Plan sponsors have many decisions to make in designing exit programs and should be aware of the consequences of their choices. Considerations include whether to offer a voluntary or involuntary plan, whether to seek coverage under ERISA for such a plan, and, if...
IRS, Treasury, DOL, EBSA, HHS, and CMS have jointly issued final mental health and substance use disorder regulations with a focus on improving mental health coverage in group health plans and insured plans so that nonquantitative treatment limitations (NQTLs)...
There are many reasons employees may take leave (bereavement, sickness, vacation, sabbatical, disability, military leave). Some leaves provide employees with protections, such as leaves under the Family Medical Leave Act, USERRA, the Pregnancy Discrimination Act...
By: Jeffrey D. Mamorsky , COHEN & BUCKMANN, P.C. THIS VIDEO SERIES CELEBRATES THE ENACTMENT of the Employee Retirement Income Security Act (ERISA), signed by President Gerald Ford on September 2, 1974, and generally effective for plan years starting on or...
Cybersecurity is the word, and fiduciaries of employee benefit plans governed by the Employee Retirement Income Security Act of 1974 should implement cybersecurity risk management strategies to mitigate the risks of liabilities that can result from cybersecurity...
On August 20, 2024, the Northern District of Texas issued its final ruling in Ryan , LLC . v . FTC on the merits of summary judgment cross-motions, contesting the legality of the Federal Trade Commission’s NonCompete‑ Rule which would prohibit most employee...
In some M&A transactions, pre-existing employment contracts might provide certain employees with rights that must be dealt with in connection with acquisition, in some cases even if such employees will not be retained by the buyer. For example, an officer may...
Open enrollment, which often occurs in October or November for calendar year plans, is a time when employees and other eligible individuals can enroll in or make changes to their employer-based health insurance and fringe benefit options. The term has sole reference...
Few people today recall the 1963 failure of automaker Studebaker and the resulting loss of workers’ pensions. It started the buzz about the state of pension law in the United States with many issues to be resolved. For example, before ERISA, employers could...
Stock purchase agreements and asset purchase agreements will differ in how the parties approach the target's 401(k) plan(s). Generally, there are three options: (1) continue operations, (2) terminate the target 401(k) plan, or (3) merge the target 401(k) plan...
When ERISA was enacted on September 2, 1974, defined benefit pension plans were the predominant vehicle for providing retirement income to employees, offering investments managed by employers and offering participants (later their spouses, too) a fixed annuity...
The U.S. Supreme Court, in overruling its prior Chevron decision, seems to allow lower courts to independently evaluate statutory text. Many regulations, promulgated by agencies like the IRS and the DOL, have previously been upheld using the deferential framework...
When an employer contemplates an acquisition, merger, or other corporate transaction, the employer often wants to be certain that key employees remain during (and often for a time after) the transition. Retention agreements are useful for this purpose and can provide...
The SECURE 2.0 Act added an exception to the 10% early distribution penalty tax under I.R.C. § 72(t) for "emergency personal expense distributions" from a defined contribution plan. The exception, discussed under I.R.S. Notice 2024-55 , recognizes...
The U.S. Department of Labor (DOL) issued final rules in late April regarding its definition of fiduciary investment advice and associated prohibited transaction exemptions (PTEs). The rule and amended PTEs will protect retirement investors by requiring trusted...