other appropriate pleading by or on behalf of the person claiming

a right or benefit under this chapter—

‘‘(i) to require the employer to comply with the provisions

of this chapter;

‘‘(ii) to require the employer to compensate the person

for any loss of wages or benefits suffered by reason of such

employer’s failure to comply with the provisions of this chapter;

and

‘‘(iii) to require the employer to pay the person an amount

equal to the amount referred to in clause (ii) as liquidated

damages, if the court determines that the employer’s failure

to comply with the provisions of this chapter was willful.

‘‘(B) Any compensation under clauses (ii) and (iii) of subparagraph (A) shall be in addition to, and shall not diminish, any

of the other rights and benefits provided for in this chapter.

‘‘(2)(A) No fees or court costs shall be charged or taxed against

any person claiming rights under this chapter.

‘‘(B) In any action or proceeding to enforce a provision of this

chapter by a person under subsection (a)(2) who obtained private

counsel for such action or proceeding, the court may award any

such person who prevails in such action or proceeding reasonable

attorney fees, expert witness fees, and other litigation expenses.

‘‘(3) The court may use its full equity powers, including temporary or permanent injunctions, temporary restraining orders, and

contempt orders, to vindicate fully the rights or benefits of persons

under this chapter.
H. R. 995—18

‘‘(4) An action under this chapter may be initiated only by

a person claiming rights or benefits under this chapter, not by

an employer, prospective employer, or other entity with obligations

under this chapter.

‘‘(5) In any such action, only an employer or a potential

employer, as the case may be, shall be a necessary party respondent.

‘‘(6) No State statute of limitations shall apply to any proceeding

under this chapter.

‘‘(7) A State shall be subject to the same remedies, including

prejudgment interest, as may be imposed upon any private employer

under this section.

‘‘§ 4324. Enforcement of rights with respect to Federal executive agencies

‘‘(a)(1) A person who receives from the Secretary a notification

pursuant to section 4322(e) of an unsuccessful effort to resolve

a complaint relating to a Federal executive agency may request

that the Secretary refer the complaint for litigation before the

Merit Systems Protection Board. The Secretary shall refer the complaint to the Office of Special Counsel established by section 1211

of title 5.

‘‘(2)(A) If the Special Counsel is reasonably satisfied that the

person on whose behalf a complaint is referred under paragraph

(1) is entitled to the rights or benefits sought, the Special Counsel

(upon the request of the person submitting the complaint) may

appear on behalf of, and act as attorney for, the person and initiate

an action regarding such complaint before the Merit Systems Protection Board.

‘‘(B) If the Special Counsel declines to initiate an action and

represent a person before the Merit Systems Protection Board under

subparagraph (A), the Special Counsel shall notify such person

of that decision.

‘‘(b) A person may submit a complaint against a Federal executive agency under this subchapter directly to the Merit Systems

Protection Board if that person—

‘‘(1) has chosen not to apply to the Secretary for assistance

regarding a complaint under section 4322(c);

‘‘(2) has received a notification from the Secretary under

section 4322(e);

‘‘(3) has chosen not to be represented before the Board

by the Special Counsel pursuant to subsection (a)(2)(A); or

‘‘(4) has received a notification of a decision from the Special

Counsel under subsection (a)(2)(B).

‘‘(c)(1) The Merit Systems Protection Board shall adjudicate

any complaint brought before the Board pursuant to subsection

(a)(2)(A) or (b). A person who seeks a hearing or adjudication

by submitting such a complaint under this paragraph may be represented at such hearing or adjudication in accordance with the

rules of the Board.

‘‘(2) If the Board determines that a Federal executive agency

has not complied with the provisions of this chapter relating to

the employment or reemployment of a person by the agency, the

Board shall enter an order requiring the agency or employee to

comply with such provisions and to compensate such person for

any loss of wages or benefits suffered by such person by reason

of such lack of compliance.
H. R. 995—19

‘‘(3) Any compensation received by a person pursuant to an

order under paragraph (2) shall be in addition to any other right

or benefit provided for by this chapter and shall not diminish

any such right or benefit.

‘‘(4) If the Board determines as a result of a hearing or adjudication conducted pursuant to a complaint submitted by a person

directly to the Board pursuant to subsection (b) that such person

is entitled to an order referred to in paragraph (2), the Board

may, in its discretion, award such person reasonable attorney fees,

expert witness fees, and other litigation expenses.

