NAHB Lauds Trump Executive Order on Retirement Security

Filed in Labor, Safety and Health by on August 31, 2018 3 Comments

President Trump today signed an executive order called “Strengthening Retirement Security in America” that is designed to expand access to workplace retirement savings plans for American workers.

NAHB CEO Jerry Howard attended the signing ceremony, which took place in Charlotte, N.C., and issued the following statement in support of the White House initiative:

NAHB CEO Jerry Howard speaks onstage with President Trump at the signing ceremony.

“NAHB commends President Trump for making retirement security an important national priority. This need is particularly acute in the residential construction sector, where most home building firms are small businesses with less than 10 employees. Therefore, I am particularly pleased to attend this event in Charlotte representing the nation’s home builders.

“By continuing to follow through on his pledge to reduce burdensome regulations, the president is taking an important step forward for American workers. The executive order removes needless regulatory barriers that will help more trade groups and small businesses to provide workplace retirement plans for their employees.”

Specifically, the executive order is aimed at allowing two or more employers who are not related (e.g., car dealerships and restaurants) to establish 401(k) plans as one entity. By pooling resources, unrelated businesses could cut costs, which could lead to more companies offering retirement savings plans.

Multiple employer plans would be particularly helpful to small businesses who otherwise may not be able to offer retirement benefits by allowing them to participate in a single, professionally administered plan that affords them economies of scale.

View a fact sheet on the executive order.

View the video below:

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Comments (3)

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  1. We need this type of arrangement for health care. Not to diminish the accomplishment, but a 401k plan for a small business is simple and cheap by comparison.

  2. Brian Clark says:

    A lot of startups in the tech sector are using PEOs to offer 401k plans and healthcare but take advantage of their larger scale and greater purchasing power. The problem with PEOs and co-employment, is that your employees technically work for the PEO and workers comp comes bundled with the package. PEOs like TriNet and JustWorks want nothing to do with companies in the construction or home building sector because our workers comp risk is higher.

    Fortunately the 401k plans are now pretty easy to setup. Some of the new players in the space like Guileline and Betterment are offering pretty price competitive packages and interview based online setup that makes setting up the plan documents a breeze. I just wish we had something four the other benefits and workers comp.

  3. Joe says:

    Oh boy, they are going to allow people to save more of their own money for retirement. Yay! At the same time they are cutting (gutting)funding for medicare and social security. How are they really helping retirees??
    Fake retirement security!

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