BenefitsLink Retirement Plans Newsletter

Senators Urge Treasury to Simplify Proposed Phased Retirement Rules -- Excerpt: "As
the boomer generation heads toward retirement, it will be more important than ever to
have sound rules in place to allow phased retirement, a time when employees work
reduced hours and draw partial retirement benefits as they transition to full
retirement." (HR Policy Association)
Pensions in PERS Decline: Data Show Reforms in 2003 Cut 1999-2001 Payout Levels --
Excerpt: "Newly retired Oregon teachers, state workers and other public employees are
getting smaller pensions compared with the payouts of a few years ago. Workers who
retired in 2004 after 30 years on the job earned pensions that averaged 79 percent of
their salary, new Public Employees Retirement System data show. That still is better
than what most other government and private pensions are paying." (Statesman Journal)
Update on 30-Year Treasury Rate v. ERIC Composite Corporate Rate -- Excerpt: "H.R.
3108 (The Pension Funding Equity Act), currently before Congress, includes a composite
corporate bond rate to replace the defunct 30 year Treasury rate for purposes of
calculating pension liabilities.... [The target page provides links to a table of
the history of the Treasury, PBGC, & Composite Rate and to a table of the latest
history of the Treasury, PBGC, & Composite Rate.]" (The ERISA Industry Committee)
Audio: Disappearing Pensions Stir Concern -- Excerpt: "As companies announce cuts or
freezes in employee pensions, many recall a warning from retiring Fed chief Alan
Greenspan: Social Security and Medicare have uncertain futures. Cal professor Harley
Shaik en offers Scott Simon his insights." (Weekend Edition via National Public Radio)
Overview: PBGC Final Regs Update Mortality Tables -- Excerpt: "The Pension Benefit
Guaranty Corporation (PBGC) is updating the mortality assumptions used in valuing
benefits for terminating plans." (CCH INCORPORATED)
Judge Clears Path for Fund Trading Suit against Strong Capital Management -- Excerpt:
"A federal judge in Maryland has allowed a K plan participant to push forward with his
allegations of an Employee Retirement Income Security Act (ERISA) fiduciary violation
against a provider in connection with market timing and late trading."
(PLANSPONSOR.com; one-time registration required)
Overview: IRS Provides Clarification of Certain Amendment Deadlines and Transitional
Relief for Some -- Excerpt: "The clarifications in this notice should provide some
much-needed assistance to plan sponsors and their advisors in sorting through the
complexity of amendment deadlines under the new interim, discretionary, and remedial
amendment process. But the complicated and detailed provisions in this notice point
out the diligence required to meet amendment deadlines in order to preserve the
ability to fix plan document problems retroactively." (Employee Benefits Institute of
America Inc.)
Australian Legislation Allows Employees to Split Pension Plan Contributions with
Spouse (PDF) -- 2 pages. Excerpt: "'Australian employees may soon be able to transfer
part of their pension plan contributions to separate accounts for spouses. (Towers
Perrin )
What Is a Pick-up Plan and Why Would You Want to Adopt One? -- Excerpt: "A pick-up
plan may be the not-so-obvious answer to attracting and retaining valuable employees
who read about 401(k) plans and want to defer more than may otherwise be permitted in
their other government plans." (Reish Luftman Reicher & Cohen)
Overview: Universal Prudence for Retirement Plans -- Excerpt: "With the aging of the
baby boomers and their rapidly approaching retirement (the first boomers hit 60 on
January 1, 2006), employers-both public and private-are focusing on retirement
benefits. As a result, increasing attention is being paid to the people responsible
for managing retirement plans ... the fiduciaries." (Reish Luftman Reicher & Cohen)
Government Retirement Plans: What You Don't Know Can Hurt You -- Excerpt: "Every
government employer ought to be able to answer certain questions concerning its
employee retirement plans." (Reish Luftman Reicher & Cohen)
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Executive Benefits; Benefits in General
Employee Failed To Prove Claim Of Constructive Discharge Under ADEA, FMLA, Or ADA --
Excerpt: "An employee who resigned following his hospitalization failed to prove that he
was constructively discharged in violation of the Age Discrimination in Employment Act
(ADEA), the Family and Medical Leave Act (FMLA), and the Americans with Disabilities Act
(ADA). This was the ruling of the Tenth Circuit U.S. Court of Appeals in Buettner v.
North Oklahoma County Mental Health Center (No. 04-6389)." (Spencer's Benefits Reports)
Nine Critical Trends in Benefits -- The Rising Expense Continues to Be the Top Concern --
Excerpt: "Containing the rising expense will continue to be the top concern for human
resource professionals in the next three to five years. That's the prediction from the
Society for Human Resource Management, which asked its panel of experts on benefits and
compensation to identify the most significant trends in their area." (Workforce
Management; one-time registration required)
Quick Look at Impact of Proposed Changes to FASB Accounting Standards on Postretirement
Benefits -- Excerpt: "To gauge the effect of marking the balance sheet to market for
pension plans, we looked at the difference between the funding position and the net asset
or liability recognized on the balance sheet as reported in the footnotes, where the
funding position was calculated as the projected benefit obligation (PBO) minus the
market value of assets." (Watson Wyatt Worldwide)
First Issue of the Government & Tax Exempt Plans Report, November 2005 (PDF) -- 5 pages.
