Failing to know that the plan fiduciaries can held personally responsible for their ERISA mistakes.
The PBGC was set up as a result of the 1974 Employee Retirement Income Security Act (ERISA).
ESOPs were enabled in 1974 through the federal law ERISA, the Employee Retirement Income Security Act.
It seems to me that under applicable law, ERISA, instituting such a policy, or reversing, is highly problematic.
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Since all retirees and many plan participants will no longer be employees, this is a major ERISA oversight.
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Failing to assess the plans compliance to ERISA and DOL rules and regulations.
If you want something to be angry about, be angry at the arbitrary nature of federal ERISA and COBRA laws.
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Public Pensions: Investigations of public pensions, neither governed by ERISA nor regulated by the DOL can raise additional sensitive political issues.
It is unclear whether the Employee Retirement Income Security Act (ERISA) protects current employees from harassment and threats by the employer.
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So have fund directors, in Erisa suits filed by retirement plan participants.
To be sure, it is perfectly legal under ERISA for employers to offer company stock as an investment option in their 401ks and most do.
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Controlling costs is a DOL and ERISA requirement of plan sponsors.
The same process of creating 1099 income creates good income for tax-exempt entities, which means it goes into 401(k)s, IRAs, as well as foundations, endowments, ERISA plans.
Not understanding their ERISA responsibilities in running the plan.
Republicans believe we can achieve real health care reform without destroying jobs and undermining ERISA. In the House, we've outlined a plan to strengthen the employer-provided health care system.
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Again, there is absolutely nothing to be gained by workers from the shift to an annual match and, of course, workers, under ERISA, have no say in the matter.
For over twenty years, the Inspector General has recommended that Congress close the loop-hole in the federal law applicable to pensions, ERISA, that allows this state of affairs to persist.
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Another danger the GAO pointed out: 401(k) providers often deliberately structure company plans to avoid accepting fiduciary, or legal, responsibility for the plans under the Employee Retirement Income Security Act (ERISA).
Bottom line, any one determined to be a fiduciary, regardless of size, should sweat if they are a fiduciary because the fiduciary obligations under ERISA are the highest known to law.
Public funds in particular, which are not governed by ERISA and have lay boards, should be especially diligent in this era of heightened scrutiny of financial matters to investigate consultant conflicts.
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Second, these funds are not subject to comprehensive federal regulation such as ERISA. Rather, they are governed by state or local statutes that differ dramatically and many of which offer little guidance.
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Employees can sometimes file claims under the Family Medical Leave Act (FMLA), the Americans with Disabilities Act (ADA), the Rehabilitation Act, and the Employee Retirement Income Security Act of 1974 (ERISA).
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Under ERISA, a pension sponsor may instruct the auditor to a pension not to perform any auditing procedures with respect to investment information prepared and certified by a bank or similar institution.
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Milberg, whose Erisa Expertise LLC sells software that compares Roth with non-Roth outcomes, says that Charles could easily wind up better off with Roth even if his tax bracket goes down a bit in retirement.
"That's an 'aha' to most people, " says Barry Milberg, whose Erisa Expertise's online calculator lets you plug in your own age and current tax rate to see how future tax rates could affect your results.
Given industry marketing pitches, it should come as no surprise that employers regularly lose sight of the fact that under ERISA, the sponsor remains responsible as the named fiduciary to the plan even when the sponsor delegates or outsources management of the plan.
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What's more, workers can invest in collective trusts only in ERISA-qualified plans, according to Ms. Nordquist. (ERISA stands for Employee Retirement Income Security Act.) That means CITs aren't available to retail individual retirement accounts, 403(b)s, government-sponsored 457(f) plans or any executive deferred-compensation non-qualified plan.
In 2009 Judge Miller threw out ERISA claims in the case and granted El Paso summary judgment on the ADEA claim, finding it was barred by the failure of the plaintiffs to file a timely charge of discrimination with the U.S. Equal Employment Opportunity Commission.
It seems that even the largest companies, armed with legions of expert financial advisers and ERISA lawyers who are paid hefty fees, are both prone to be out-witted by the financial vendors they entrust with plan assets and ill-equipped to identify competitive, conflict-free 401(k) investment solutions.
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