https://www.morganlewis.com/rss/blogsBlogs RSS Feed25https://www.morganlewis.com/blogs/mlbenebits/2026/04/roth-catch-up-rules-finalized-what-multiemployer-plans-need-to-knowThe US Department of the Treasury and the Internal Revenue Service have finalized regulations under the SECURE 2.0 Act that change how certain retirement plan participants may make catch-up contributions. Beginning in 2026, participants whose income meets certain thresholds and who are eligible to make catch-up contributions may, in many cases, only be permitted to do so on a Roth (after-tax) basis.Wed, 08 Apr 2026 00:00:00 -0500c631b37c-e8e9-4101-a051-bd39b58102d0Labor, Employment & BenefitsMultiemployer PlansRetirement Plan Design & AdministrationUnited StatesEBLBREBMEPLindsay M. GoodmanTyler J. Dixonhttps://www.morganlewis.com/blogs/mlbenebits/2026/03/irs-postpones-effective-date-of-certain-rmd-regulationsIn Announcement 2026-7 , the Internal Revenue Service (IRS) further delayed the application of certain required minimum distribution (RMD) proposed regulations until January 1, 2027, at the earliest. The delayed proposed regulations addressed certain changes to the RMD rules made by the SECURE 2.0 Act of 2022 (SECURE 2.0).Thu, 19 Mar 2026 00:00:00 -0500a57691f0-7fd3-4ca8-8b89-2697aca4884bLabor, Employment & BenefitsRetirement Plan Design & AdministrationUnited StatesEBLBRClaire E. BouffardGaeun Yoohttps://www.morganlewis.com/blogs/mlbenebits/2026/02/where-to-start-with-trump-accountsThe One Big Beautiful Bill Act created “Trump accounts” under Section 530A of the Internal Revenue Code. While many questions remain unanswered, Trump accounts essentially operate as retirement saving accounts for children, somewhat mirroring traditional individual retirement accounts (IRAs) but are subject to distribution restrictions before the beneficiary reaches age 18. The statute enables employers to contribute up to $2,500 annually per employee to the Trump accounts of their employee’s dependents. Employers can begin making contributions on July 4, 2026.Fri, 27 Feb 2026 00:00:00 -0600a065d331-f2aa-4208-894e-206221ed2b19Labor, Employment & BenefitsBenefits & Payroll TaxERISA/Employee Benefits LitigationTaxGovernment SolutionsUnited StatesEBLBRERISATAXLITSteven P. Johnsonhttps://www.morganlewis.com/blogs/mlbenebits/2026/02/strengthening-fiduciary-hygiene-navigating-dol-scrutiny-and-new-litigation-risks-for-health-and-welfare-plansFor decades, fiduciary litigation under the Employee Retirement Income Security Act of 1974 (ERISA) was largely concentrated on 401(k) and pension plans. That era has ended. In recent years, we have seen class-action lawsuits targeting health and welfare plans. Plaintiffs’ firms have begun applying the excessive fee playbook to health plans, alleging that plan sponsors have failed to monitor pharmacy benefit manager pricing, allowed excessive broker commissions, and ignored opaque indirect compensation structures.Tue, 24 Feb 2026 00:00:00 -0600d97263ae-c1f7-428b-bb39-c290e58311f7Labor, Employment & Benefits Health and Welfare Plan Design & AdministrationUnited StatesEBLBRSaghi Fattahianhttps://www.morganlewis.com/blogs/mlbenebits/2026/01/glp-1-coverage-obesity-and-the-ada-what-employer-health-plan-sponsors-need-to-knowGlucagon-like peptide-1 receptor agonists (GLP-1s) such as Ozempic, Wegovy, Mounjaro, and Zepbound have reshaped the landscape of diabetes and obesity treatment and quickly become one of the most significant cost drivers for employer-sponsored health plans.Wed, 07 Jan 2026 00:00:00 -0600d174d5be-dd34-461d-b6b5-b3d2648b090a Health and Welfare Plan Design & AdministrationLabor, Employment & BenefitsUnited StatesEBLBRSaghi FattahianAllison J. Fepelstein Claire M. LesikarTyler J. Dixonhttps://www.morganlewis.com/blogs/mlbenebits/2025/12/clearing-the-smoke-insights-from-the-williams-v-ballys-tobacco-use-surcharge-dismissalIn Williams v. Bally Management Group, LLC , the US District Court for the District of Rhode Island became the first court to grant a motion to dismiss in a class action challenging Bally Management Group’s (Bally) tobacco surcharge wellness