A he promised, President Biden has issued the first veto of his Presidency, overruling Congress’ attempt to block the DOL/EBSA ESG rule. President Joe Biden on Monday vetoed his first bill, blocking the repeal of a Labor Department rule that permitted retirement investing tied to environmental and social goals. The veto was expected, after the…
Category: Department of Labor
DOL/EBSA ESG Rules Challenged in Court
The new DOL/EBSA rules allowing ESG investments and reiterating the fiduciary obligation of exercising share ownership rights, including proxy voting, is being challenged in court by 25 Republican Attorneys General and fossil fuel companies. The rule was set to take effect January 30, 2023. The lawsuit, filed in the U.S. District Court for the Northern District of…
Highlights of the new DOL/EBSA Rule on ESG
Emphasis added. Full text of the rule.
Monks and Minow Comment to DOL/EBPA on Pension Fund Fiduciary Proxy Voting and ESG
VEA Chair Robert A.G. Monks and Vice Chair Nell Minow have filed a comment with DOL/EBSA on the proposed rule covering proxy voting and ESG factors for pension fund fiduciaries. We strongly endorse the rule, point out the conflicts and deceptions of those supporting the previous rule, and discuss the collective choice problem as it…
DOL’s New Proposed Rule on Prudence and Loyalty in Selecting Plan Investments and Exercising Shareholder Rights
DOL/EBSA has a new proposed rule on ESG and proxy votes. Stay tuned for more information and our formal comment. NOTE: Comments due by December 13, 2021 and we will be up against an avalanche of opposition. The Department of Labor (Department) in this document proposes amendments to the Investment Duties regulation under Title I…
HUGE Win for ESG! DOL Will Not Enforce the Odious, Dark Money Promoted ESG Rule
Department of Labor statement: On November 13, 2020, the Department of Labor (Department) published a final rule on “Financial Factors in Selecting Plan Investments,” 85 Fed. Reg. 72846 (November 13, 2020), which adopted amendments to the “Investment Duties” regulation under Title I of the Employee Retirement Income Security Act of 1974 (ERISA). The amendments generally…
VEA Comment to DOL/EBSA on Proxy Voting
October 2, 2020 Jeanne Klinefelter Wilson Acting Assistant Secretary Employee Benefits Security Administration United States Department of Labor 200 Constitution Avenue, NW Washington, DC 20210 RE: RIN 1210-AB91 Dear Acting Assistant Secretary Wilson, In the long, dismaying history of regulatory capture, when agencies set up to provide oversight instead issue rules entrenching and subsidizing corporate insiders,…
Kurt Schacht: The Labor Department Is Tearing Down a Landmark of Investor Protection
Kurt N. Schacht, head of policy for the CFA Institute and former chair of the SEC Investor Advisory Committee. writes in Barron’s: Corporate governance and shareholder rights have seldom witnessed an assault on investor protection like the current federal government’s onslaught. Whether weakened rules on broker accountability, rules designed to eliminate shareholder proposals, or those…
DOL proposes rule to narrow scope of ERISA fiduciaries’ proxy voting
DOL/EBSA has followed up its outrageously unsupportable proposed rule on ESG investing (more than 95 percent of the more than 7000 comments strongly opposed) with an even more outrageously unsupportable proposed rule rolling back more than 30 years of settled law that all aspects of share ownership — the right to trade, to sue, and…
How 2 Labor Dept. Rules Can Undermine Your Retirement Plans – The New York Times
two recent moves by the Labor Department imply that private equity funds ought to be more welcome in 401(k) accounts all over America, while so-called E.S.G. mutual funds — those that focus on environmental, sustainability and governance factors — should be treated more cautiously than they are now. These Labor Department regulations are curious in…
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