Walberg, Rooney Take Action to Protect Retirement Savers
Statement
Rep. Tim Walberg (R-MI), chairman of the Subcommittee on Health, Employment, Labor, and Pensions, and Rep. Francis Rooney (R-FL) have introduced two resolutions of disapproval (H. J. Res 66, H. J. Res 67) to block regulations that jeopardize small business retirement plans, put taxpayers at risk, and undermine the retirement security of working families.
In the final months of the Obama administration, the Department of Labor (DOL) created a regulatory loophole that will ultimately force workers into government-run Individual Retirement Accounts (IRAs) without the consumer protections provided by the Employee Retirement Income Security Act (ERISA). Concerns have been raised that the department's actions will discourage small businesses from offering private-sector plans and leave working families with less retirement security, inadequate safeguards, and limited control over their retirement savings. Upon introduction of the resolutions, Chairman Walberg and Rep. Rooney issued the following statements:
"Our nation faces difficult retirement challenges, but more government isn't the solution," Chairman Walberg said. "A better way is to reduce costly red tape and make it easier for small businesses to band together to offer retirement plans for their employees. I urge my colleagues to support these resolutions, which are part of a broader agenda to ensure more Americans can retire with the financial security and peace of mind they need."
"This last-minute regulatory loophole created by the previous administration will lead to harmful consequences for both workers and employers," Rep. Rooney said. "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."
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