program. The court dismissed the plaintiff’s challenge in full, rejecting both the ERISA nondiscrimination claim that the tobacco surcharge violated the “full reward” requirement and the fiduciary-breach claim. This decision is a favorable development for plan sponsors amid the recent surge of class actions targeting tobacco surcharge wellness programs, as discussed in our recent blog post .Fri, 12 Dec 2025 00:00:00 -06009358276e-3518-4d4a-aaef-568b83d5e6e9Labor, Employment & Benefits Health and Welfare Plan Design & AdministrationERISA/Employee Benefits LitigationUnited StatesEBLBRERISAKimberly J. BoggsSaghi Fattahianhttps://www.morganlewis.com/blogs/mlbenebits/2025/09/management-corner-restrictive-covenant-considerations-for-executives-in-corporate-transactionsIn July 2025, we published an article (see link below) that discussed considerations relating to rollover and incentive equity in management representations in private equity transactions. This blog post addresses additional considerations for executives or teams of executives relating to restrictive covenants.Thu, 11 Sep 2025 00:00:00 -0500499cb157-5e1e-4b03-9c94-f5e5221f18e8Labor, Employment & BenefitsPrivate EquityMergers & AcquisitionsExecutive CompensationExecutive & Management Team RepresentationEBLBRPECBTMAAustin S. LillingPatrick RehfieldEmily Jordanhttps://www.morganlewis.com/blogs/mlbenebits/2025/08/preparing-for-a-successful-annual-benefits-enrollmentAnnual benefits enrollment, which for many companies will be in the coming months, typically lasts one to two weeks, but the preparation process begins several months in advance. For human resources (HR) and benefits teams, this period often involves a complex blend of strategic planning, system updates, vendor coordination, and employee communications. A well-executed enrollment period ensures that employees understand their options and are equipped to make informed decisions for themselves and their families.Thu, 28 Aug 2025 00:00:00 -0500651060eb-615f-4370-a830-f92ea993f2a8Labor, Employment & BenefitsRetirement Plan Design & Administration Health and Welfare Plan Design & AdministrationExecutive CompensationMultiemployer PlansEmployee Stock Ownership PlansEBLBREBMEPESOPSaghi FattahianLaurie Pricehttps://www.morganlewis.com/blogs/mlbenebits/2025/08/dol-rescinds-guidance-on-erisa-plan-sponsor-vendor-diversity-programThe US Department of Labor (DOL) has withdrawn prior guidance from 2023 supporting racial equity programs aimed at increasing racial diversity in a plan’s asset manager pool. That prior guidance had provided comfort to plan sponsors with vendor diversity programs that offering such a program would not necessarily be disfavored by the DOL. In Advisory Opinion 2025-01A, the DOL expressly rescinded its 2023 advisory opinion.Fri, 22 Aug 2025 00:00:00 -0500555308be-c138-445f-a43d-ce92fe113f6aLabor, Employment & BenefitsERISA Fiduciary DutyERISA/Employee Benefits LitigationEBLBRERISAElizabeth S. GoldbergRachel Mann https://www.morganlewis.com/blogs/mlbenebits/2025/08/latest-executive-order-could-redefine-retirement-investingThe US administration recently issued an executive order to expand access to alternative investments in ERISA-governed retirement accounts. The order titled Democratizing Access to Alternative Investments for America's Workers aims to modernize retirement plan investment options by including alternative investments, such as private equity, private credit, real estate, and digital assets like cryptocurrency, as designated investment alternatives.Thu, 14 Aug 2025 00:00:00 -0500be94d5cf-8b4f-4857-aed6-a14b1f43cb43Labor, Employment & BenefitsInvestment ManagementRetirement Plan Design & AdministrationPrivate EquityCorporate, Finance & Investment ManagementERISA Fiduciary DutyReal EstateEBLBRIMPGPECBTERISASECCraig A. BitmanElizabeth S. GoldbergMarla J. KreindlerMichael B. RichmanJulie K. StapelStephen C. TirrellNaina G. KamathRachel Mann https://www.morganlewis.com/blogs/mlbenebits/2025/08/irs-guidance-on-uncashed-and-reissued-checks-an-opportunity-to-review-payment-practicesIn a release that was fairly unsurprising