[benefits] blog logo

DOL Investigating Failure of Large Defined Benefit Plan Sponsors to Locate and Distribute Benefits to Terminated Participants

It has been widely reported that the DOL is investigating large defined benefit plans to determine whether their plan sponsors are locating and timely paying benefits to terminated participants. The DOL is looking into whether plans have procedures in place to locate participants, are following those procedures, and are paying required minimum distributions at age 70??. Reportedly, the DOL has already discovered more than $500 million in unpaid benefits. This is a great time for plan sponsors to implement, or update, procedures for locating terminated participants, ensure that such procedures are followed, and verify that accurate birth dates are recorded for all participants to ensure timely commencement of required distributions.

The lawyers of our Employee Benefits and Executive Compensation Practice Group are readily able to assist companies on a nationwide basis with implementing sophisticated benefit plans and providing answers to their most challenging compensation issues. Additionally, our lawyers are well aware of the daily employee benefits challenges facing companies of all sizes and are capable of helping in-house lawyers and human resources personnel with the day-to-day advice and guidance necessary to properly administer employee benefits plans.

Leave a Reply

April 2016
S M T W T F S
 12
3456789
10111213141516
17181920212223
24252627282930

Archives