‘‘(d)(1) A person adversely affected or aggrieved by a final

order or decision of the Merit Systems Protection Board under

subsection (c) may petition the United States Court of Appeals

for the Federal Circuit to review the final order or decision. Such

petition and review shall be in accordance with the procedures

set forth in section 7703 of title 5.

‘‘(2) Such person may be represented in the Federal Circuit

proceeding by the Special Counsel unless the person was not represented by the Special Counsel before the Merit Systems Protection

Board regarding such order or decision.

‘‘§ 4325. Enforcement of rights with respect to certain Federal agencies

‘‘(a) This section applies to any person who alleges that—

‘‘(1) the reemployment of such person by an agency referred

to in subsection (a) of section 4315 was not in accordance

with procedures for the reemployment of such person under

subsection (b) of such section; or

‘‘(2) the failure of such agency to reemploy the person

under such section was otherwise wrongful.

‘‘(b) Any person referred to in subsection (a) may submit a

claim relating to an allegation referred to in that subsection to

the inspector general of the agency which is the subject of the

allegation. The inspector general shall investigate and resolve the

allegation pursuant to procedures prescribed by the head of the

agency. ‘‘(c) In prescribing procedures for the investigation and resolu- tion of allegations under subsection (b), the head of an agency

shall ensure, to the maximum extent practicable, that the procedures are similar to the procedures for investigating and resolving

complaints utilized by the Secretary under section 4322(d). ‘‘(d) This section may not be construed— ‘‘(1) as prohibiting an employee of an agency referred to in subsection (a) from seeking information from the Secretary

regarding assistance in seeking reemployment from the agency

under this chapter, alternative employment in the Federal

Government under this chapter, or information relating to the

rights and obligations of employee and Federal agencies under

this chapter; or

‘‘(2) as prohibiting such an agency from voluntarily

cooperating with or seeking assistance in or of clarification

from the Secretary or the Director of the Office of Personnel

Management of any matter arising under this chapter.

‘‘§ 4326. Conduct of investigation; subpoenas

‘‘(a) In carrying out any investigation under this chapter, the

Secretary’s duly authorized representatives shall, at all reasonable
H. R. 995—20

times, have reasonable access to, for purposes of examination, and

the right to copy and receive, any documents of any person or

employer that the Secretary considers relevant to the investigation.

‘‘(b) In carrying out any investigation under this chapter, the

Secretary may require by subpoena the attendance and testimony

of witnesses and the production of documents relating to any matter

under investigation. In case of disobedience of the subpoena or

contumacy and on request of the Secretary, the Attorney General

may apply to any district court of the United States in whose

jurisdiction such disobedience or contumacy occurs for an order

enforcing the subpoena.

‘‘(c) Upon application, the district courts of the United States

shall have jurisdiction to issue writs commanding any person or

employer to comply with the subpoena of the Secretary or to comply

with any order of the Secretary made pursuant to a lawful investigation under this chapter and the district courts shall have jurisdiction

to punish failure to obey a subpoena or other lawful order of

the Secretary as a contempt of court.

‘‘(d) Subsections (b) and (c) shall not apply to the legislative

branch or the judicial branch of the United States.

‘‘SUBCHAPTER IV—MISCELLANEOUS PROVISIONS

‘‘§ 4331. Regulations

‘‘(a) The Secretary (in consultation with the Secretary of

Defense) may prescribe regulations implementing the provisions

of this chapter with regard to the application of this chapter to

States, local governments, and private employers.

‘‘(b)(1) The Director of the Office of Personnel Management (in consultation with the Secretary and the Secretary of Defense)

may prescribe regulations implementing the provisions of this chapter with regard to the application of this chapter to Federal executive agencies (other than the agencies referred to in paragraph

(2)) as employers. Such regulations shall be consistent with the

regulations pertaining to the States as employers and private

employers, except that employees of the Federal Government may

be given greater or additional rights.

‘‘(2) The following entities may prescribe regulations to carry

out the activities of such entities under this chapter:

‘‘(A) The Merit Systems Protection Board.

‘‘(B) The Office of Special Counsel.

‘‘(C) The agencies referred to in section 2303(a)(2)(C)(ii)

of title 5.

