Two recent cases highlight the need for plan sponsors and fiduciaries to carefully review the forfeiture provisions in their defined contribution plan documents. These cases involve Nordstrom and HP, and they underscore the importance of ensuring that plan forfeitures are handled in compliance with ERISA. Nordstrom Case Nordstrom faces allegations of
Rising Scrutiny on Health and Welfare Plan Fiduciaries: Key Legal Cases, Fiduciary Prudence, Conflicts of Interest, & Prohibited Transactions Recently, scrutiny has increased on health and welfare plan fiduciaries regarding their adherence to the Employee Retirement Income Security Act (ERISA). Three notable lawsuits—against Johnson & Johnson, Charlotte-Mecklenburg Hospital Authority, and Wells Fargo—highlight different
On September 6, 2024, the Department of Labor (DOL) updated its cybersecurity guidance for employers, plan sponsors, fiduciaries, and recordkeepers. The updated guidance includes the following tips: Beyond comparing security standards, practices, policies, and audit results to industry standards, seek service providers who employ an independent third-party auditor to review and validate their
Rising Scrutiny on Health and Welfare Plan Fiduciaries: Key Legal Cases and Best Practices In recent years, there has been a notable increase in lawsuits targeting health and welfare plan fiduciaries, reflecting a heightened scrutiny on the decisions made by these fiduciaries. The year 2024 has already seen two significant cases that highlight this
Why You Should Outsource Your Employee Benefit Plan RFP Process to an ERISA Independent Fiduciary Did you know the US Department of Labor requires you to run a Request For Proposal (RFP) for service providers every 3-4 years? There are two main reasons why the DOL wants an RFP for service providers
As a business owner, you know that managing employee benefits is an important part of running your company. But understanding how to navigate ERISA compliance can be overwhelming and confusing. That's where an ERISA Independent Fiduciary comes in. The right fiduciary with this specialty can make a world of difference. From helping you reach your
Fines and penalties for not complying with ERISA totaled $931 million in FY 2022. The risk of an unfavorable audit is significant for your business. ERISA compliance helps you mitigate risk. It benefits your business and your employees. Complying with ERISA can be complicated, though. You need a comprehensive strategy. Learn more here about ERISA
ERISA Insider Vol II., Ed. IV: 7 Steps To Train Your Fiduciaries In ERISA Compliance Most fiduciaries aren’t ready to face a potential EBSA Audit of your company plan. Here’s how to make them proactive and prepared. Dear Employer, Did you know that in 2020, the Employee Benefits Security Administration (EBSA) collected over
ERISA INSIDER VOL. I, ED. I: Understanding Fiduciary Responsibility Under ERISAWhat it means. Why it matters. And the 4 levels of fiduciary liability you need to know about. Dear Employer, Fiduciary Liability is a scary term. A lot of professionals in the industry often exploit the fear of being held personally liable by the US