Vesting Service is used to determine whether you have a nonforfeitable right to future Retirement Benefits. It is also used to determine the amount of your benefit and whether you are eligible for Early Retirement.
Your years of Vesting Service shall be the total of the following:
Your period of continuous Covered Employment prior to May 1, 1969, including your years of Past Service credit. (This only applies if you were covered by the Plan on April 30, 1976.)
After May 1, 1969, your service credit is calculated under the following table and shall be the total of the following:
Number of Hours of Service in Covered Employment during a Plan Year
Vesting Service for Plan Year
1,000 and over
1.00 yrs.+.0005 each hour over 1,000
400 but fewer than 1,000
0.10 yrs.+.0015 each hour over 400
Fewer than 400
0.00
The following example shows how the amount of Vesting Service earned differs based on the number of hours worked in a Plan Year:
Hours Worked in a Plan Year
Vesting Service Credit
2,500
1.75
2,000
1.50
1,500
1.25
1,000
1.00
500
0.25
Vesting Service as described above also counts as Credited Service, which is used for certain purposes under the Shops Plan. Vesting Service also includes certain other kinds of service (see Glossary for more information). [Section 3.2 and 3.5]