‘‘§ 4332. Reports

‘‘The Secretary shall, after consultation with the Attorney General and the Special Counsel referred to in section 4324(a)(1) and

no later than February 1, 1996, and annually thereafter through

2000, transmit to the Congress, a report containing the following

matters for the fiscal year ending before such February 1:

‘‘(1) The number of cases reviewed by the Department

of Labor under this chapter during the fiscal year for which

the report is made.

‘‘(2) The number of cases referred to the Attorney General

or the Special Counsel pursuant to section 4323 or 4324, respectively, during such fiscal year.
H. R. 995—21

‘‘(3) The number of complaints filed by the Attorney General

pursuant to section 4323 during such fiscal year.

‘‘(4) The nature and status of each case reported on pursuant to paragraph (1), (2), or (3).

‘‘(5) An indication of whether there are any apparent patterns of violation of the provisions of this chapter, together

with an explanation thereof.

‘‘(6) Recommendations for administrative or legislative

action that the Secretary, the Attorney General, or the Special

Counsel considers necessary for the effective implementation

of this chapter, including any action that could be taken to

encourage mediation, before claims are filed under this chapter,

between employers and persons seeking employment or

reemployment.

‘‘§ 4333. Outreach

‘‘The Secretary, the Secretary of Defense, and the Secretary

of Veterans Affairs shall take such actions as such Secretaries

determine are appropriate to inform persons entitled to rights and

benefits under this chapter and employers of the rights, benefits,

and obligations of such persons and such employers under this

chapter.’’.

(b) CONFORMING AMENDMENTS.—

(1) AMENDMENTS TO TITLE 38.—The tables of chapters at

the beginning of title 38, United States Code, and the beginning

of part III of such title are each amended by striking out

the item relating to chapter 43 and inserting in lieu thereof

the following:

‘‘43. Employment and reemployment rights of members of the uniformed services ............................................................................................... 4301’’.

(2) AMENDMENT TO TITLE 5.—(A) Section 1204(a)(1) of title

5, United States Code, is amended by striking out ‘‘section

4323’’ and inserting in lieu thereof ‘‘chapter 43’’.

(B) Subchapter II of chapter 35 of such title is repealed.

(C) The table of sections for chapter 35 of such title is

amended by striking out the heading relating to subchapter

II of such chapter and the item relating to section 3551 of

such chapter.

(3) AMENDMENT TO TITLE 10.—Section 706(c)(1) of title 10,

United States Code, is amended by striking out ‘‘section 4321’’

and inserting in lieu thereof ‘‘chapter 43’’.

(c) AMENDMENTS TO TITLE 28.—Section 631 of title 28, United

States Code, is amended—

(1) by striking out subsection (j);

(2) by redesignating subsections (k) and (l) as subsections

(j) and (k), respectively; and

(3) in subsection (j), as redesignated by paragraph (2),

by striking out ‘‘under the terms of’’ and all that follows through

‘‘section,’’ the first place it appears and inserting in lieu thereof

‘‘under chapter 43 of title 38,’’.

SEC. 3. EXEMPTION FROM MINIMUM SERVICE REQUIREMENTS.

Section 5303A(b)(3) of title 38, United States Code, is

amended—

(1) by striking out ‘‘or’’ at the end of subparagraph (E);
H. R. 995—22

(2) by striking out the period at the end of subparagraph

(F) and inserting in lieu thereof ‘‘; or’’; and

(3) by adding at the end thereof the following new subparagraph:

‘‘(G) to benefits under chapter 43 of this title.’’.

SEC. 4. THRIFT SAVINGS PLAN.

(a) IN GENERAL.—(1) Title 5, United States Code, is amended

by inserting after section 8432a the following:

‘‘§ 8432b. Contributions of persons who perform military

service

‘‘(a) This section applies to any employee who—

‘‘(1) separates or enters leave-without-pay status in order

to perform military service; and

‘‘(2) is subsequently restored to or reemployed in a position

which is subject to this chapter, pursuant to chapter 43 of

title 38.

‘‘(b)(1) Each employee to whom this section applies may contribute to the Thrift Savings Fund, in accordance with this subsection,

an amount not to exceed the amount described in paragraph (2).

‘‘(2) The maximum amount which an employee may contribute

under this subsection is equal to—

‘‘(A) the contributions under section 8432(a) which would

have been made, over the period beginning on date of separation

or commencement of leave-without-pay status (as applicable)

and ending on the day before the date of restoration or

reemployment (as applicable); reduced by

‘‘(B) any contributions under section 8432(a) actually made

by such employee over the period described in subparagraph

(A).

