SEC Delivers Pre-Holiday PLUS Loan Repayment Benefit Denials


12/21/06: It has come to the attention of NTEU that the SEC is sending out notices this week denying the Student Loan Repayment Program applications of employees who requested repayment of PLUS Loans. PLUS Loans are student loans taken out by parents for their children.

NTEU continues to maintain that the removal of PLUS Loan benefits from the Student Loan Repayment Program without first bargaining over this change is illegal. As many of you know, this issue is the subject of a pending arbitration in which NTEU has alleged that the SEC's decision to eliminate PLUS Loans from the program constitutes age discrimination, because the employees who typically take out such loans tend to be older employees with college aged children. We are continuing to wait for a decision by the arbitrator in that case.

NTEU has filed a national grievance regarding the SEC's changes to the Student Loan Repayment Program. If your Loan Repayment application has been limited as a result of this new unilateral change to the program, please locate your local Steward in the Chapter 293 Directory on this site and contact him or her to file a grievance to protect your rights. Under the grievance procedure, you have 21 days from the date of the denial to file. If you have a question, please contact Katie Nix if you are an employee in D.C. or VA, or Marshall Gandy if you are an employee in a regional or district office.