1 NECA LABOR RELATIONS CONFERENCE SAN ANTONIO, TX OCTOBER 12-14, 2009 Presented by: Paul Heylman Dan Brandenburg Saul Ewing LLP LEGAL UPDATE

2 Can disability benefits vest? Price v. Board of Trustees of the Indiana Laborer's Pension Fund, 2009 WL (S.D. Ohio). A union held liable to indemnify the employer for its withdrawal liability. Pittsburgh Mack Truck Sales & Service Inc. v. Int'l Union of Operating Engineers, Local Union No. 66, --- F.3d ---, 2009 WL (C.A.3 (Pa.)).

3 Fund can expel two employers for violating the fund's “adverse selection” rule by replacing employees with independent contractors. Borntrager v. Central States, Southeast and Southwest Areas Pension Fund, 577 F.3d 913 (8th Cir. 2009).

4 Arbitrator prevents multiemployer pension plans from electing to freeze their funding status for 2009 at their 2008 levels. Employer Appointed Trustees of the Rocky Mountain UFCW and Employers Pension Plan and the Denver Area Meat Cutters and Employers Pension Plan v. Union Appointed Trustees of the Rocky Mountain UFCW and Employers Pension Plan and the Denver Area Meat Cutters and Employers Pension Plan, FMCS Case No , Jaffe 2009.

5 Employer must continue to pay those contributions until the date when the underlying collective bargaining agreement is set to expire even if union agrees to suspension of contribution. Central States, Southeast and Southwest Areas Pension Fund v. Fingerle Lumber Co., 2009 WL (N.D. Ill. 2009). Do the ERISA anti-discrimination rules make it illegal to refuse to hire off duty smokers? Rodrigues v. EG Systems, Inc., --- F. Supp.2d ---, 2009 WL (D. Mass. 2009).

6 The U.S. Department of Labor’s proposed rulemaking on civil penalties against multi- employer plan sponsors for failures relating to mandatory funding improvement and rehabilitation plans. 74 Fed. Reg Comments are due no later than November 3, 2009.

7 Saul Ewing’s Office Locations Baltimore, Maryland Lockwood Place 500 East Pratt Street, Suite 900 Baltimore, MD fax: Chesterbrook, Pennsylvania 1200 Liberty Ridge Drive, Suite 200 Wayne, PA fax: Harrisburg, Pennsylvania Penn National Insurance Tower Two North Second Street, 7th Floor Harrisburg, PA fax: Newark, New Jersey One Riverfront Plaza Newark, NJ fax: New York, New York 245 Park Avenue, 24th Floor New York, NY Fax: Philadelphia, Pennsylvania Centre Square West 1500 Market Street, 38th Floor Philadelphia, PA fax: Princeton, New Jersey 750 College Road East Princeton, NJ fax: Wilmington, Delaware 222 Delaware Avenue, Suite 1200 Wilmington, DE fax: Washington, D.C Virginia Avenue, N.W. Suite 1000 | The Watergate Washington, D.C fax: