Headlines about "Ret plans - cash balance, hybrid"

Gathered from the web by the editors at BenefitsLink.com.
U.S. Supreme Court Denies Cash Balance Challenge Review
Excerpt: "U.S. Supreme Court justices have turned aside a request to rule whether cash balance plans are age biased as the high court refused to review a 6th U.S. Circuit Court of Appeals decision. The lower court ruling in Drutis v. Quebecor World (USA) Inc. held that any difference in benefits that employees of different ages received under the cash balance plan was 'merely the result of the time value of money.'" (PLANSPONSOR.com; free registration required)

[Guidance Overview] IRS's Priority Guidance Plan for 2008-2009 Guidance Year
Excerpt: "The [target page] discussion highlights some of the more significant pieces of guidance in the PGP and provides insights beyond the brief descriptions in the PGP. The complete employee benefits section of the PGP is reproduced at the end of this article." (Deloitte via BenefitsLink.com)

[Opinion] ERIC Recommends Final Regs Clarify Anti-Backloading Rules Retroactively As Well As Prospectively (PDF)
11 pages. Excerpt: "The ERISA Industry Committee ('ERIC') is pleased to submit this response to Prop. Treas. Reg. § 1.411(b)-1, which addresses the application of the anti-backloading rules for defined benefit plans under section 411(b)(1)(A)-(C) of the Internal Revenue Code (the 'Code') and the parallel provisions under section 204(b)(1)(A)-(C) of Title I of ERISA. The proposed regulations were published in the Federal Register on June 18, 2008. 73 Fed. Reg. 34,665." (The ERISA Industry Committee)

[Opinion] American Benefits Council Comment Letter to IRS on Backloading/Accrual Rules to 'Greater of' Formulas (PDF)
9 pages. Excerpt: "We are . . . very concerned that the proposed regulations only address one aspect of the greater of issue, albeit a critical aspect. We urge you to broaden the proposed regulations in two ways: 1) Most importantly, it is critical that the 'different basis' requirement be deleted. 2) The separate testing rule should apply for purposes of all three backloading rules, not just the 133 1/3% rule." (American Benefits Council)

[Official Guidance] Text of IRS 2008-2009 Priority Guidance Plan, Including Reg Projects for Retirement Benefits, Executive Comp, Healthcare and Other Benefits (PDF)
31 pages; dated September 10, 2008. (Internal Revenue Service)

Verizon Hit for Cash Balance Conversion Error
Excerpt: "A federal judge said a Verizon benefits committee improperly handled an error in the plan document by ignoring it." (planadvisor)

[Guidance Overview] Green Light for Hybrid Plans
Excerpt: "In Hirt, the US Second Circuit Court of Appeals ruled that cash balance plans do not violate federal age discrimination legislation. Following several other court decisions on this issue, the Second Circuit stated that while the benefits provided to younger employees are worth more than the same benefits provided to older employees, in terms of a retirement age annuity that could be purchased, that difference is the result of time and compound interest and does not constitute age discrimination." (Global Pensions)

Latest Ruling on Cash-Balance Plans Seen as Ending 'Fear of Litigation'
Excerpt: "A fifth appeals court ruling that cash-balance pension plans do not violate age discrimination law almost certainly ends years of uncertainty and costly litigation that threatened their future, legal experts say. In a unanimous decision last week, the 9th U.S. Circuit Court of Appeals in San Francisco joined four other appeals courts in ruling that the plans do not discriminate against older employees." (Workforce Management; free registration required)

[Guidance Overview] Employee Benefits Developments, August 2008 Issue
Includes ESOP Dividends -- New Tax Reporting Rules; Mere Posting of SPD on Intranet Does Not Ensure Actual Receipt; Trilogy of IRS Guidance Regarding Health Savings Accounts; Service by Director as Interim CEO Results in Loss of Tax Deduction for Corporation; IRS Proposes Regulations Regarding 'Greater of' DB Plan Formulas; and No FICA Tax Refund On Nonqualified Deferred Comp Plan Benefits Never Received; Kentucky Retirement System Does Not Violate the ADEA. (Hodgson Russ)

