Legal Threads      

Obligations of Employers Under the Federal 

Uniformed Services Employment and Reemployment Rights Act (USERRA)


Due to the terrorist attacks of September 11, 2001, President Bush signed an order authorizing the call up of up to 50,000 military reservists. As a result of the President’s order, many employers have questions about how to handle employee absences for military service and what to do upon an employee’s completion of his or her service obligation.  Almost all states, including North and South Carolina, have their own laws governing the treatment of employees who are called up for military or National Guard service.  However, this article will focus on employer obligations under the federal Uniformed Services Employment and Reemployment Rights Act, commonly referred to as USERRA. 

USERRA’s main purposes are to provide for the reemployment of persons who have been absent from employment because of service in the uniformed services and to protect such individuals from discrimination and retaliation on account of military service.  Under USERRA, the “uniformed services” include the Navy, the Marines, Air Force, Army, Coast Guard, and their respective reserve units, and the Army and Air National Guard, among others. USERRA applies regardless of whether an employee’s service is voluntary or involuntary. 

USERRA requires that employees provide their employers with advance notice of their obligation to perform military service. However, no notice is required when military necessity prevents the giving of notice or where the giving of notice is impossible or unreasonable. 

USERRA’s reemployment rights generally apply for up to five years of military service. However, not all employees are entitled to reemployment under USERRA. For example, employees who are separated from service with dishonorable or bad conduct discharges and those whose separation was under other than honorable conditions are not protected by USERRA. 

Employees who have completed their military obligations have certain time limits in which to apply for reemployment depending upon the duration of their service. Employees whose military service lasts between 1 and 30 days must report for work on the first full regularly scheduled work period that would fall eight hours after the end of the calendar day that marked the completion of their obligation. Employees whose service obligation lasts between 31 and 180 days must make application for reemployment within 14 days after completion of service. Employees  whose  service  obligation exceeds 181 days must make application for reemployment not later than 90 days after their completion of military service. The reporting or application deadlines are extended for up to two years for individuals who are hospitalized or are convalescing because of a disability incurred or aggravated during military service.

USERRA requires the application of the “escalator principle” when returning military service members to work.  Generally, this principle provides that a returning service member must be reemployed into the position the person would have held had the employee remained continuously employed.

Reemployment is excused if changed circumstances such as a reduction in force have made reemployment impossible or unreasonable. Additionally, if a service member incurs or aggravates a disability while in military service, the employer must make reasonable efforts to accommodate the individual’s disability so that the returning service member can perform the functions of the position he would have held if he had been continuously employed.

Returning service members are entitled to the seniority and rights they would have had absent military service. Further, departing military service members must be treated as if on a leave of absence. Accordingly, they must be allowed whatever rights and benefits the employer provides to other employees on a leave of absence. 

USERRA contains detailed rules addressing the treatment of pension and retirement plans. Also, USERRA provides for group health insurance continuation similar to COBRA, even when the service member’s employer is not otherwise covered by COBRA.  Employees may choose to use paid vacation benefits while on leave, but employers may not require employees to use vacation time. 

USERRA mandates that employees who return from active duty may not be discharged without cause for one year if their military service was for more than 181 days or for six months if their service was more than 30 days but less than 180 days. The Act also prohibits discrimination or retaliation against past members or current members of the uniformed services and persons who apply to be a member of any of the branches of the uniformed services.

For more information on USERRA or state military leave laws, contact Jonathan Yarbrough in Asheville at (828) 277-8566, Penny Wofford in Spartanburg at (864) 542-8612 or Ken Carlson in Winston-Salem at (336) 750-0707.

  

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