Excerpt: "[Reish Luftman Reicher & Cohen presents this new] Firm newsletter addressed
exclusively to government and non-profit clients and potential clients." (Reish Luftman
Reicher & Cohen)
Interview: 10 Questions for Elaine Chao -- Excerpt: "As overseer of America's retirees
and 150 million workers, Secretary of Labor Elaine Chao, 52, spoke with TIME's Eric
Roston about the impending pension crisis, the growing skills gap and life as half of a
Washington power couple." (Time Online Edition)
Overview: 2005 Nonqualified Deferred Compensation Reporting and Withholding Suspended
(PDF) -- 1 page. Excerpt: "The guidance in essence provides employers and payors with
relief from penalties under 'a what-you-don't know now but subsequently find out'
scenario. Thus, in the future, if it turns out that 2005 deferrals were in violation of
Section 409A and therefore includible in income, no penalties will be assessed with
respect to a failure to timely withhold and report such amounts." (Buck Consultants)
Web Site Offers Help Navigating DOL Laws and Regulations -- Excerpt: "DOL's Office of
Compliance Assistance Policy, working with many DOL agencies, leads a variety of
Department-wide compliance assistance efforts, including this Web portal. All of our
compliance assistance activities are designed to provide businesses, workers, and others
with the knowledge and tools they need to comply with DOL's rules." (U.S. Department of
Labor)
Preparing for an Aging Workforce: A Focus on New York Employers (PDF) -- 38 pages.
Excerpt: "The survey measures the relative importance of employee qualities and the
degree to which older employees possess these qualities. The survey also examines
employers' perceptions of worker shortages, the loss of institutional knowledge, and the
extent to which employers have implemented approaches to keep older workers." (AARP)
A Growing Number of Employees Are Staying Away from the Office -- Excerpt: "According to
the latest count, 140,694 federal employees worked at home or at a steelwork center last
year. Through the magic of computers and telephone lines, these lucky souls avoid snarled
traffic, jammed subway trains and lousy weather." (The Washington Post; one-time
registration required)
Court Refuses to Give Effect to SPD Disclaimer Stating that Plan Document Controls --
Excerpt: "[This case] reminds us that because ERISA requires full disclosure in the SPD
of any material terms that could affect benefits, most courts do not give weight t o SPD
disclaimers. Second, this case illustrates that employers and plan administrators are
likely to be left holding the bag when a court finds ambiguities in the SPD, since
ambiguities are usually resolved in favor of the participant." (Employee Benefits
Institute of America Inc.)
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Newly Posted Events
Preparation Today To Keep The Auditors At Bay
in Texas on January 31, 2006
presented by WEB (Worldwide Employee Benefits Network) Dallas Chapter
https://benefitslink.com/cgi-bin/events/detail.php?id=40248
Post yours!
https://benefitslink.com/cgi-bin/events/eventmaint.php
==========================================================
Newly Posted Press Releases
PBGC Announces Maximum Insurance Benefit For 2006
(Pension Benefit Guaranty Corporation (PBGC))
https://benefitslink.com/cgi-bin/pr/detail.php?id=39415
Post yours!
https://benefitslink.com/cgi-bin/pr/maint.php
==========================================================
Newly Posted or Renewed Job Openings
Manager Processing Team
for Administaff
in TX
https://employeebenefitsjobs.com/job/H44658
Retirement Specialist
for Nationwide Retirement Solutions
in CA
https://employeebenefitsjobs.com/job/H44659
Account Executive
for Principal Financial
in MD
https://employeebenefitsjobs.com/job/H44660
Relationship Manager
for Wachovia.
in PA
https://employeebenefitsjobs.com/job/H44662
Employee Benefits & Executive Compensation Attorney
for Perkins Coie LLP
in WA
https://employeebenefitsjobs.com/job/H44663
Regional Sales Consultant - Group Retirement Plans
for Security Benefit
in KS
https://employeebenefitsjobs.com/job/H44664
Pension Benefit Advisor
for The Guardian Life Insurance Company of America
in NJ, NY
https://employeebenefitsjobs.com/job/H44668
Account Executive
for Principal Financial
in MA
https://employeebenefitsjobs.com/job/H44670
Retirement Plan Analyst
for RPS Plan Administrators
in CO
https://employeebenefitsjobs.com/job/H44671
Assistant Plan Analyst
for RPS Plan Administrators
in CO
https://employeebenefitsjobs.com/job/H44672
Disability Claims Processor
for 1199SEIU National Benefit Fund
in NY
https://employeebenefitsjobs.com/job/H44673
Retirement Plans Analyst
for CBC Resources, Inc.
in MD
https://employeebenefitsjobs.com/job/H44674
Post yours!
https://employeebenefitsjobs.com/cgi-bin/jobs/post/

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