Pension & Benefits Daily™ covers all major legislative, regulatory, legal, and industry developments in the area of employee benefits every business day, focusing on actions by Congress,...
Oregon’s retirement savings plan for private-sector employees came under fire Oct. 12 when an employer industry group filed a lawsuit alleging federal law bars certain parts of it ( The ERISA Industry Comm. v. Read , D. Or., No. 3:17-cv-01605, complaint filed 10/12/17 ).
The Employee Retirement Income Security Act expressly preempts the recently enacted Oregon law and its regulations that require employers that sponsor ERISA-governed plans to report on certain plan activities, according to a lawsuit filed in federal court in Oregon by the ERISA Industry Committee.
The program, known as OregonSaves, was launched July 1. It made Oregon the first state to launch a program expanding retirement savings to private-sector workers whose employers don’t sponsor retirement plans.
Oregon went ahead with its program even though the Labor Department revoked rules that changed the definition of an employee pension benefit plan under ERISA. The rules allowed states and cities to require small businesses that don’t provide retirement plans to automatically enroll their workers in the programs. Congress put a stop to these rules with two joint resolutions earlier this year that ultimately killed the rules. President Donald Trump signed both resolutions.
Oregon wouldn’t directly comment on the lawsuit, but Tobias Read, Oregon state treasurer and chair of the OregonSaves program, told Bloomberg BNA in an email that Oregon has worked with companies in the state “to be deliberate to ensure OregonSaves is simple and works well for everybody, because the bottom line is that we want to make it easy to save.”
ERIC has 100 member companies and each has a minimum of 10,000 employees.
Oregon says more than 1 million workers in Oregon don’t have access to a workplace retirement plan. The first pilot program for OregonSaves had 100 participants who saved more than a combined $30,000 by the end of September. The second phase of the pilot program started Oct. 1.
To contact the editor responsible for this story: Jo-el J. Meyer at firstname.lastname@example.org
Copyright © 2017 The Bureau of National Affairs, Inc. All Rights Reserved.
All Bloomberg BNA treatises are available on standing order, which ensures you will always receive the most current edition of the book or supplement of the title you have ordered from Bloomberg BNA’s book division. As soon as a new supplement or edition is published (usually annually) for a title you’ve previously purchased and requested to be placed on standing order, we’ll ship it to you to review for 30 days without any obligation. During this period, you can either (a) honor the invoice and receive a 5% discount (in addition to any other discounts you may qualify for) off the then-current price of the update, plus shipping and handling or (b) return the book(s), in which case, your invoice will be cancelled upon receipt of the book(s). Call us for a prepaid UPS label for your return. It’s as simple and easy as that. Most importantly, standing orders mean you will never have to worry about the timeliness of the information you’re relying on. And, you may discontinue standing orders at any time by contacting us at 1.800.960.1220 or by sending an email to email@example.com.
Put me on standing order at a 5% discount off list price of all future updates, in addition to any other discounts I may quality for. (Returnable within 30 days.)
Notify me when updates are available (No standing order will be created).
This Bloomberg BNA report is available on standing order, which ensures you will all receive the latest edition. This report is updated annually and we will send you the latest edition once it has been published. By signing up for standing order you will never have to worry about the timeliness of the information you need. And, you may discontinue standing orders at any time by contacting us at 1.800.372.1033, option 5, or by sending us an email to firstname.lastname@example.org.
Put me on standing order
Notify me when new releases are available (no standing order will be created)