ERISA Section 510—A Further Limitation on Arbitrary Discharges

This Article explores the scope and coverage of ERISA's section 510, which makes it unlawful to discharge an employee if the discharge is done for the purpose of interfering with a benefit plan to which the employee "may become entitled." The primary issue explored is whether coverage extends to all employees covered by a benefit plan or whether the "may become entitled" language limits coverage to those employees whose rights to the benefit plan have not yet vested. If the former is true, then section 510 provides a significant limitation on employment-at-will, as a large number of employees would be added to those protected by statute against arbitrary discharge. After examining the language of the statute, the legislative history, and interpretive case law, the Article concludes that Congress intended to protect all employees covered by a benefit plan.