Title 22 › CHAPTER 51 — PANAMA CANAL › SUBCHAPTER I — ADMINISTRATION AND REGULATIONS › Part 2 — Employees › subpart iii — conditions of employment and placement › § 3671
People who worked for the Panama Canal Company or the Canal Zone Government and were moved to the new Commission, to another U.S. agency or the Smithsonian in Panama, or who lost their jobs on September 30, 1979 but got a Commission job by April 1, 1980, must have employment terms that are no worse than what they had on September 30, 1979 (or on the date they moved if that was before that date). Those protections cover nine types of pay and benefits, including premium and night pay, reinstatement/restoration rights, injury and death compensation, reduction‑in‑force rights, grievance and appeal rights, veterans’ preference, holidays, saved pay, and severance pay. If someone in that second group missed service time by more than 3 days right after September 30, 1979, but otherwise met the service needed for early retirement under Title 5 (see sections 8336(i) and 8339(d)(2)), they will be treated as if they met the requirement. Any break from September 30, 1979 until their appointment will count as creditable service under section 8332, but it won’t count toward average pay and no contributions are required under section 8334. Teachers who moved from Canal Zone schools to Department of Defense schools in Panama are not covered by Title 20 section 903(c) until the pay under that law equals or exceeds the pay they had, and section 904(a)(2) does not apply. Agency heads may allow such teachers an up-to-11-month sabbatical in the U.S. with basic pay kept the same, no loss of leave or service credit, and possible travel expenses. Sabbaticals may be granted only once in any 10‑year period, only after 7 years of teaching, not if eligible for immediate retirement, and require the teacher to serve two consecutive years afterward or repay the sabbatical costs unless excused.
Full Legal Text
Foreign Relations and Intercourse, Source: USLM XML via OLRC
Legislative History
Reference
Citation
22 U.S.C. § 3671
Title 22, Foreign Relations and Intercourse
Last Updated
Sep 22, 2026
Release point: 119-110