Representative Tim Walberg
(R-Michigan), chairman of the U.S. House Subcommittee on Health,
Employment, Labor, and Pensions, and Representative Francis Rooney
(R-Florida) have introduced two resolutions of disapproval to block regulations issued by the Department of Labor (DOL) regarding the set-up of state-run retirement plans for private-sector employees.
concerns are that small businesses will be discouraged from offering
retirement plans to employees, and that employees put into state-run
plans will not have the protections of the Employee Retirement Income
Security Act (ERISA) and will have limited control over their retirement
The resolution introduced by Chairman Walberg (H. J. Res 66)
would roll back the regulatory “safe harbor” created by the Obama
administration that will result in private-sector workers being forced
into government-run IRAs managed by states. Rep. Rooney’s resolution (H. J. Res 67) would block a second regulation that extended the “safe harbor” to include cities and counties.
last-minute regulatory loophole created by the previous administration
will lead to harmful consequences for both workers and employers,”
Rooney says. “Hardworking Americans could be forced into government-run
plans with fewer protections and less control over their hard-earned
savings. Employers will face a confusing patchwork of rules, and many
small businesses may forgo offering retirement plans altogether.
Congress must act to protect workers and small businesses from these
misguided regulations.” NEXT: Some for, some against