‘‘(3) Contributions under this subsection—

‘‘(A) shall be made at the same time and in the same

manner as would any contributions under section 8432(a);

‘‘(B) shall be made over the period of time specified by

the employee under paragraph (4)(B); and

‘‘(C) shall be in addition to any contributions then actually

being made under section 8432(a).

‘‘(4) The Executive Director shall prescribe the time, form,

and manner in which an employee may specify—

‘‘(A) the total amount such employee wishes to contribute

under this subsection with respect to any particular period

referred to in paragraph (2)(B); and

‘‘(B) the period of time over which the employee wishes

to make contributions under this subsection.

The employing agency may place a maximum limit on the period

of time referred to in subparagraph (B), which cannot be shorter

than two times the period referred to in paragraph (2)(B) and

not longer than four times such period.

‘‘(c) If an employee makes contributions under subsection (b),

the employing agency shall make contributions to the Thrift Savings

Fund on such employee’s behalf—

‘‘(1) in the same manner as would be required under section

8432(c)(2) if the employee contributions were being made under

section 8432(a); and
H. R. 995—23

‘‘(2) disregarding any contributions then actually being

made under section 8432(a) and any agency contributions relating thereto.

‘‘(d) An employee to whom this section applies is entitled to

have contributed to the Thrift Savings Fund on such employee’s

behalf an amount equal to—

‘‘(1) 1 percent of such employee’s basic pay (as determined

under subsection (e)) for the period referred to in subsection

(b)(2)(B); reduced by

‘‘(2) any contributions actually made on such employee’s

behalf under section 8432(c)(1) with respect to the period

referred to in subsection (b)(2)(B).

‘‘(e) For purposes of any computation under this section, an

employee shall, with respect to the period referred to in subsection

(b)(2)(B), be considered to have been paid at the rate which would

have been payable over such period had such employee remained

continuously employed in the position which such employee last

held before separating or entering leave-without-pay status to perform military service.

‘‘(f)(1) The employing agency may be required to pay lost earnings on contributions made pursuant to subsections (c) and (d).

Such earnings, if required, shall be calculated retroactively to the

date the contribution would have been made had the employee

not separated or entered leave without pay status to perform military service.

‘‘(2) Procedures for calculating and crediting the earnings payable pursuant to paragraph (1) shall be prescribed by the Executive

Director.

‘‘(g) Amounts paid under subsection (c), (d), or (f) shall be

paid—

‘‘(1) by the agency to which the employee is restored or

in which such employee is reemployed;

‘‘(2) from the same source as would be the case under

section 8432(e) with respect to sums required under section

8432(c); and

‘‘(3) within the time prescribed by the Executive Director.

‘‘(h)(1) For purposes of section 8432(g), in the case of an

employee to whom this section applies—

‘‘(A) a separation from civilian service in order to perform

the military service on which the employee’s restoration or

reemployment rights are based shall be disregarded; and

‘‘(B) such employee shall be credited with a period of

civilian service equal to the period referred to in subsection

(b)(2)(B).

‘‘(2)(A) An employee to whom this section applies may elect,

for purposes of section 8433(d), or paragraph (1) or (2) of section

8433(h), as the case may be, to have such employee’s separation

(described in subsection (a)(1)) treated as if it had never occurred.

‘‘(B) An election under this paragraph shall be made within

such period of time after restoration or reemployment (as the case

may be) and otherwise in such manner as the Executive Director

prescribes.

‘‘(i) The Executive Director shall prescribe regulations to carry

out this section.’’.
H. R. 995—24

(2) The table of sections for chapter 84 of title 5, United States

Code, is amended by inserting after the item relating to section

8432a the following:

‘‘8432b. Contributions of persons who perform military service.’’.

(b) PRESERVATION OF CERTAIN RIGHTS.—(1) Section 8433(d)

of title 5, United States Code, is amended by striking ‘‘subsection

(e).’’ and inserting ‘‘subsection (e), unless an election under section

8432b(h)(2) is made to treat such separation for purposes of this

subsection as if it had never occurred.’’.

(2) Paragraphs (1) and (2) of section 8433(h) are each amended

by striking the period at the end and inserting ‘‘, or unless an

election under section 8432b(h)(2) is made to treat such separation

for purposes of this paragraph as if it had never occurred.’’.

