Completion Incentive News Today

A recent case before the Fifth Circuit Court of Appeals 1 determined that a "Project Completion Incentive" applying to employees on a construction project (the "Plan") was not governed by the Employee Retirement Income Security Act of 1974 ("ERISA"). 2 Former laborer Employees of the construction manager Employer filed a lawsuit in Louisiana State Court asserting that the Employer was required to pay them the "Project Completion Incentive" under the Plan for the time spent on the project-despit...

Whether a one-time payment of benefits constitutes an employee benefit plan under ERISA has been the source of consternation. The Fifth Circuit, in Atkins v. CB&I, LLC, considered the issue and held that a bonus conditioned on completing a project was not an ERISA severance plan.