Kalamarides discussed Prudential Retirement’s support for expanding retirement coverage through multiple small employer plans, which would allow groups of employers to pool resources under a single defined contribution plan, resulting in lower costs and simplified administrative requirements. Kalamarides testified that the establishment of multiple small employer plans may help close the retirement income gap for the more than 78 million employees who do not have a retirement plan, and help improve overall retirement security.*
During his testimony, Kalamarides explained that compliance with ERISA’s reporting, disclosure and fiduciary requirements may be a concern for many small employers and, the ability to reallocate these responsibilities to professionals through a multiple employer plan would remove a major impediment to small employers extending retirement savings opportunities to their employees. Kalamarides further explained that, if multiple employer plans are to play a meaningful role in closing the “retirement coverage gap” clarifications and changes in the law are necessary, including expanding multiple employer plan sponsorship, reallocating fiduciary and plan administration responsibilities and eliminating non–discrimination testing. For full version of testimony (link to testimony) and white paper, (link to whitepaper).
Prudential Retirement delivers retirement plan solutions for public, private, and non-profit organizations. Services include state-of-the-art record keeping, administrative services, investment management, comprehensive employee investment education and communications, and trustee services. With over 85 years of retirement experience, Prudential Retirement helps meet the needs of over 3.6 million participants and annuitants. Prudential Retirement has
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