Recent court cases, including Tibble v. Edison, have exposed 401(k) plans to greater scrutiny.
“It is the cumulative effect of the cases in the aggregate that has caused greater attention in the media and among employers as it has become clear from the Supreme Court on down that you can’t keep your 401(k) plan in a closet,” says Jerry Schlichter, founding partner of Schlichter Bogard and Denton in St. Louis. “You’ve got to make sure the plan is run for the sole benefit of employees and retirees. It has never been more clear than it is now. And it is clear employers are taking their responsibility more seriously as more attention is drawn to their practices.”
