98 STAT. 1438
PUBLIC LAW 98-397—AUG. 23, 1984 "(ii) YEARS OF SERVICE NOT TAKEN INTO ACCOUNT.—If
any years of service are not required to be taken into account by reason of a period of breaks in service to which clause (i) applies, such years of service shall not be taken into account in applying clause (i) to a subsequent period of breaks in service. "(iii) NONVESTED PARTICIPANT DEFINED.—For purposes of clause (i), the term 'nonvested participant' means a participant who does not have any nonforfeitable right under the plan to an accrued benefit derived from employer contributions.",
(e) CERTAIN MATERNITY OR PATERNITY ABSENCES NOT TREATED AS BREAKS IN SERVICE.— (1) MINIMUM PARTICIPATION STANDARDS.—Paragraph (5) of sec-
26 USC 410.
tion 410(a) (relating to breaks in service) is amended by adding at the end thereof the following new subparagraph: "(E) SPECIAL RULE FOR MATERNITY OR PATERNITY ABSENCES.— "(i) GENERAL RULE.—In the case of each individual
who is absent from work for any period— "(I) by reason of the pregnancy of the individual, "(II) by reason of the birth of a child of the individual, "(HI) by reason of the placement of a child with the individual in connection with the adoption of such child by such individual, or "(IV) for purposes of caring for such child for a period beginning immediately following such birth or placement, the plan shall treat as hours of service, solely for purposes of determining under this paragraph whether a 1-year break in service (as defined in section 411(a)(6)(A)) has occurred, the hours described in clause (ii).
26 USC 411.
HOURS TREATED AS HOURS OF SERVICE.—The
hours described in this clause are— "(I) the hours of service which otherwise would normally have been credited to such individual but for such absence, or "(II) in any case in which the plan is unable to determine the hours described in subclause (I), 8 hours of service per day of such absence, except that the total number of hours treated as hours of service under this clause by reason of any such pregnancy or placement shall not exceed 501 hours.
lii.)c J o
"(iii) YEAR TO WHICH HOURS ARE CREDITED.—The
hours described in clause (ii) shall be treated as hours of service as provided in this subparagraph— "(I) only in the year in which the absence from work begins, if a participant would be prevented from incurring a 1-year break in service in such year solely because the period of absence is treated as hours of service as provided in clause (i); or -i, "(II) in any other case, in the immediately follow•• ' ingyear.