(c) ELECTION TO RESUME REGULAR CONTRIBUTIONS UPON RESTORATION OR REEMPLOYMENT.—Section 8432 of title 5, United

States Code, is amended by adding at the end the following:

‘‘(i)(1) This subsection applies to any employee—

‘‘(A) to whom section 8432b applies; and

‘‘(B) who, during the period of such employee’s absence

from civilian service (as referred to in section 8432b(b)(2)(B))—

‘‘(i) is eligible to make an election described in subsection (b)(1); or

‘‘(ii) would be so eligible but for having either elected

to terminate individual contributions to the Thrift Savings

Fund within 2 months before commencing military service

or separated in order to perform military service.

‘‘(2) The Executive Director shall prescribe regulations to ensure

that any employee to whom this subsection applies shall, within

a reasonable time after being restored or reemployed (in the manner

described in section 8432b(a)(2)), be afforded the opportunity to

make, for purposes of this section, any election which would be

allowable during a period described in subsection (b)(1)(A).’’. (d) APPLICABILITY TO EMPLOYEES UNDER CSRS.—Section

8351(b) of title 5, United States Code, is amended by adding at

the end the following: ‘‘(11) In applying section 8432b to an employee contributing

to the Thrift Savings Fund after being restored to or reemployed

in a position subject to this subchapter, pursuant to chapter 43

of title 38—

‘‘(A) any reference in such section to contributions under section 8432(a) shall be considered a reference to employee

contributions under this section;

‘‘(B) the contribution rate under section 8432b(b)(2)(A) shall

be the maximum percentage allowable under subsection (b)(2)

of this section; and

‘‘(C) subsections (c) and (d) of section 8432b shall be disregarded.’’.

(e) EFFECTIVE DATE; APPLICABILITY.—This section and the

amendments made by this section—

(1) shall take effect on the date of enactment of this Act;

and

(2) shall apply to any employee whose release from military

service, discharge from hospitalization, or other similar event

making the individual eligible to seek restoration or reemployment under chapter 43 of title 38, United States Code, occurs

on or after August 2, 1990.
H. R. 995—25

(f) RULES FOR APPLYING AMENDMENTS TO EMPLOYEES RESTORED

OR REEMPLOYED BEFORE EFFECTIVE DATE.—In the case of any

employee (described in subsection (e)(2)) who is reemployed or

restored (in the circumstances described in section 8432b(a) of title

5, United States Code, as amended by this section) before the

date of enactment of this Act, the amendments made by this section

shall apply to such employee, in accordance with their terms, subject

to the following:

(1) The employee shall be deemed not to have been

reemployed or restored until—

(A) the date of enactment of this Act, or

(B) the first day following such employee’s reemployment or restoration on which such employee is or was

eligible to make an election relating to contributions to

the Thrift Savings Fund,

whichever occurs or occurred first.

(2) If the employee changed agencies during the period

between the date of actual reemployment or restoration and

the date of enactment of this Act, the employing agency as

of such date of enactment shall be considered the reemploying

or restoring agency.

(3)(A) For purposes of any computation under section 8432b

of such title, pay shall be determined in accordance with subsection (e) of such section, except that, with respect to the

period described in subparagraph (B), actual pay attributable

to such period shall be used.

(B) The period described in this subparagraph is the period

beginning on the first day of the first applicable pay period

beginning on or after the date of the employee’s actual

reemployment or restoration and ending on the day before

the date determined under paragraph (1). (4) Deem section 8432b(b)(2)(A) of such title to be amended

by striking ‘‘ending on the day before the date of restoration

or reemployment (as applicable)’’ and inserting ‘‘ending on the

date determined under section 4(f)(1) of the Uniformed Services

Employment and Reemployment Rights Act of 1994’’.

SEC. 5. REVISION OF FEDERAL CIVIL SERVICE RETIREMENT BENEFIT

PROGRAM FOR RESERVISTS.

(a) CREDITABLE MILITARY SERVICE UNDER CSRS.—Section

8331(13) of title 5, United States Code, is amended in the flush

matter by inserting ‘‘or full-time National Guard duty (as such

term is defined in section 101(d) of title 10) if such service interrupts

creditable civilian service under this subchapter and is followed

by reemployment in accordance with chapter 43 of title 38 that

occurs on or after August 1, 1990’’ before the semicolon.