A Fifth Federal Appellate Court Upholds Cash Balance Plan Designs
Excerpt: "In a continuing trend of federal court rulings backing cash balance plans, the 9th U.S. Circuit Court of Appeals has ruled the plans do not discriminate against older workers in favor of their younger counterparts." (PLANSPONSOR.com; free registration required)

Ninth Circuit Rejects IRS Interpretation of ERISA's Anti-Backloading Rules
Excerpt: "'The court recognized what ERIC has long argued, plans that adopt a 'greater of' transition are more generous to participants and do not conflict with the intent of ERISA's anti-backloading provisions,' said Ugoretz. In an important ruling of first impression, the Ninth Circuit also held that 'wearaway' in cash balance conversions does not violate federal or state age discrimination rules. The court determined that in a conversion a participant's accruals may temporarily cease until the benefit under the new formula exceeds the benefit calculated under the old formula. [Links to the Ninth Circuit Decision and to the ERIC Amicus Brief are on the target page.]" (The ERISA Industry Committee)

Appeals Court Affirms Cash Balance Ruling
Excerpt: "The 9th U.S. Circuit Court of Appeals on Wednesday affirmed dismissal of age-discrimination allegations against the cash balance plan of Southern California Gas Co., Los Angeles. The decision in Hurlic vs. Southern California Gas Co., also rejected a Feb. 1 ruling by the IRS that said use of 'greater-of' provisions in cash balance conversions could violate ERISA's anti-backloading provisions." (Pensions & Investments)

California Appeals Court Says the IRS Was Wrong About ERISA's Anti-Backloading Rule
Excerpt: "A U.S. Court of Appeals sided with corporations yesterday when it rejected an Internal Revenue Service interpretation of pension plan rules. At issue was whether pension plans that use so-called cash balance formulas violate provisions of the federal Employee Retirement Income Security Act (ERISA) and California state employment law." (CFO.com)

Pension Ruling a Partial Win for Both Sides - Appeals Court Says Cash Balance Plans Are Legal
Excerpt: "In a ruling that appears to have something for everyone, a U.S. appeals court in Pasadena decided Wednesday that Southern California Gas Co. did not discriminate against older employees when it converted its traditional pension to a cash-balance plan 10 years ago. But, the court said, the company owed its workers fair warning so that they could save more -- or find another employer. The ruling in Hurlic vs. Southern California Gas concurred with other recent appeals court rulings . . . ." (Los Angeles Times)

[Guidance Overview] With the Second Circuit's Recent Cash Balance Decision in Favor of Plan Sponsors, It's All In The Family On Foley Square
Excerpt: "The 2nd Circuit just resolved a family squabble among its district court judges . . . involving an age discrimination issue that has had the pension community across the country in a tumult for 5 years. The appeals court affirmed the judgments of two courts of the Southern District of New York that had ruled that the cash balance plans at issue were not age discriminatory . . . ." (Alvin D. Lurie, Esq.)

[Guidance Overview] Second Circuit Joins Others in Ruling that Pre-PPA Cash Balance Plans Do Not Violate ERISA Age Discrimination Provisions
Excerpt: "The court ruled that the ERISA provisions -- which prohibit an employee's 'rate of benefit accrual' from being reduced because of age -- refer to the employer's contributions to the plan and not to the employee's accrued benefit (which is expressed as an annuity commencing at normal retirement age). As such, a cash balance plan does not violate ERISA § 204(b)(1)(H)(i) where two similarly situated employees receive the same contribution even though a smaller annuity at normal retirement age will result for the employee who is older." (Deloitte)

Retirement Assets Continue to Grow, Hybrid Plans Get Bulk of New Money - 8/6/08
Excerpt: "Retirement assets grew in the United States from $16.509 trillion at the end of 2006 to $17.619 trillion at the end of 2007 . . . ." (Wolters Kluwer)

Are Cash Balance Pension Plans Right for Business?
Excerpt: "A cash-balance plan allows the business to make tax deductible contributions for eligible employees determined under a nondiscriminatory formula that may exceed the dollar limits for defined contribution plans. Contributions are in addition to amounts contributed for an employee to a defined contribution plan. Ideal candidates are companies with owners, partners or other highly compensated employees who may have neglected retirement savings to either grow their business or otherwise desire to catch up on savings." (The Spectrum)

[Guidance Overview] Second Circuit Rules That Cash Balance Plans Are Not Inherently Age Discriminatory (PDF)
Pages 2-3 of 6 pages. Excerpt: "The Second Circuit ruling makes it quite likely that the age discrimination issue has been put to bed for cash balance plans. Although there is at least one appeal pending in the Ninth Circuit on this same issue, most anticipate that it too will follow the holdings and reasoning of the four Circuit Courts that have unanimously rejected these claims. Should the Ninth Circuit (or any other Circuit) rule to the contrary, however, there might still be a need for Supreme Court resolution." (Proskauer Rose LLP)

Podcast: 'Cash Balance 101' explores and educates viewers on Cash Balance Pension Plans
Excerpt: "'We are offering the podcasts to support plan sponsors and third party intermediaries so they can have access to the very best information in plan design, implementation and administration for Cash Balance Plans,' stated Ken Guidroz, Director of New Plan Design for Kravitz." (Louis Kravitz & Associates)

[Guidance Overview] Cash Balance Plans Are Not Inherently Age-Discriminatory, According to Second Circuit
Excerpt: "Ruling in two consolidated class action lawsuits, the Second Circuit U.S. Court of Appeals has held that cash balance plans are not inherently age-discriminatory, even prior to amendments made by the Pension Protection Act of 2006 (PPA). The cases are Hirt, et al. v. The Equitable Retirement Plan for Employees, Managers, and Agents, et al. and Bryerton, et al. v. Verizon Communications, Inc., et al. (Nos. 06-4757, 06-5190, and 07-1680)." (Wolters Kluwer)

Alvin Lurie's Recent Employee Benefits Articles
Excerpt: "The first article, It's a PIP - Or Is It?, concerns 'an idea . . . to make employers in small businesses set up a payroll deduction facility for their employees not covered by employer-sponsored retirement plans, for the purpose of easing the making of contributions to an IRA established by or on behalf of the employee.' The second one, All in the Family on Foley Square, Lurie discusses the 2nd Circuit's recent cash balance plan decision in Hirt v. The Equitable Retirement Plan . . . . [And the third article is: Triple Play: Stevens to Roberts to Thomas or A View of LaRue.] (Workplace Prof Blog)

Comparison Chart of Selected Features of Public Sector Hybrid Retirement Benefit Plans (PDF)
2 pages. (National Association of State Retirement Administrators)

'Greater of' Formulas and the IRS Backloading Position
Excerpt: "In September 2007 we discussed the Wheeler v. Boeing decision, in which a federal district court rejected the IRS's application of defined benefit plan 'backloading' or accrual rules to a 'greater of' formula in a cash balance plan conversion. Since then, the IRS issued Revenue Ruling 2008-7 and has now proposed regulations providing relief from the application of its anti-backloading analysis in the case of multiple formulas." (JPMorgan Chase & Co.)

[Guidance Overview] 2nd Circuit Finds Cash Balance Plans Do Not Offend ERISA Bias Rules
Excerpt: "The trial court judges, Judge Alvin Hellerstein in Hirt v. The Equitable Retirement Plan for Employers, Managers and Agents, 06-4757-cv and 06-5190-cv, and Judge Denny Chin in Bryerton v. Verizon Communications Inc., 07-1680-cv, decided in favor of companies accused of violating the rule against age bias." (New York Law Journal)

Cash-Balance Plans Not Discriminatory, Court Rules
Excerpt: "The 2nd Circuit Court of Appeals says that while the benefits provided to younger employees are worth more than the same benefits provided to older employees, that difference is the result of time and compound interest and does not constitute age discrimination." (Workforce Management; free registration required)

[Official Guidance] U.S. Second Circuit Court of Appeals Decision in Hirt v. Equitable, Decided July 9, 2008 (PDF)
15 pages. Excerpt: "Plaintiffs in two separate cases brought claims alleging that 'cash balance' defined benefit plans violated the Employee Retirement Income Security Act's rule against age-based reductions in the rate of benefit accrual, 29 U.S.C. § 1054(b)(1)(H)(i) (2005), as that rule existed prior to the amendment that took effect as of June 29, 2005." (American Benefits Council)

Cash-Balance Plans Not Discriminatory, Court Says - Fourth Appellate Ruling in Favor of Employers
Excerpt: "In a unanimous decision, the appeals court affirmed two separate lower court rulings finding that cash balance plans sponsored by Verizon Communications Inc. and Equitable Life Assurance Society -- now known as AXA Equitable Life Insurance Co. -- do not discriminate against older workers." (Financial Week; free registration required)

[Opinion] ERISA Doesn't Ban 'Cash Balance' Plans; Second Circuit Joins Sisters
Excerpt: "The Second Circuit today joined the Third, Sixth, and Seventh Circuits in holding that a 'cash balance' pension plan doesn't violate the Employee Retirement and Income Security Act of 1974 despite the fact that older employees (sort of) get less bang for their buck." (Barry Barnett)

Court Dismisses Age Bias Claims Against Hybrid Plan
Excerpt: "The U.S. District Court for the District of Colorado has ruled the pension equity formula and wear-away period that are part of the Gannett Retirement Plan do not discriminate against older workers." (PLANSPONSOR.com; free registration required)

[Guidance Overview] IRS Proposed Regulations Would Encourage Generosity in Cash Balance Conversions (PDF)
Excerpt: "The IRS has issued proposed regulations that would clarify how defined benefit plans, especially hybrid plans, that provide a benefit calculated as the greatest of benefits under separate formulas would satisfy the ERISA anti-backloading rules. Generally, the proposed regulations would permit such 'greater-of' plans to satisfy a backloading test by testing each formula separately. This is the same relief offered in Revenue Ruling 2008-7 and is generally helpful to employers who want to convert to cash balance designs while providing more than the required transitional benefits to older employees." (Buck Consultants)

[Guidance Overview] IRS Formally Approves 'Greater of' Plan Conversions
Excerpt: "The IRS has proposed regulations confirming that 'greater of' conversions do not violate the accrual rules. The proposed rules resolve a controversy that arose during the IRS determination letter process, when the IRS challenged cash balance plans that used a greater-of conversion method to transition from a traditional defined benefit plan." (Watson Wyatt Worldwide)

[Guidance Overview] District Court Refuses To Dismiss ADEA Disparate ERISA Fiduciary Misrepresentation Claims Related WearAways Caused by a Cash Balance Conversion (PDF)
Page 8 of 11 pages. Excerpt: "In George v. Duke Energy Retirement Cash Balance Plan, 2008 WL 2307485 (D.S.C. 2008), the district court dismissed ERISA and ADEA age discrimination claims arising out of Duke Energy's conversion of its defined benefit plan to a cash balance plan, but allowed plaintiffs' wearaway claim under ADEA to proceed. The court also concluded that plaintiffs' fiduciary misrepresentation claim may proceed." (Proskauer Rose LLP)

Compromise Reached on San Diego, California, Pension System Overhaul
Excerpt: "Mayor Jerry Sanders and City Council President Scott Peters Wednesday reached a compromise on competing ballot initiatives aimed at overhauling San Diego's pension system. The compromise would create a hybrid pension plan for newly hired, nonpublic safety employees that combines a conventional retirement plan with a 401(k)-type savings plan." (City Wire via 10News.com)