in content, the Internal Revenue Service issued Revenue Ruling 2025-15 to address a payor’s tax withholding and reporting obligations with respect to stale and reissued retirement plan distribution checks. Importantly, to the extent that payors have been following the IRS’s prior guidance in Revenue Ruling 2019-19 and the existing reporting and withholding regulations, the ruling does not require any changes to existing practices.Wed, 13 Aug 2025 00:00:00 -0500372ec03f-2bed-470b-8933-95681f6d830eLabor, Employment & BenefitsEBLBRMatthew H. HawesAnna M. Pomykalahttps://www.morganlewis.com/blogs/mlbenebits/2025/07/one-big-beautiful-bill-impact-on-welfare-benefitsPresident Donald Trump signed the One Big Beautiful Bill (OBBB) into law on July 4, 2025. The OBBB is a wide-ranging piece of legislation that introduces significant reforms across multiple areas of federal policy, including changes affecting group health plans in the areas of telehealth coverage and dependent care assistance.Fri, 25 Jul 2025 00:00:00 -0500a1b6d770-cf64-4de8-89b0-2287191e4153Labor, Employment & Benefits Health and Welfare Plan Design & AdministrationEBLBRSaghi FattahianAllison J. Fepelstein Lindsay M. GoodmanKimberly J. Boggshttps://www.morganlewis.com/blogs/mlbenebits/2025/06/reproductive-healthcare-privacy-final-rule-vacated-by-texas-courtThe US District Court for the Northern District of Texas on June 18, 2025 vacated portions of the HIPAA Privacy Rule to Support Reproductive Health Care Privacy (2024 Final Rule) related to reproductive healthcare privacy. The ruling in the case of Purl, M.D. v. US Department of Health and Human Services granted judgment in favor of the plaintiffs. Notably, the opinion only addressed reproductive healthcare privacy-related aspects of the 2024 Final Rule, and the court severed the provision of the 2024 Final Rule requiring updates to the HIPAA notice of privacy practices requirements relating to confidentiality of substance use disorder health records. That requirement remains intact and becomes effective February 16, 2026.Thu, 26 Jun 2025 00:00:00 -0500a90e5b5f-b5ea-45d9-91fb-48dfc895a4d7Labor, Employment & Benefits Health and Welfare Plan Design & AdministrationExecutive CompensationRetirement Plan Design & AdministrationMultiemployer PlansEmployee Stock Ownership PlansHealthcareEBLBREBMEPESOPSaghi FattahianKimberly J. Boggshttps://www.morganlewis.com/blogs/mlbenebits/2025/06/us-administration-announces-intent-to-replace-biden-era-esg-ruleThe US Department of Labor’s (DOL’s) position on the appropriateness of environmental, social, and governance (ESG) investing strategies in ERISA-regulated retirement plans has ping-ponged for decades ( as we’ve covered previously ). A recent statement from Trump administration attorneys in a lawsuit challenging a Biden-era regulation on the topic indicates that the ball is likely sailing back to the other side of the table and specifically to a posture that is largely skeptical that ESG investment factors can comply with ERISA’s fiduciary duties.Tue, 24 Jun 2025 00:00:00 -050003fc5093-d6d2-47d0-85c9-e35963ed384cESG & Sustainability AdvisoryAntitrust & CompetitionInvestment ManagementInstitutional InvestorsERISA/Employee Benefits LitigationRetirement Plan Design & AdministrationLabor, Employment & BenefitsLitigation, Regulation & InvestigationsInvestment FundsATRIMPGEBERISALBRLITElizabeth S. GoldbergRachel Mann https://www.morganlewis.com/blogs/mlbenebits/2025/05/executive-order-targets-prescription-drug-pricing-potential-impact-on-group-health-plansPresident Donald Trump issued an executive order (EO) on May 12, 2025 to address the high cost of prescription drugs in the United States with the goal of ensuring Americans have access to most-favored-nation (MFN) pricing, which aligns drug prices in the United States with those in comparably developed countries.Tue, 27 May 2025 00:00:00 -05004ab764e6-db68-44ba-8179-b7f0184a04e8Labor, Employment & Benefits Health and Welfare Plan Design & AdministrationERISA/Employee Benefits LitigationEBLBRERISASaghi FattahianLindsay