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Pension plans: Don’t make
employees guess at meanings

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in Compensation and Benefits,Employee Benefits Program,Human Resources

If your pension plan can be misinterpreted, make sure you tell beneficiaries how you interpret it.

A federal appeals court let a worker sue who says he lost out on increased pension benefits because of the way the company interpreted its policy. He thought his disability leave counted as continuous service, but the company said only those receiving workers' compensation benefits were covered by the exemption for "compensable disability incurred during course of employment." (Harte v. Bethlehem Steel Corp., 98-2052, 3rd Cir., 2000)

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