[Opinion] ERIC Counsel Testifies Before IRS on Proposed Hybrid Plan Regulations
Excerpt: "[ERIC Counsel Richard] Shea discussed how the proposed regulations would not effectuate Congress's intent to provide a predictable legal environment in which employers can safely offer retirement benefits to their employees through cash balance and pension equity plans. Shea also expressed concern that the proposed regulations call into question other defined benefit plans that provide participants guaranteed indexing of their benefits." (The ERISA Industry Committee)

IRS Aims to Preserve Tax Status of Cash-Balance Conversions
Excerpt: "Newly proposed Internal Revenue Service rules will protect hundreds of pension plans from the threat of disqualification. The proposed rules affect employers that converted traditional final average pay plans to cash balance plans and said the benefits that current employees receive would be based on the design that resulted in the greatest benefit." (Financial Week; free registration required)

ASPPA Calls for Clarifications in IRS's Regs on Cash Balance, Other Hybrid Retirement Plans
Excerpt: "Testifying at a June 6 hearing on the Internal Revenue Service's proposed regulations governing cash balance plans and other hybrid retirement plans, the American Society of Pension Professionals & Actuaries (ASPPA) called for certain clarifications in the final regulations. The IRS issued the proposed regulations on Dec. 28, 2007." (Wolters Kluwer)

[Official Guidance] Text of Proposed IRS Regs on Accrual Rules for DB Plan Conversion to Cash Balance Formula (PDF)
6 pages. Excerpt: "The proposed regulations would provide a limited exception to the existing requirement under § 1.411(b)– 1(a)(1) to aggregate the accrued benefits under all formulas in order to determine whether or not the accrued benefits under the plan for participants satisfy one of the alternative methods under section 411(b)(1)(A) through (C). Under this limited exception, certain plans that determine a participant's benefits as the greatest of the benefits determined under two or more separate formulas would be permitted to demonstrate satisfaction of the 133-1/3 percent rule of section 411(b)(1)(B) by demonstrating that each separate formula satisfies the 133-1/3 percent rule of section 411(b)(1)(B)." (Internal Revenue Service)

Cash Balance Plans Number Grew Dramatically from 2002 to 2006
Excerpt: "There were 1,755 new cash balance plans established during the five-year period from 2002 through 2006. This represents a 307% increase over the 571 new cash balance plans created from 1997 through 2001, according to statistics compiled by Louis Kravitz & Associates." (Wolters Kluwer)

[Guidance Overview] Court Asks SG's Views on ERISA Retirement Accumulation Case
Excerpt: "This is not the normal age discrimination issue we look at when analyzing cash balance plans, but asks whether it is consistent with ERISA and the IRC to pay a lump sum distribution and if so, how should that lump sum be calculated in the cash balance setting." (Workplace Prof Blog)

[Guidance Overview] PBGC Issues Final Premium Payment Guidance (PDF)
Excerpt: "These developments affect sponsors of qualified defined benefit plans that are subject to PBGC premium requirements, including cash balance plans and multiemployer plans. Governmental plans and plans sponsored by churches that do not elect to be covered by ERISA ('non-electing church plans') are not subject to these rules." (Prudential Retirement)

[Guidance Overview] Duke Energy ERISA Decision Update
Excerpt: "At issue in George v. Duke Energy Retirement Cash Balance Plan (D. S.C.) was whether the employer's conversion to a cash balance plan violated ERISA or the ADEA." (Workforce Management; free registration required)

Hybrid Pension Plans Poised for Resurgence
Excerpt: "New regulation, led by the Pension Protection Act of 2006, has offered clarity on the murkiest issue regarding hybrid plans -- the age-discrimination dilemma. 'The PPA made it clear that these plans do not violate any of the age-discrimination provisions of ERISA,' said Russell Hirschhorn, an employee benefits attorney at law firm Proskauer Rose. 'We had argued that this was the case for quite some time, but the PPA gave more legitimacy to those claims and really validated hybrid plans.'" (Financial Week; free registration required)