M. Goodmanhttps://www.morganlewis.com/blogs/mlbenebits/2025/05/mental-health-parity-non-enforcement-statement-releasedThe US Departments of Labor, Health and Human Services, and the Treasury (the Departments) announced their non-enforcement policy on May 15, 2025, indicating they will not enforce any new requirements imposed by the Requirements Related to the Mental Health Parity and Addiction Equity Act (2024 Final Rule) until a final court ruling on a lawsuit filed by the ERISA Industry Committee in the US District Court for the District of Columbia challenging certain provisions of the 2024 Final Rule—plus an additional 18 months.Thu, 15 May 2025 00:00:00 -0500a0c2e5a7-5a0e-493d-9e29-c98a2ed825aeLabor, Employment & Benefits Health and Welfare Plan Design & AdministrationExecutive CompensationRetirement Plan Design & AdministrationMultiemployer PlansEmployee Stock Ownership PlansEBLBREBMEPESOPSaghi FattahianAllison J. Fepelstein Lindsay M. Goodmanhttps://www.morganlewis.com/blogs/mlbenebits/2025/05/us-district-court-grants-freeze-on-mental-health-parity-enforcementThe US Departments of Health and Human Services, Labor, and the Treasury (together, the Departments) filed a motion to suspend the litigation proceedings in The ERISA Industry Committee vs. HHS et al. on May 9, 2025 while the government reconsiders final regulations implementing the Mental Health Parity and Addiction Equity Act (MHPAEA). On May 12, the US District Court for the District of Columbia granted the stay.Wed, 14 May 2025 00:00:00 -0500b1973d4f-56aa-448e-91d3-fd1d4283c181Labor, Employment & Benefits Health and Welfare Plan Design & AdministrationEBLBRSaghi FattahianLindsay M. GoodmanAllison J. Fepelstein https://www.morganlewis.com/blogs/mlbenebits/2025/05/dol-issues-temporary-enforcement-policy-for-small-amount-transfers-to-state-unclaimed-property-fundsThe US Department of Labor recently issued Field Assistance Bulletin (FAB) 2025-01, a temporary enforcement policy regarding the transfer of small retirement plan benefits to state unclaimed property funds. This development is part of the agency’s broader effort to help fiduciaries fulfill their obligations under ERISA to ensure participants and beneficiaries are located and receive their retirement benefits.Wed, 07 May 2025 00:00:00 -0500a4dd2476-f7e6-47b6-b9f6-8e8bb9547a9cLabor, Employment & BenefitsEBLBRMatthew H. HawesClaire E. Bouffardhttps://www.morganlewis.com/blogs/mlbenebits/2025/04/wait-a-minute-mister-postman-dol-issues-annual-funding-notice-guidanceThe US Department of Labor (DOL) has issued new guidance in the form of Field Assistance Bulletin No. 2025-02 (FAB 2025-02) and updated model annual funding notices (AFNs) for single-employer and multiemployer pension plans. FAB 2025-02 addresses some conflicts between Section 101(f) of ERISA (as amended by SECURE 2.0)—which requires the plan administrator of a retirement plan to disclose certain information to participants, beneficiaries, and other entities—and previous DOL regulations at 29 CFR § 2520.101-5.Tue, 15 Apr 2025 00:00:00 -0500f9d5a6d3-b2e1-496c-8afe-8f8c26084b75Labor, Employment & BenefitsRetirement Plan Design & AdministrationMultiemployer PlansERISA Fiduciary DutyEBLBREBMEPERISAAlthea R. DayMary A. Petrovichttps://www.morganlewis.com/blogs/mlbenebits/2025/03/long-awaited-esop-proposals-issued-and-then-quickly-withdrawnOn January 20, 2025, an executive order froze two new pieces of proposed employee stock ownership plan (ESOP) guidance announced in a notice of proposed rulemaking and originally set for publication in the Federal Register on January 22, 2025.Fri, 14 Mar 2025 00:00:00 -050068b6b7e9-b921-4643-8b97-a10cf7c96c23Labor, Employment & BenefitsEmployee Stock Ownership PlansEBLBRESOPVictoria McCaslinEmily M. RickardMatthew Chapman https://www.morganlewis.com/blogs/mlbenebits/2025/03/us-administrations-executive-orders-and-actions-impact-on-group-health-plansSince taking office, President Donald Trump has issued several executive orders (EOs) and actions that may have an impact on group health plans. These EOs provide insight into the US administration’s policies and outline potential actions that