Tim Walberg, Chairman of the House Committee on Education and Workforce, sent a letter to new Labor Secretary Lori Chavez-DeRemer urging her to kill the controversial new fiduciary rule, which has been beset with lawsuits.
The Labor Department was granted its motion to pause two federal court cases challenging its Retirement Security Rule, which was finalized last April and had been set to go into effect last September, but has been beset by lawsuits.
After a federal judge ruled that American Airlines violated its ERISA duties by focusing on ESG factors in choosing investments, a coalition of Democratic city and state officials sent letters to the SEC and DOL, urging them to protect ESG investing.
One key area to watch is tax policy, since President Trump has been a strong supporter of extending and even making permanent tax cuts, which could potentially affect overall 401(k) growth, says Colonial Surety’s Richard Clarke.
The DOL’s ESG rule has been challenged since it took effect in 2023, but now a Texas judge has ruled that retirement fund managers may consider environmental, social and governance factors when choosing investment funds.
The Labor Department has filed a motion to pause two federal court cases challenging the Retirement Security Rule, which was finalized last April and had been set to go into effect last September, but has been beset by lawsuits.
State securities regulators discovered gaps in the firm’s supervisory process, when customers moved from brokerage to advisory accounts and the financial services firm implemented new policies in response to the now-defunct fiduciary rule.