PLANSPONSOR - December/January 2021 - 9

PEP-friendly rules, but I don't think there
will be a change in direction, " he says.
Additional pension funding relief and
relief for struggling multiemployer plans
could be included in the mix with any
COVID-19 relief that is passed, Manville
says. However, he is more unsure about
whether a relief bill will include retirement
plan or financial wellness provisions, such
as more relief on student loans.
Retirement is one of the few legislative
areas that enjoys bipartisan support,
says Reilly. She notes that passage of
the Setting Every Community Up for
Retirement Enhancement (SECURE) Act is
an example, and now Congress is working
on the Securing a Strong Retirement Act,
which some call the SECURE Act 2.0.
Manville says he expects a continuation
of bipartisan efforts on retirement
policy and that the Securing a Strong
Retirement Act will help lay the legislative
groundwork for next year.
" I don't expect the Biden administration
to do something totally different
than Trump, but it will have an impact on
some areas, " Reilly says. " One [of those] is
creating access to retirement plans. " She
points out that the SECURE Act offered an
incentive tax credit for employers to start
offering a retirement plan to employees,
and the Securing a Strong Retirement Act
would expand those credits.
In addition, Reilly says there is a high
probability Representative Richard Neal,
D-Massachusetts, chairman of the House
Ways and Means Committee, will reintroduce
his Automatic Retirement Plan Act
(ARPA), which would require employers
to have a retirement plan, either a 401(k)
or 403(b) plan, and automatically enroll
participants into it. " There's a higher
probability of progress with Democrats in
control of the House, " she says.
Reilly adds that Biden is more favorable
to state-run plans, which are currently
not subject to the Employee Retirement
Income Security Act (ERISA). " Biden is
more supportive of that stance and could
potentially expand those plans, " she says.
-Rebecca Moore
TIDBITS
Wellness Programs Mature
The third annual Employee Benefit Research Institute (EBRI) Financial Wellbeing Employer
Survey indicates that wellness programs are more apt to be holistic in nature vs. pilot or
ad hoc initiatives. Since 2018, overall interest has increased from 34% of employers to
approximately half (52%), which includes those that said they were at least " interested "
in adding financial well-being benefits. And the proportion that said they are actively
implementing such a program, not just interested in them, has more than doubled.
The plan sponsors surveyed each had 500 or more employees. All employers had, at
minimum, an expressed interest in offering a financial wellness program.
● Employers
interested
in wellness
programs
● Employers
actively
implementing
wellness
programs
2018
Source: EBRI, 2020 EBRI Financial Wellbeing Employer Survey
2020
34%
12%
52%
25%
Student Loan Woes
Even with the recent announcement that
the suspension of
federal student loan
payments and interest would continue until this coming January 31, a greater
percentage of student loan borrowers report having financial worries than in the
spring, a new survey found. While the federal relief was helpful in the short term
to borrowers affected by the economic damage of COVID-19, many are concerned
about what the future will bring.
77% 65% 52% 35%
say they are not
financially secure
enough to resume
payments until
June 2021 or later
report having
increased
anxiety, stress
and depression
relating to loan
debt, during the
pandemic
rate their financial
wellness as poor
or very poor vs.
21% who rated it
as poor or very
poor in March
who are health
care workers
report having
their work hours
reduced
A total of 58,733 student loan borrowers responded to the survey, which was
conducted in early December-51% more than took a similar survey in April.
Sources: Student Debt Crisis, a debt advocacy organization, and Savi, a social impact
technology company
PLANSPONSOR.COM December 2020 - January 2021 9

http://www.PLANSPONSOR.COM

PLANSPONSOR - December/January 2021

Table of Contents for the Digital Edition of PLANSPONSOR - December/January 2021