[Opinion] Outline of ASPPA Testimony at Public Hearing on Proposed Regulations of Hybrid Retirement Plans (PDF)
4 pages. Excerpt: "It is important that guidance be comprehensive enough to enable compliance. There always will be gray areas, but there are also issues that the IRS and Treasury see as black and white, some practitioners see as white and black, and explicit answers are at best found in a gray book – not formal guidance." (American Society of Pension Professionals & Actuaries)

Duke Energy Cash Balance Ruling a Mixed Bag
Excerpt: "A ruling by a federal judge in South Carolina in a lawsuit alleging Duke Energy Corp.'s cash balance plan violated the Employee Retirement Income Security Act (ERISA) awarded some of the contested issues to both sides." (PLANSPONSOR.com; free registration required)

[Opinion] American Benefits Council Amicus Brief with 2nd Circuit U.S. Appeals Court in re Citigroup Pension Plan ERISA Litigation (PDF)
30 pages. Excerpt: "The Council bases its decision to seek to file an amicus brief upon criteria that limit participation to significant cases in which the Council believes its discussion of the issues will advance arguments that will not be fully developed from the same broad perspective by the parties or by other amici. Issues in the Citigroup Pension Plan ERISA Litigation are of critical importance to the Council because affirmance of the District Court's decision would have a serious adverse impact on America's defined benefit pension system and those members of the Council that sponsor such plans." (American Benefits Council)

Kravitz National Cash Balance Research Report (PDF)
3 pages. Excerpt: "Kravitz has compiled research on all of the Cash Balance Plans in the nation as of December 31, 2006. Following are some data points we believe will be of use and interest to retirement plan professionals, particularly those who are interested in learning about these dynamic plans and using these plans to grow their qualified plan business." (Louis Kravitz & Associates)

Monsanto Cash-Balance Suit Gets Class-Action Status
Excerpt: "A federal judge in Illinois designated as a class action a lawsuit that claims cash-balance plans offered by Monsanto Co. and companies it spun off since 1997 illegally discriminate against former participants in St. Louis-based Monsanto's defined benefit plan." (Pensions & Investments)

Spring 2008 Regulatory Agendas Released by PBGC, IRS and EBSA
Excerpt: "Among the items in the PBGC's proposed rule stage are: . . . . Among the items in the IRS proposed rule stage are: . . . . The prerule and final rule EBSA agenda items are: . . . ." (Wolters Kluwer)

[Official Guidance] Corrections to Proposed IRS Regs on Hybrid (Cash Balance) Retirement Plans Issued on 12/28/2007 (PDF)
3 pages. Excerpt: "On page 73683 . . . the language 'reasonably expected to result in a larger' is corrected to read 'reasonably expected to result in a smaller'." (Internal Revenue Service)

[Opinion] ERIC Urges Mind-Set Change in Treasury's Proposed Hybrid Retirement Plan Regulations
Excerpt: "RIC's comments address many specific concerns with the regulations, among them: The IRS's inappropriate use of the determination letter and audit programs to make major interpretations of the law governing hybrid plans; An extremely limited interpretation of the market rate of return requirement that would prohibit plan sponsors from offering generous interest crediting rates to participants; An overly broad definition of interest credits that could disallow many required and permissible credits for imputed service or for periods of disability and maternity leave; A inappropriate application of the special vesting rules to benefits determined under non-hybrid plan formulas resulting in faster vesting; and The exclusion limited applicability of the PPA's indexing rule that would disallow cash balance and pension equity plans from complying with the age discrimination test by meeting its requirements." (The ERISA Industry Committee)

[Guidance Overview] Cash Balance Conversions and Other 'Greater of' Formulas
Excerpt: "Guidance is expected to be issued that will allow separate testing with respect to cash balance conversions like the one analyzed in Rev. Rul. 2008-7 and other 'greater of' formulas under proposed regulations that will be effective for plan years beginning on and after January 1, 2009. Unfortunately, it is not clear what kind of 'greater of' formulas the IRS intends to approve in these regulations and it is possible that Rev. Rul. 2008-7 is a prequel to regulations that will only provide relief to 'greater of' formulas that satisfy narrow design criteria." (BNA Tax Management Inc.)

