Compliance

Regulators are more closely examining companies that serve employers' retirement plans, a sign that there may be harsher enforcement when new fee disclosure rules take effect this summer.

The approximately 65 million job seekers in the United States who have criminal records would get more thorough consideration by potential employers under new guidelines embraced by the federal government last week.

The Internal Revenue Service has issued a proposed rule addressing the fees imposed by the Affordable Care Act on issuers of certain health insurance policies and plan sponsors of certain self-insured health plans to fund comparative effectiveness research. These fees are designed to support the Patient-Centered Outcomes Research Trust Fund. The Affordable Care Act includes provisions establishing the Patient-Centered Outcomes Research Institute, a private, nonprofit corporation whose purpose is to “assist, through research, patients, clinicians,…

Despite recent tax reform proposals, experts testified at a House committee hearing Tuesday that cutting the incentives for retirement plans would be detrimental to savings in this country.

The Age Discrimination in Employment Act of 1967 prohibits discrimination on the basis of age and covers employees who are 40 years of age and older, which provides a statutory exception for "reasonable factors other than age." Since the Supreme Court held in Smith v. City of Jackson that employees could bring a disparate impact case under the ADEA, employers have sought guidance from the EEOC on how it would interpret the cryptic phrase "reasonable…

ERISA defines a multiple employer welfare arrangement as an employee welfare plan or any other arrangement which is established or maintained for the purpose of providing welfare benefits to the employees of two or more "unrelated" entities. Thus, if a welfare plan is maintained by an employer for the exclusive purpose of providing benefits to that employer's employees, former employees (e.g., retirees) or beneficiaries (e.g., spouses, former spouses, dependents) of such employees, the plan will be considered a "single employer" plan and not a MEWA.

On Monday, the Supreme Court began hearing oral arguments addressing the Patient Protection and Affordable Care Act. Day one of the oral arguments focused on the application of the “Anti-Injunction Act,” which could prohibit the Supreme Court from ruling on the constitutionality of PPACA (if it is considered a tax law) because the penalties would not become applicable until 2015. Although both parties agree that the Supreme Court’s review should not be barred by the…

Companies that serve 401(k) plans are asking the Labor Department to reconsider its stance on mailed notification, so that they can save costs by using email instead of regular mail to send information to plan participants. However, the industry also is trying to balance that need with the needs of older workers, who tend to not be as computer-savvy.

Facebook and lawmakers have warned employers against requesting Facebook passwords while screening job applicants, a controversial practice that underscores the blurring distinction between personal and professional lives in the era of social media.

Skinner is a welcome decision for plan fiduciaries. It is, however, only the first appellate opinion on the subject post-Amara. Additionally, the facts of the case were not particularly compelling for the plaintiffs, since they received accurate information before making their retirement decisions and thus never relied on the faulty SPD. Undoubtedly other courts will tackle the issue of ERISA remedies in the coming months. In the meantime, however, employer/plan administrators should continue to subject their plan documents and benefits communications to a careful review to ensure their accuracy and clarity. Skinner teaches that, in the context of benefit communications, an ounce of prevention is truly worth a pound of cure.

The Department of Labor is not going to let push-back from the financial services industry delay its fiduciary rule for advisers who handle retirement plans — but that does not mean the regulation will be out anytime soon.

When making decisions about benefit plans, plan sponsors should take some time to consider what role they are playing. I am working with a company that is terminating its health plan and the distinction between "settlor" functions and "fiduciary" functions became very significant. So I thought I might share some thoughts on the topic. …

On Tuesday, HR/benefits practitioners got some free legal advice regarding their specific obligations under new Department of Labor 401(k) fee disclosure rules, which go into effect next month.

Two years after the Internal Revenue Service and U.S. Department of Labor jointly issued a high-profile Request for Information regarding how defined contribution plans can better provide lifetime income, the IRS and Department of the Treasury have issued some initial guidance. DOL guidance, expected to further underscore the importance of the issue, is anticipated “in the near future.” …

Three separate panels of witnesses testified at the February 15 Equal Employment Opportunity Commission meeting to discuss the laws that govern pregnancy and caregiver-based employment discrimination, current charge statistics on these types of claims and how to help employers comply with the many laws involved. Several panelists urged the Commission to update and clarify current guidance to better assist employers. …

It's tax time again and I tend to get questions this time of year about reporting of benefits. Health plans that provide coverage to same-sex couples and domestic partners require some special consideration for tax purposes so let's review some of the key issues. The first is verification of status. Some employers voice to me concerns over asking for marital status for fear that requiring enrollees to identify potential same-sex partners is tantamount to discrimination. But…

A woman whose firing from her job over a request to pump breast milk was supported by a Texas judge said last week the decision was unfair and discriminatory, and her lawyer said an appeal was under consideration.

The Department of Labor unveiled a final 401(k) fee disclosure rule last Thursday that requires plan providers to give more details about what employers pay for retirement plan administration and other services.

On January 24, 2012, the Acting General Counsel of the National Labor Relations Board issued a second report on social media cases, just six months after the GC’s last report on the subject. In this latest document, the Obama Board continues to refine its analysis of the two most common issues presented to it in social media cases: whether the employer’s policy itself is overbroad and thus violates employees’ right to engage in concerted and…

On-site clinics utilized in conjunction with a group health plan are becoming an increasingly common method to help employers address the rising cost of health care. The issues in implementing an on-site clinic may seem obvious: Finding a service provider; installing an appropriate facility; and addressing employee access during work hours. However, there are less obvious but equally important compliance concerns that arise when an on-site clinic is implemented. Such clinics maintained on an employer’s…