[Code of Federal Regulations]

[Title 20, Volume 1]

[Revised as of April 1, 2005]

From the U.S. Government Printing Office via GPO Access

[CITE: 20CFR322.7]



[Page 554-555]

 

                      TITLE 20--EMPLOYEES' BENEFITS

 

                  CHAPTER II--RAILROAD RETIREMENT BOARD

 

PART 322_REMUNERATION--Table of Contents

 

Sec.  322.7  Dismissal, coordination, and separation allowances.



    (a) Coordination or dismissal allowance. Coordination or dismissal 

allowances are payments made to an employee who has been furloughed for 

a specified period of time during which he or she continues in an 

employment relationship and remains subject to call. Such pay is 

remuneration with respect to each day in the month or other period for 

which it is payable. The employer shall be held liable to the Board for 

any benefits paid to the employee and found recoverable under section 

2(f) of the Railroad Unemployment Insurance Act by reason of the payment 

of any such allowances or other pay for the same days for which the 

Board paid benefits.

    (b) Separation allowance. A separation allowance or severance 

payment made



[[Page 555]]



to an employee who voluntarily or involuntarily terminates his or her 

employment relationship is not remuneration with respect to any day 

after the employment relationship is severed. An employee who is paid a 

separation allowance, whether in a lump sum or in installments, is 

disqualified by section 4(a-1)(iii) of the Railroad Unemployment 

Insurance Act from receiving unemployment or sickness benefits for the 

period of time approximating the length of time it would have taken the 

employee to earn, at his or her ``straight'' time rate of pay, the 

amount of the separation allowance if he or she had continued working in 

the job from which he or she separated.



[65 FR 14460, Mar. 17, 2000]