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CCH Pension & Benefits NetNews™

May 13, 2008
 

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  • Featured This Week

    Employee Benefits Management News

    Pension Plan Guide News


    Employee Benefits Management News

    Employers shifting toward value-based benefits design, survey shows

    As the U.S. economy struggles, value-based benefit designs and consumer engagement strategies are gaining in popularity, according to a nationwide survey of U.S. employers released on May 1 at the annual conference of the Midwest Business Group on Health (MBGH), a nonprofit coalition of more than 90 private and public employers that spend more than $2.5 billion on health care benefits annually. For details, see ¶2017P.

    Connecticut paid sick leave bill passes state senate

    On May 1, 2008, the Connecticut state senate passed a bill (S.B. 217) mandating that Connecticut employers with 50 or more employees provide paid sick leave to their employees. The bill, which also applies to municipalities, passed by a vote of 20-16. The bill would allow employees to accrue paid sick time at the rate of one hour for every 40 hours worked, up to 52 hours. For more information, see ¶2017Q.

    Health savings accounts provide biggest boon to wealthy Americans, GAO finds

    Oversight and Government Reform Committee Chairman Henry A. Waxman (D-CA) and Ways and Means Health Subcommittee Chairman Pete Stark (D-CA) have released a Government Accountability Office (GAO) report finding that Health Savings Accounts (HSAs) are used more often as a tax shelter by wealthy individuals rather than as a mechanism to help working families obtain needed health care. For more information, see ¶2017R.

    Employees without access to health coverage outside work are far less likely to retire

    Older workers without other health care insurance options are more likely to defer retirement to stay covered under their employer's plan, according to an analysis by Watson Wyatt Worldwide. Other factors, such as whether an employee has a pension, also contribute to decisions on when to retire. For details, see ¶2017S.

    Pension Plan Guide News

    IRS allows tax-free withdrawal of economic stimulus payments from IRAs

    The IRS has announced that individuals who have payments made by direct deposit under the Economic Stimulus Act of 2008 to their IRAs, or certain other accounts afforded special tax benefits under the Code, may remove the payments without incurring any adverse tax consequences. For more information, please see ¶17,097T-27.

    EBSA sponsors free compliance assistance seminar for retirement plan fiduciaries in Denver

    The U.S. Department of Labor's Employee Benefits Security Administration (EBSA) will sponsor "Getting It Right -- Know Your Fiduciary Responsibilities," a free compliance assistance seminar, on June 10 in Denver, Colorado. For more information, please see ¶82H.

    Rebecca Anne Bates appointed PBGC Inspector General

    The Pension Benefit Guaranty Corporation (PBGC) has announced the appointment of Rebecca Anne Bates as inspector general. For more information, please see ¶82D.


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