regulatory agencies and Congress may take to implement these policies.Wed, 05 Mar 2025 00:00:00 -0600b1f27a89-9c99-45b8-bdb1-6005417a8ef1Labor, Employment & Benefits Health and Welfare Plan Design & AdministrationEBLBRSaghi FattahianAllison J. Fepelstein Lindsay M. Goodmanhttps://www.morganlewis.com/blogs/mlbenebits/2025/03/tobacco-surcharge-lawsuits-considerations-for-plan-sponsorsA growing number of class action lawsuits have been filed against employer-sponsored self-insured group health plans alleging that tobacco cessation wellness programs violate key provisions of the Employee Retirement Income Security Act (ERISA) and the Health Insurance Portability and Accountability Act (HIPAA). These lawsuits challenge tobacco cessation programs on the grounds that they do not comply with the HIPAA nondiscrimination rules and ERISA’s fiduciary duties. As litigation on this issue continues to evolve, plan sponsors may consider proactive steps to ensure their tobacco cessation wellness programs comply with legal requirements to mitigate potential litigation risks.Mon, 03 Mar 2025 00:00:00 -0600996bd9c5-ca8e-427c-ba8b-5b65cd296f76Labor, Employment & Benefits Health and Welfare Plan Design & AdministrationExecutive CompensationRetirement Plan Design & AdministrationMultiemployer PlansEmployee Stock Ownership PlansHealthcareEBLBREBMEPESOPSaghi Fattahianhttps://www.morganlewis.com/blogs/mlbenebits/2025/02/irs-proposes-regulations-on-expanded-definition-of-covered-employee-under-code-section-162mSection 162(m) of the Internal Revenue Code prohibits a publicly held corporation from taking compensation-related tax deductions with respect to the compensation of a “covered employee” to the extent the compensation exceeds $1 million in a tax year. The definition of “covered employee” under Section 162(m) was expanded by the Tax Cuts and Jobs Act (TCJA) in 2017 and was expanded further by the American Rescue Plan Act (ARPA) in 2021. ARPA expanded the list of covered employees to include the company’s five most highly compensated employees, effective for tax years beginning after December 31, 2026. On January 14, 2025, prior to the presidential administration transition, the US Department of the Treasury and the Internal Revenue Service (IRS) released proposed regulations (Proposed Regulations) implementing the ARPA amendments to Section 162(m).Mon, 24 Feb 2025 00:00:00 -0600195330fc-5668-499e-a3ba-21370e8d6756Labor, Employment & BenefitsExecutive CompensationEBLBRMims Maynard ZabriskieRosina BarkerMary B. HevenerEmily JordanGina L. LaurieroTimothy J. Durbin https://www.morganlewis.com/blogs/mlbenebits/2025/02/medicare-part-d-creditable-coverage-online-disclosure-due-march-1Each year, employers that provide prescription drug coverage to Medicare-eligible individuals through a group health plan must complete a two-step process regarding the prescription drug coverage they offer to active employees and their eligible dependents. The deadline for one of those required steps is fast approaching.Fri, 07 Feb 2025 00:00:00 -0600ded10627-c862-4c45-b64e-21b7287ae38aLabor, Employment & Benefits Health and Welfare Plan Design & AdministrationEBLBRRobert M. HunterRachel Mann Laurie Pricehttps://www.morganlewis.com/blogs/mlbenebits/2025/01/dont-forget-to-invite-the-committee-to-the-party-fiduciary-committees-as-parties-to-a-vendor-contractIn many situations, practitioners recommend establishing a fiduciary committee to oversee ERISA-covered employee benefit plans. There are several reasons for this, including providing a well-defined process for decision-making; bringing together a diverse team with a wide set of experience to address issues relevant to the benefit plan’s administration; managing the investment, legal compliance, and operational risks that can arise in a complex regulatory landscape; and establishing clear separation between plan sponsor and fiduciary roles.Thu, 23 Jan 2025 00:00:00 -0600b5871971-8ed2-4f6b-a513-7459201923a5Labor, Employment & BenefitsERISA Fiduciary DutyRetirement Plan Design & AdministrationEBLBRERISAGaeun YooRachel Mann Matthew H. HawesMichael Gorman