Another lawsuit has been filed against OregonSaves, a new, state-sponsored, Roth IRA program. Some Oregon employers currently have the opportunity to judge for themselves the merits of the lawsuit.
OregonSaves is a mandatory retirement plan for Oregon employers that do not offer a retirement plan to their employees. If your company offers a retirement plan, you are exempt from participating in OregonSaves, but you must certify online your exemption.
Deadlines for certification–based on the number of employees your company has—are as follows:
- Employers with 100+ employees – Nov 15, 2017
- Employers with 50-99 employees – May 15, 2018
- Employers with 20-49 employees – Dec 15, 2018
- Employers with 19 or fewer employees – 2019-2020
Certification requires a six-digit access code which OregonSaves will send you 30 days prior to your registration deadline. OregonSaves suggests that the certification process will take under 5 minutes.
The ERISA [Employee Retirement Income Security Act] Industry Committee (ERIC) filed a lawsuit against OregonSaves, in part, because the exemption process “will add unnecessary costs and burdens on employers that are doing exactly what policymakers across the country want them to do—helping their employees save for retirement with an employer-sponsored retirement plan.”
ERIC’s wants to ensure that state and local laws do not negatively affect employers providing health and retirement benefits to participants and their families. OregonSaves is concerned about employees without access to a workplace savings plan.
No doubt making OregonSaves available to employees will prove burdensome to those employers without plans. But to those with plans and eligible for the exemption?
Let us know how burdensome the certification process proved to be.
Click here to access the OregonSaves website.