(b) PAY DEDUCTIONS FOR MILITARY SERVICE UNDER CSRS.—

Section 8334(j) of such title is amended—

(1) in paragraph (1)—

(A) by striking ‘‘Each employee’’ and inserting ‘‘(A)

Except as provided in subparagraph (B), each employee’’;

and

(B) by adding at the end the following:

‘‘(B) In any case where military service interrupts creditable

civilian service under this subchapter and reemployment pursuant to chapter 43 of title 38 occurs on or after August 1,

1990, the deposit payable under this paragraph may not exceed
H. R. 995—26

the amount that would have been deducted and withheld under

subsection (a)(1) from basic pay during civilian service if the

employee had not performed the period of military service.’’;

and

(2) in paragraph (2), immediately before the comma at

the end of subparagraph (B), by inserting ‘‘following the period

of military service for which such deposit is due’’.

(c) CREDITABLE MILITARY SERVICE UNDER FERS.—Section

8401(31) of such title is amended in the flush matter by inserting

‘‘or full-time National Guard duty (as such term is defined in

section 101(d) of title 10) if such service interrupts creditable civilian

service under this subchapter and is followed by reemployment

in accordance with chapter 43 of title 38 that occurs on or after

August 1, 1990’’ before the semicolon.

(d) PAY DEDUCTIONS FOR MILITARY SERVICE UNDER FERS.—

Section 8422(e) of such title is amended—

(1) in paragraph (1)—

(A) by striking ‘‘Each employee’’ and inserting ‘‘(A)

Except as provided in subparagraph (B), each employee’’;

and

(B) by adding at the end the following:

‘‘(B) In any case where military service interrupts creditable

civilian service under this subchapter and reemployment pursuant to chapter 43 of title 38 occurs on or after August 1,

1990, the deposit payable under this paragraph may not exceed

the amount that would have been deducted and withheld under

subsection (a)(1) from basic pay during civilian service if the

employee had not performed the period of military service.’’;

and

(2) in paragraph (2), immediately before the comma at

the end of subparagraph (B), by inserting ‘‘following the period

of military service for which such deposit is due’’.

(e) TECHNICAL AMENDMENTS.—Title 5, United States Code, is

amended as follows:

(1) In section 8401(11), by striking out ‘‘1954’’ in the flush

matter above clause (i) and inserting in lieu thereof ‘‘1986’’.

(2) In section 8422(a)(2)(A)(ii), by striking out ‘‘1954’’ and

inserting in lieu thereof ‘‘1986’’.

(3) In section 8432(d), by striking out ‘‘1954’’ in the first

sentence and inserting in lieu thereof ‘‘1986’’.

(4) In section 8433(i)(4), by striking out ‘‘1954’’ and inserting in lieu thereof ‘‘1986’’.

(5) In section 8440—

(A) by striking out ‘‘1954’’ in subsection (a) and inserting in lieu thereof ‘‘1986’’; and

(B) by striking out ‘‘1954’’ in subsection (c) and inserting in lieu thereof ‘‘1986’’.

SEC. 6. TECHNICAL AMENDMENT.

(a) TECHNICAL AMENDMENT.—Section 9(d) of Public Law 102–

16 (105 Stat. 55) is amended by striking out ‘‘Act’’ the first place

it appears and inserting in lieu thereof ‘‘section’’.

(b) EFFECTIVE DATE.—The amendment made by subsection (a)

shall take effect as if included in Public Law 102–16 to which

such amendment relates.
H. R. 995—27

SEC. 7. INCREASE IN AMOUNT OF LOAN GUARANTY FOR LOANS FOR

THE PURCHASE OR CONSTRUCTION OF HOMES.

Subparagraphs (A)(i)(IV) and (B) of section 3703(a)(1) of title

38, United States Code, are each amended by striking out ‘‘$46,000’’

and inserting in lieu thereof ‘‘$50,750’’.

SEC. 8. TRANSITION RULES AND EFFECTIVE DATES.

(a) REEMPLOYMENT.—(1) Except as otherwise provided in this

Act, the amendments made by this Act shall be effective with

respect to reemployments initiated on or after the first day after

the 60-day period beginning on the date of enactment of this Act.

(2) The provisions of chapter 43 of title 38, United States

Code, in effect on the day before such date of enactment, shall

continue to apply to reemployments initiated before the end of

such 60-day period.

