Defined Benefits

The ERISA Industry Committee (ERIC), a national non-profit organization that represents the largest employers in the U.S., is calling on Congress to re-examine the premiums paid by companies that sponsor defined benefits (DB) plans.

While most states are beginning to offer hybrid DB/DC plans, Alaska has chosen to move future hires into defined benefit retirement plans.

Not getting complacent, public sector pension plan managers are building for the long-term by increasing spending on advanced tools that offer a more realistic insight into changing markets, says a new report.

Benefits groups support the proposal, which would require retirement plans to use money forfeited by participants when they leave an employer before the end of a vesting schedule, starting in 2024..

The U.S. defined contribution system relies on new employers to create, on average, 44,000 plans per year to compensate for the more than 377,000 plans that closed from 2012 to 2021, according to a Morningstar report.

At the committee level, there is a lot of bipartisan activity for health care reform for 2023 that includes PBM reforms and insulin caps in the commercial market, as well as regulatory guidance on the new retirement bill SECURE 2.0.