Topic Spotlight

 

FEATURE PRODUCT

The 2008 U.S. Master Employee Benefits Guide is the ideal reference for HR personnel, benefits professionals, benefits attorneys, payroll managers — or anyone involved in the area of employee health and welfare benefits.

Learn More »

DOJ, American Airlines settle pilot benefits dispute

The Justice Department on April 17 announced that it had reached an agreement with American Airlines to settle charges that the airline failed to provide pilots with adequate vacation and sick leave benefits while on military leave.

The settlement, if approved by the court, would resolve the department's lawsuit that alleged violations of the Uniformed Services Employment and Re-employment Rights Act (USERRA). The department alleged that American Airlines denied pilots on military leave the same level of benefits as it provided to other pilots on nonmilitary leave. The settlement agreement would require the airlines to pay 353 pilots a total of about $346,000 for the loss of vacation and sick leave benefits. Currently employed pilots would receive sick leave credits worth an estimated $215,000. American Airlines would be required to modify its policies to ensure that all pilots serving in the military accrue the appropriate benefits.

The suit was the first brought by the Justice Department under the USERRA. The department filed the suit in 1996 after a referral from the Labor Department's Veterans' Employment and Training Service.

For More Information

Employee Benefits Management provides plain English explanations on creating, evaluating, and administering all types of employee benefit plans. Get practical guidance on the full spectrum of employee benefits including health plans, family leave, 401(k) plans, and more. Learn more »