(3) In determining the number of years of service that may

not be exceeded in an employee-employer relationship with respect

to which a person seeks reemployment under chapter 43 of title

38, United States Code, as in effect before or after the date of

enactment of this Act, there shall be included all years of service

without regard to whether the periods of service occurred before

or after such date of enactment unless the period of service is

exempted by the chapter 43 that is applicable, as provided in

paragraphs (1) and (2), to the reemployment concerned.

(4) A person who initiates reemployment under chapter 43

of title 38, United States Code, during or after the 60-day period

beginning on the date of enactment of this Act and whose reemployment is made in connection with a period of service in the uniformed

services that was initiated before the end of such period shall

be deemed to have satisfied the notification requirement of section

4312(a)(1) of title 38, United States Code, as provided in the amendments made by this Act, if the person complied with any applicable

notice requirement under chapter 43, United States Code, as in

effect on the day before the date of enactment of this Act.

(b) DISCRIMINATION.—The provisions of section 4311 of title

38, United States Code, as provided in the amendments made

by this Act, and the provisions of subchapter III of chapter 43

of such title, as provided in the amendments made by this Act,

that are necessary for the implementation of such section 4311

shall become effective on the date of enactment of this Act.

(c) INSURANCE.—(1) The provisions of section 4316 of title 38,

United States Code, as provided in the amendments made by this

Act, concerning insurance coverage (other than health) shall become

effective with respect to furloughs or leaves of absence initiated

on or after the date of enactment of this Act.

(2) With respect to the provisions of section 4317 of title 38,

United States Code, as provided in the amendments made by this

Act, a person on active duty on the date of enactment of this

Act, or a family member or personal representative of such person,

may, after the date of enactment of this Act, elect to reinstate

or continue a health plan as provided in such section 4317. If

such an election is made, the health plan shall remain in effect

for the remaining portion of the 18-month period that began on

the date of such person’s separation from civilian employment or

the period of the person’s service in the uniformed service, whichever is the period of lesser duration.
H. R. 995—28

(d) DISABILITY.—(1) Section 4313(a)(3) of chapter 43 of title

38, United States Code, as provided in the amendments made

by this Act, shall apply to reemployments initiated on or after

August 1, 1990.

(2) Effective as of August 1, 1990, section 4307 of title 38,

United States Code (as in effect on the date of enactment of this

Act), is repealed, and the table of sections at the beginning of

chapter 43 of such title (as in effect on the date of enactment

of this Act) is amended by striking out the item relating to section

4307.

(e) INVESTIGATIONS AND SUBPOENAS.—The provisions of section

4326 of title 38, United States Code, as provided in the amendments

made by this Act, shall become effective on the date of the enactment of this Act and apply to any matter pending with the Secretary

of Labor under section 4305 of title 38, United States Code, as

of that date.

(f) PREVIOUS ACTIONS.—Except as otherwise provided, the

amendments made by this Act do not affect reemployments that

were initiated, rights, benefits, and duties that matured, penalties

that were incurred, and proceedings that begin before the end

of the 60-day period referred to in subsection (a).

(g) RIGHTS AND BENEFITS RELATIVE TO NOTICE OF INTENT NOT

TO RETURN.—Section 4316(b)(2) of title 38, United States Code,

as added by the amendments made by this Act, applies only to

the rights and benefits provided in section 4316(b)(1)(B) and does

not apply to any other right or benefit of a person under chapter

43 of title 38, United States Code. Such section shall apply only

to persons who leave a position of employment for service in the

uniformed services more than 60 days after the date of enactment

of this Act.

(h) EMPLOYER PENSION BENEFIT PLANS.—(1) Nothing in this

Act shall be construed to relieve an employer of an obligation

to provide contributions to a pension plan (or provide pension benefits), or to relieve the obligation of a pension plan to provide pension

benefits, which is required by the provisions of chapter 43 of title

38, United States Code, in effect on the day before this Act takes

effect.

(2) If any employee pension benefit plan is not in compliance

with section 4318 of such title or paragraph (1) of this subsection

on the date of enactment of this Act, such plan shall have two

years to come into compliance with such section and paragraph.

(i) DEFINITION.—For the purposes of this section, the term

‘‘service in the uniformed services’’ shall have the meaning given
H. R. 995—29

such term in section 4303(13) of title 38, United States Code,

as provided in the amendments made by this Act.

Speaker of the House of Representatives.

Vice President of the United States and

President of the Senate.