NAIFA President Paul Dougherty issued the following statement in response to Senate vote to reverse Department of Labor rules that would have exempted municipal-run retirement plans from ERISA regulations:
“Congress wisely recognizes that retirement plans for private-sector employees set up and run by municipal governments must be subject to the same consumer-protections and other regulatory requirements as plans offered in the existing market. We applaud the House and Senate for passing H.J.Res.67 under the Congressional Review Act to undo the Department of Labor’s ERISA waiver for government-run retirement plans.
“NAIFA has worked hard
with Sen. Hatch, to promote the resolution and protect advisors and retirement savers. We look forward to President Trump signing it into law.
“There is already a robust private market providing affordable retirement plan options for employers and individuals. It makes little sense for states and cities to use scarce resources to establish plans to compete with the private market. It would be patently unfair to give these government-run plans a competitive advantage by waiving regulatory restrictions. But this is really a win for retirement savers, because the regulations that would be affected by the DOL waiver are designed to protect consumers.”
“ NAIFA strongly supports
efforts to promote retirement security for all American workers and has encouraged innovative improvements to our voluntary retirement system. We look forward to working with legislators at federal and state levels on ways to promote employer-sponsored and private sector retirement savings plans.”