text: SECTION 1. SHORT TITLE.
  
      This Act may be cited as the ``Worker-Executive Parity Act of 
  2009''.
  
  SEC. 2. TREATMENT FOR COVERED DEFERRED EXECUTIVE COMPENSATION 
                ARRANGEMENTS WHICH IS COMPARABLE TO CERTAIN FUNDING-BASED 
                LIMITS ON BENEFITS AND BENEFIT ACCRUALS IMPOSED ON 
                DEFINED BENEFIT PENSION PLANS.
  
      (a) In General.--Section 206(g) of the Employee Retirement Income 
  Security Act of 1974 (29 U.S.C. 1056(g)) is amended--
              (1) by redesignating paragraphs (9) and (10) as paragraphs 
          (10) and (11), respectively; and
              (2) by inserting after paragraph (8) the following new 
          paragraph:
              ``(9) Comparable treatment for covered deferred executive 
          compensation arrangements.--
                      ``(A) In general.--In any case in which a 
                  limitation applies under paragraph (2), (3), or (4) for 
                  any plan year in the case of a defined benefit plan 
                  which is a single-employer plan--
                              ``(i) no amount of deferred compensation 
                          may accrue to a disqualified individual during 
                          such plan year under the terms of any covered 
                          deferred executive compensation arrangement 
                          maintained by the plan sponsor (irrespective of 
                          whether the accrual in deferred compensation is 
                          expressed in the form of a promise, a 
                          guarantee, or any other representation), and
                              ``(ii) in the case of such an arrangement 
                          established during or after the 1-year period 
                          preceding such plan year (or any amendment to 
                          such an arrangement if such amendment is 
                          adopted during or after such 1-year period), no 
                          distribution of accrued deferred compensation 
                          may be made under such arrangement (or such 
                          amendment) to a disqualified individual during 
                          such plan year.
                      ``(B) Covered deferred executive compensation 
                  arrangement defined.--
                              ``(i) In general.--For purposes of this 
                          paragraph, the term `covered deferred executive 
                          compensation arrangement' means any arrangement 
                          providing for the deferral of compensation of a 
                          disqualified individual, whether or not--
                                      ``(I) compensation of the 
                                  disqualified individual which is 
                                  deferred under such arrangement is 
                                  subject to substantial risk of 
                                  forfeiture,
                                      ``(II) the disqualified 
                                  individual's rights to the compensation 
                                  deferred under the arrangement are no 
                                  greater than the rights of a general 
                                  creditor of the plan sponsor,
                                      ``(III) all amounts set aside 
                                  (directly or indirectly) for purposes 
                                  of paying the deferred compensation 
                                  (including income), and all income 
                                  attributable to such amounts, remain 
                                  (until made available to the 
                                  disqualified individual or other 
                                  beneficiary) solely the property of the 
                                  plan sponsor (without being restricted 
                                  to the provision of benefits under the 
                                  arrangement),
                                      ``(IV) the amounts referred to in 
                                  subclause (III) are available to 
                                  satisfy the claims of the plan 
                                  sponsor's general creditors at all 
                                  times (not merely after bankruptcy or 
                                  insolvency), and
                                      ``(V) some or all of the 
                                  compensation of the disqualified 
                                  individual which is deferred under such 
                                  arrangement is guaranteed by an 
                                  insurance company, insurance service, 
                                  or other similar organization.
                              ``(ii) Exception for qualified 
                          arrangements.--Such term shall not include a 
                          arrangement that is--
                                      ``(I) described in section 
                                  219(g)(5)(A) of the Internal Revenue 
                                  Code of 1986, or
                                      ``(II) an eligible deferred 
                                  compensation plan (as defined in 
                                  section 457(b) of such Code) of an 
                                  eligible employer described in section 
                                  457(e)(1)(A) of such Code.
                      ``(C) Disqualified individual defined.--For 
                  purposes of this paragraph, the term `disqualified 
                  individual' means a director or executive officer of 
                  the plan sponsor.''.
      (b) Effective Date.--The amendments made by this section shall 
  apply with respect to plan years beginning on or after the date of the 
  enactment of this Act.
target: Worker-Executive Parity Act of 2009 - Amends the Employee Retirement Income Security Act of 1974 (ERISA), in instances where a single-employer defined benefit pension plan is subject to certain funding-based limits on benefits and benefit accruals under the Pension Protection Act of 2006, to prohibit: (1) the accrual of deferred compensation to a disqualified individual pursuant to a covered deferred executive compensation arrangement during a plan year; and (2) the distribution of accrued deferred compensation to such individual during a plan year when such arrangements are established during or after the one-year period preceding the plan year.
feat_title: To amend title I of the Employee Retirement Income Security Act of 1974 to provide for treatment of certain deferred executive compensation arrangements which is comparable to certain funding-based limits on benefits and benefit accruals imposed on defined benefit pension plans under the Pension Protection Act of 2006.