[Opinion] Pension Rights Center Letter on Treasury Ruling that Threatens Pensions of Thousands (PDF)
5 pages. Excerpt: "The Department of the Treasury and the Internal Revenue Service have issued a ruling that could result in devastating losses of pension benefits for thousands of older employees, contrary to the intent of Congress. The ruling also contradicts current tax law and a long-standing regulation. In a letter sent to Treasury Secretary Henry Paulson today, the Pension Rights Center criticized the agencies for Revenue Ruling 2008-7, which legitimizes a corporate practice known as 'wearaway,' a practice that hurts older workers in certain cash-balance plans and that Congress has recognized as unfair. The Center called on the Treasury Department to withdraw the ruling and alerted the chairs and ranking members of labor and tax committees in Congress to the potential harm that the ruling could have on employees." (Pension Rights Center)

[Guidance Overview] Chart of Highlights of Proposed Rules for Hybrid Plans (PDF)
3 pages. (Prudential Retirement)

[Guidance Overview] IRS Publishes Proposed Regulations for Hybrid Plans (PDF)
6 pages. Excerpt: "These developments affect sponsors of and participants in hybrid plans, such as cash balance plans and pension equity plans. These developments also affect plan sponsors that are considering converting traditional defined benefit plans to a hybrid plan design." (Prudential Retirement)

Employers Turning to Hybrid Plans, DC Plan Enhancements, Wyatt Finds
Excerpt: "During the past 10 years, over forty percent of large employers have closed or frozen their defined benefit plans and replaced them with defined contribution plans, according to a survey released by employee benefits consultant Watson Wyatt. During the same period, nearly one-fourth of the surveyed employers have modified their defined benefit plans into hybrid plans." (Wolters Kluwer)

Lawsuit Targets Pension Plan Change to Cash Balance Formula
Excerpt: "A federal judge has authorized a class-action lawsuit over alleged cuts in pension benefits brought against Solvay Chemicals Inc., one of southwest Wyoming's leading soda ash producers. An attorney for the plaintiffs said employees of Solvay have been invited to join the national class-action lawsuit aimed at fighting changes in the soda ash giant's pension benefits. U.S. District Judge Alan Johnson authorized the class action in the lawsuit filed against Solvay in a Feb. 8 order and ruled that the case could move forward under federal age discrimination laws." (CasperStarTribune.net)

[Opinion] ASPPA Comments on Proposed Regulations Relating to Hybrid Retirement Plans under §411(a)(13) and §411(b)(5) (PDF)
13 pages. Excerpt: "The American Society of Pension Professionals & Actuaries (ASPPA) appreciates this opportunity to comment on the proposed regulations regarding the hybrid defined benefit pension plans as issued by the IRS and Treasury on December 28, 2007 (REG -104946-07) (Proposed Regulations)." (American Society of Pension Professionals & Actuaries)

[Opinion] American Benefits Council Comment Letter to Treasury/IRS on Hybrid Retirement Plans (PDF)
27 pages. Excerpt: "On behalf of the American Benefits Council [the letter contains] comments regarding the proposed regulations providing guidance with respect to cash balance plans, pension equity plans, and other hybrid defined benefit plans." (American Benefits Council)

San Diego Mayor Proposes Hybrid Pension Plan
Excerpt: "Mayor Jerry Sanders is proposing to switch new non-safety employees to a hybrid pension system that includes a lower-paying defined benefit plan, a mandatory 401(a) defined contribution plan and a voluntary 401(k) plan. Under the mayor's proposal, new city employees' benefits would get fewer benefits from the existing $5.05 billion defined benefit plan." (Pensions & Investments)

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