Legislative proposals could pave the way for increased access to workplace retirement savings plans in 2019, LIMRA says.
Three Mayer Brown ERISA attorneys discuss the current litigation landscape and offer practical strategies for promoting compliance in 2019.
Many industry groups that submitted comments to the DOL argued that the plain language of Section 3(5) of the Employee Retirement Income Security Act (ERISA) indicates non-related employers could participate in multiple employer plans (MEPs).
Plan sponsors faced another year of rapid regulatory change in 2018, with important developments coming out of the DOL, IRS and other federal government agencies.
The ERISA Advisory Council is asking the DOL to provide guidance on how plan sponsors should evaluate the cybersecurity risks they face and to require them to be familiar with the various security frameworks used to protect data as well as to build a cybersecurity process.
They are centered around three key themes: 1) Secure your foundation, 2) Achieve greater prosperity and 3) Inspire confidence.
Willis Towers Watson offers nine actions for DC plan sponsors to mitigate risks in 2019.
The relief relates to the verification procedures for retirement plan hardships and loans, timely remittance of contributions and loan repayments, and blackout notices, as well as the processing of benefit claims.
Jana Steele, senior vice president and researcher for Callan, says auto-portability is the next natural extension of highly successful plan design innovations from the past decade.
Modifications to the Form 5500 and Form 5500-SF and their schedules and instructions have been highlighted.
The agency says plan sponsors have fiduciary responsibility for selecting and monitoring Retirement Clearinghouse’s Auto-Portability Solution, but once assets have been transferred from a plan sponsor’s retirement plan, it is no longer a fiduciary with respect to those assets.
The agency is inviting public comment on the proposed exemption and encourages additional proposals.
The DOL relief relates to plan loans and distributions, remittance of contributions and blackout period notices.
Industry stakeholders disappointed the proposal does not address open MEPs can take heart in the fact that DOL staff are calling for commentary on ways the proposal could be expanded, including into the area of open MEPs.
The plan’s sole fiduciary and trustee has agreed to restore pension assets that, according to an EBSA investigation, were improperly directed to operating expenses and illegal personal loans.
These plans allow small businesses within a business group or association to join together to offer defined contribution retirement savings benefits.
Both the DOL and SEC have a September 2019 date for a final action on corresponding fiduciary and best interest rules—could they be collaborating?
If the DOL’s proposal closely follows President Trump’s executive orders, it is likely to revise the “common nexus” and “one bad apple” rules that have held back open multiple employer plans.