On the heels of Treasury’s announcement yesterday that it was withdrawing proposed regulations governing cash balance plans, House Workforce Committee leaders announced plans to move forward and look at solutions to solve the cash balance plan quagmire. The announcement is here and provides in part:
“Our Committee is not going to shy away from complex issues and difficult decisions, and that is why we plan to work in a responsible manner to pursue permanent solutions that preserve cash balance pension plans as a viable retirement security option for workers and employers,” Boehner added. “We look forward to working with all parties, including the Treasury Department, in a productive manner to implement responsible solutions and preserve the integrity of the defined benefit system.”“It’s important we proceed with a careful, deliberative approach that starts with a hearing and bipartisan discussions on our Committee as we draft a comprehensive bill this year to strengthen and reform the defined benefit system,” said Employer-Employee Relations Subcommittee Chairman Sam Johnson (R-TX). “There are plenty of hybrid plans that currently need the certainty we will provide in our legislation and we will work to ensure that defined benefit pensions remain a vital and thriving employee benefit far into the future.”