One round of layoffs is bad enough for rank-and-file morale. Subsequent layoffs can be even tougher on remaining employees, who may mourn the loss of their colleagues and wonder if they will be next. Employers can take steps to limit the damage and avert potential liability problems before and during the layoff process. Open communications […]

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Prior to the pandemic, ultra-low unemployment at roughly 3.3% put a spotlight on ‘lifestyle benefits’ for employees such as gym memberships and pet sitting. When the COVID-19 crisis hit, the focus immediately shifted for many plan sponsors. Some employers are now offering high-deductible health plans (HDHPs) paired with health savings accounts (HSAs). Scaling back on […]

The post It’s Back to Basics for Employee Benefits Priorities appeared first on EMPLOYEE BENEFITS BLOG.

Employers in Spain are contending with the ongoing effects of the coronavirus pandemic, which continues to raise health and safety concerns. A resurgence of COVID-19 cases in July prompted some parts of the country to re-implement restrictions that had been lifted earlier. “Spain was among the countries hit hardest by the coronavirus,” said Brian Cousin, […]

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Imagine if you were playing on a baseball team and the opposing players argue that you are violating the rules of soccer. That’s what it’s like when private parties and the Department of Labor (DOL) challenge Employee Stock Ownership Plan (ESOP) valuations. Plaintiffs play a very different valuation ballgame, which confounds experts who go up […]

The post ESOP Litigants Play by Their Own Valuation Rules appeared first on EMPLOYEE BENEFITS BLOG.

One day before an updated rule of the US Department of Health and Human Services regarding Section 1557 of the Patient Protection and Affordable Care Act took effect, the US District Court for the Eastern District of New York ordered a stay and issued a preliminary injunction precluding the most recent final rules from becoming […]

The post “Because of Bostock” – Court Delays HHS Rule Re-interpreting Section 1557 Discrimination “Because of Sex” appeared first on EMPLOYEE BENEFITS BLOG.

Earlier this year, the US Pension Benefit Guaranty Corporation (PBGC) issued a final rule, modifying PBGC regulations that apply to defined benefit pension plans. Among those changes were revisions to: (i) the reportable event notification requirements; (ii) annual financial and actuarial information (Form 4010) reporting; (iii) single-employer plan termination rules; and (iv) the premium rate […]

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The employment and business decisions made by employers under the specter of the unprecedented COVID-19 pandemic are now being tested by plaintiffs’ lawyers. Employers of all sizes should expect a flood of employment litigation alongside ever-changing conditions, constantly updated guidance and, at times, conflicting state and local guidance. Litigation avoidance will require a team effort and proactive communication – both internally and externally. This article outlines the types […]

The post How to Build COVID-19 Employment Litigation Defenses Now appeared first on EMPLOYEE BENEFITS BLOG.

McDermott’s Rick Pearl took part in the NCEO 2020 Employee Ownership Virtual Conference. In his presentation, Pearl gave an overview of ERISA standards for an ESOP transaction, discussed fair market value, and whether the US Department of Labor and some courts are getting it wrong. Access the presentation.

The post Fair Market Value: Are DOL & Some Courts Wrong? appeared first on EMPLOYEE BENEFITS BLOG.

The COVID-19 Global Guide for Business provides employers with the latest information on returning to work. Nations around the world are struggling to reopen amid the coronavirus pandemic, and government responses to COVID-19 differ significantly based on local laws, culture, politics and the severity of the outbreak. Legal professionals in 50+ countries contributed to this […]

The post COVID-19 Global Guide for Business Provides Important Information for Employers about Reopening appeared first on EMPLOYEE BENEFITS BLOG.

Employers considering President Trump’s plan to allow deferred payment of payroll taxes face a series of costs, uncertainties and headaches. The president wants employers to stop collecting the 6.2% levy that is the employee share of Social Security taxes for many workers, starting September 1 and going through the end of the year. The president’s […]

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