DELETION OF LAST PERSON SERVICE AS A DISQUALIFICATION.

SEC. 7302. DELETION OF LAST PERSON SERVICE AS A DISQUALIFICATION. (a) In General.—Section 2(e) of the Railroad Retirement Act of 1974 is amended— (1)(A) in subdivision (1), by striking out “any person, whether or not”; and (B) by striking out “(but with the” and all that follows through “political subdivision of a State”; (2) in subdivision (2), by striking out “and of the person, or persons, by whom he was last employed”; and (3) in subdivision (3), by striking out “or to the last person, or persons, by whom he was employed prior to the date on which the annuity under subsection (a)(1) began to accrue”. (b) Deduction for Work.—Section 2(f) of such Act is amended by adding at the end thereof the following new subdivision: “(6)(A) Except as provided in subparagraph (B)— “(i) that portion of the annuity for any month of an individual as is computed under section 3(b) and as adjusted under section 3(g), plus any supplemental amount for such month under section 3(e), and that portion of the annuity for any month of a spouse as is computed under section 4(b) and as adjusted under section 4(d), shall each be subject to a deduction of $1 for each $2 of compensation received by such individual from compensated service rendered in such month to the last person, or persons, by whom such individual was employed before the date on which the annuity of such individual under subsection (a)(1) began to accrue; and “(ii) that portion of the annuity for any month of a spouse as is computed under section 4(b) and as adjusted under section 4(d) shall be subject to a deduction of $1 for each $2 of compensation received by such spouse from compensated service rendered in such month to the last person, or persons, by whom such spouse was employed before the date on which the annuity of such spouse under subsection (c)(1) began to accrue. “(B) Any deductions imposed by this subdivision for any month shall not exceed 50 percent of the annuity amount for such month to which such deductions apply.”. (c) Effective Date.—The amendments made by this section shall apply to annuities payable under the Railroad Retirement Act of 1974 for months beginning after the date of enactment of this Act.