House Action Worsens Retirement Savings Crisis

Today the U.S. House of Representatives passed two Resolutions (H.J. Res. 66 and H.J. Res. 67) to strike down Department of Labor regulations that affirmed the ability of states and municipalities to offer automatic-enrollment retirement savings plans (often called Secure Choice plans) to workers who are not covered by their employers.

The following quote can be attributed to Justin King, policy director for New America's Family-Centered Social Policy program:

“Thanks to the failure of federal policy, tens of millions of American are unprepared for retirement—the House today voted to double down on that failure. Secure Choice plans are a critical innovation that open new pathways to expanded retirement and financial security in America. Today’s vote undermines the prospect of a secure retirement for the half of the American workforce that has no retirement plan through their employer. As our workforce ages and the nature of work changes, Secure Choice is a model for covering workers forgotten in the traditional workforce, as well as the so-called ‘gig economy.’

These aren’t ‘midnight regulations.’ New America and other stakeholders have been working to craft Secure Choice plans for the past 10 years. Secure Choice is a safe, low-cost, high impact response to the oncoming wave of retirement insecurity that, without action, will swamp American families, communities, and governments. This vote is worse than inaction, it dims the future prospects of millions of hard-working Americans.”