Citi Benefits Handbook
Years of Service
Vesting under the Plan is based on the elapsed time method of crediting service. Under this method, years of service are measured in whole years (12 months) of employment, starting with the day you begin employment with the Company and ending with your severance from service date. Note: with respect to the vesting service rules described below, your employment with any entity that is part of the Company's controlled group is counted.
Your "severance from service date" is the earlier of:
- The date on which you resign, retire, are discharged, or die; or
- The first anniversary of your first date of absence for any other reason (for example, vacation, holiday, sickness, disability, leave of absence or layoff).
If you sever from service as a result of your resignation, retirement or discharge and you again perform service with the Company within 12 months, the entire period of severance will be counted toward your years of service, just as if you had been continuously employed for the entire period.
If you are absent from service for any reason other than your resignation, retirement or discharge and, during that period of absence, you resign, retire or are discharged, the period of time between the date you resign, retire or are discharged and the first anniversary of the date you were first absent will be counted towards your service as long as you again perform an hour of service with e.g., are rehired by) the Company on or before that first anniversary date.
A "period of severance" is each 12-month period beginning on your severance from service date during which you do not earn any service with the Company. For purposes of measuring your period of severance, if you are absent from work because of a parental leave and do not terminate employment earlier under an applicable personnel policy, your severance from service date will be the second anniversary of the first day you were absent due to your parental leave. However, you will not receive any years of service after the first anniversary of your first date of absence.
"Parental leave" is a paid or unpaid authorized absence for any period by reason of your pregnancy, the birth of your child, the placement of a child with you in connection with your adoption of the child, or any absence for the purpose of caring for the child immediately following the birth or placement of the child.
Even though non-successive periods of service will be aggregated, only your whole years with the Company will be counted to compute your years of service. For example, if you have two years and nine months of service, then for vesting purposes you will receive credit for two years of service.
If you terminate employment following an absence of 12 months or more, no period following your termination and preceding any rehire will be counted as years of service.
If you are absent due to qualified military service and you return to service with the Company while your right to re-employment is protected by law, your period of qualified military service will not be considered a period of severance and the years of service that you had accumulated before your absence as well as the absence due to qualified military service will be counted.
If you terminated employment before January 1, 2021, your years of service for vesting were based on the "hours of service" method of crediting service and for determining breaks-in-service. For more information about the pre-2021 rules, please contact the Plan Administrator.