ERIC Urges PBGC to Withdraw Proposed Regulations on Reportable Events

The ERISA Industry Committee (ERIC), the Washington, D.C.-based trade association representing America’s major employers, yesterday submitted comments to the Pension Benefit Guaranty Corporation (PBGC) urging the agency not to finalize proposed regulations on reportable events requirements, but instead to maintain the existing regulations in their current state.

“ERIC understands that the PBGC believes that the current regulations should be revised. However, ERIC believes that the current regulations are appropriate and sufficient to protect the PBGC,” said Kathryn Ricard, ERIC’s Senior Vice President for Retirement Policy.

The PBGC in April 2013 issued proposed regulations under the Employee Retirement Income Security Act (ERISA) that would change the circumstances under which plan administrators must notify the PBGC of the occurrence of certain “reportable events.” The PBGC in November 2009 had previously proposed to increase the reporting requirements by eliminating most reporting waivers currently permitted under the existing regulations, but withdrew the proposal after objections from ERIC and other organizations.

ERIC’s letter argues, among other things, that the PBGC already has the appropriate tools to identify at-risk plans with the existing reportable events rules, and that the Pension Protection Act of 2006 (PPA) is working as intended in protecting the interests of the PBGC and benefits earned by participants.

For a copy of ERIC’s press release, click here.

For a copy of the comment letter, click here.