Michelle Capezza Quoted in “Trump Moves to Ease Retirement Regs for Small Business”Law360 August 31, 2018
Michelle Capezza, Member of the Firm in the Employee Benefits and Health Care & Life Sciences practices, in the firm’s New York office, was quoted in Law360, in “Trump Moves to Ease Retirement Regs for Small Business,” by Emily Brill. (Read the full version – subscription required.)
Following is an excerpt:
President Donald Trump on Friday signed an executive order intended to make it easier for small businesses to band together and offer retirement plans to their workers.
The order directs the U.S. Department of Labor to pass a rule expanding the circumstances under which a company can join a multi-employer plan, a type of retirement plan paid into by multiple companies. Current law requires businesses that participate in multi-employer plans to have a connection, like having the same union representation. …
Lawmakers, policy wonks and private industry stakeholders have long discussed opening multi-employer plans, or MEPs, to more businesses. The “open MEPs” proposal has bipartisan support, serving as a cornerstone of this year’s Retirement Enhancement and Savings Act, which was originally introduced in 2016.
In 2012, the momentum behind the initiative slowed somewhat after the DOL issued an advisory opinion finding that an open MEP would not be considered a multi-employer plan under the Employee Retirement Income Security Act. Agencies would view each company that participated in the open MEP as the proprietor of a single-employer plan, the opinion said.
The association health plan rule helped kick the open MEPs proposal back into high gear, Epstein Becker Green principal Michelle Capezza said Friday.
“There has been a renewed interest in advocating for them based on final regulations issued with regard to association health plans,” Capezza said.