Protecting Employees and Retirees in Business Bankruptcies Act of 2020
Latest action · Sep 29, 2020 Ordered to be Reported (Amended) by the Yeas and Nays: 20 - 10.
Progress
Where this bill reached, and when. A stage with no date was not reached; one that failed a vote and later carried shows the date it carried.
- IntroducedJun 25, 2020
- Passed HouseNot reached
- Passed SenateNot reached
- To the PresidentNot reached
- Became lawNot reached
Summary
Protecting Employees and Retirees in Business Bankruptcies Act of 2020
This bill modifies provisions related to Chapter 11 bankruptcy, which typically involves the reorganization of a debtor company's assets and debts. Specifically, the bill (1) expands available claims and priorities for employees and retirees, and (2) places additional restrictions on the compensation of executives and other high level employees.
With respect to employee and retiree recoveries and losses, the bill
- increases the maximum value and age of specified wage and benefit claims entitled to priority payment;
- allows certain claims for losses related to defined contribution plans, if the employer or plan sponsor has committed fraud or otherwise breached its fiduciary duty;
- allows, as an administrative expense of the estate, severance pay owed to employees and contributions to an employee benefit plan;
- establishes certain restrictions regarding the rejection or amendment of a collective bargaining agreement;
- revises specified procedures related to the reduction or denial of retiree benefits;
- requires a court, in approving a sale of business assets, to consider the extent to which a bidder has offered to maintain existing jobs and assume benefit obligations; and
- allows claims related to pension losses.
With respect to executive compensation, the bill
- establishes specified limitations related to executive compensation enhancements,
- prohibits executives from receiving certain retiree benefits if such benefits were reduced or eliminated for other employees or retirees, and
revises other requirements related to court approval of such compensation.
Cosponsors 28
Members who signed on, in the order they did. Signatures ran from Jun 25, 2020 to Sep 30, 2020; 8 are original cosponsors, there from the day it was introduced.
| Seat | Cosponsor | Signed on | |
|---|---|---|---|
| D-RI | David N. Cicilline | Original | Jun 25, 2020 |
| D-NJ | Donald Norcross | Original | Jun 25, 2020 |
| D-GA | Henry C. "Hank" Johnson, Jr. | Original | Jun 25, 2020 |
| D-PA | Madeleine Dean | Original | Jun 25, 2020 |
| D-PA | Mary Gay Scanlon | Original | Jun 25, 2020 |
| D-WA | Pramila Jayapal | Original | Jun 25, 2020 |
| D-TX | Sylvia R. Garcia | Original | Jun 25, 2020 |
| D-FL | Val Butler Demings | Original | Jun 25, 2020 |
| D-CA | Julia Brownley | Jul 16, 2020 | |
| D-IN | Peter J. Visclosky | Aug 7, 2020 | |
| D-IL | Danny K. Davis | Aug 22, 2020 | |
| D-CA | Grace F. Napolitano | Aug 22, 2020 | |
| D-TN | Jim Cooper | Aug 22, 2020 | |
| D-CA | Mike Levin | Aug 22, 2020 | |
| D-CA | Alan S. Lowenthal | Sep 8, 2020 |
Committees 1
Where it was sent and what each committee and subcommittee did with it, in order.
| Chamber | Committee | What it did |
|---|---|---|
| House | Judiciary Committee | Referred Jun 25, 2020Markup Sep 15, 2020Markup Sep 29, 2020 |
Actions 5
Everything that happened, newest first.
- Sep 29, 2020Committee Consideration and Mark-up Session Held.
- Sep 29, 2020Ordered to be Reported (Amended) by the Yeas and Nays: 20 - 10.
- Sep 15, 2020Committee Consideration and Mark-up Session Held.
- Jun 25, 2020Introduced in House
- Jun 25, 2020Referred to the House Committee on the Judiciary.
Research
What has been written about this bill: committee reports, cost estimates, the sponsor’s authority statement, printed hearings and the Congressional Research Service’s work.
Constitutional authority
The sponsor’s statement, as printed in the Congressional Record, vol. 166, no. 117, June 25, 2020, page H2517.
Related bills 1
Companion bills and other measures the record links to this one.
| Bill | Title | Relationship | Latest action |
|---|---|---|---|
| S 4089 | Protecting Employees and Retirees in Business Bankruptcies Act of 2020 | Related bill | Jun 25, 2020 |
Titles 2
Every title it has carried, official and short, at each stage.
- Official Title as Introduced
- To amend title 11, United States Code, to improve protections for employees and retirees in business bankruptcies.
- Short Title(s) as Introduced
- Protecting Employees and Retirees in Business Bankruptcies Act of 2020
Subjects
Assigned by the Library of Congress. Policy area: Finance and Financial Sector.
Text 1
Each version as it was printed, newest first.
- Jun 25, 2020Introduced in House
Everything here is as published by Congress: the summary is the Congressional Research Service's, the action wording is the clerks', and the subjects are the Library of Congress's. How far it got is read from the actions themselves, taking the most recent one of each kind, so a bill that failed a vote and later passed is shown as having passed. Records come from this bill on Congress.gov and govinfo.gov; cost estimates are the Congressional Budget Office's, and the hearings are the printed hearings GovInfo publishes, which can appear months after the hearing.
