Could Severability Be The Treat That Foils Senate Republican’s ACA Supreme Court Trick?
Latest from The Benefit of Benefits
Death of RBG Could be Death of ACA
Our country lost a great lawyer, jurist, advocate, patriot, citizen, and icon on Friday. And oh yeah, she happened to be a woman. Of course, I’m talking about Supreme Court Justice Ruth Bader Ginsburg, the notorious RBG. She will be missed on a court that is becoming more and more conservative and political.
The debate has already begun as to whether President Trump will be able to get his nominee appointed before the election or…
California Rideshare Companies At The Intersection Of AB5 and Proposition 22
On August 10, 2020, a California Superior Court Judge granted a preliminary injunction against rideshare companies Uber and Lyft requiring them to stop classifying their drivers as independent contractors violating AB5. The injunction was stayed for 10 days to give the companies time to appeal. AB5 codified the California Supreme Court’s Dynamex decision and became effective this past January. Boom Goes the Dynamex!.
The motion for a preliminary injunction was filed by California Attorney…
August 31 Important Date for Additional COVID-19 Relief for Retirement Plans
Another one of my favorite guitarists is Eric Clapton who released an album titled “August” in 1986. Recent guidance from the IRS providing certain relief for retirement plans as a result of the COVID-19 Pandemic brings this album to mind as it emphasizes action by the end of August. Last month the IRS issued two important notices providing additional relief regarding allowing participants to repay 2020 required minimum distributions (RMDs) that were received prior to…
Supremes Look At Little Sisters Again-Uphold Trump Administration on ACA Birth Control Exception
One of my all time favorite guitarists is Stevie Ray Vaughn, who died way too young. Stevie sang a song titled “Look at Little Sister” which I am reminded of every time I hear about the Little Sisters of the Poor litigation involving the Affordable Care Act (ACA). And I’ve been reminded a lot since 2017 as the Little Sisters have been before the U.S. Supreme Court twice in that time. The issue has involved…
COVID-19 EFFECTS ON EXECUTIVE COMPENSATION OF PRIVATE COMPANIES-PART 3: CARES Act/CESA Main Street Loan Restrictions on Compensation
This is the third and final installment of the effects of Covid-19 Pandemic (Pandemic) on executive compensation of private companies. Part 1 discussed the issues of reducing compensation of Executives. See Part 1. Part 2 discussed issues with deferred compensation plans of Executives. See Part 2. This Part 3 deals with limits on compensation for businesses that avail themselves of certain relief provided under the Coronavirus Aid Relief and Economic Security (CARES) Act. …
SCOTUS: No Damage, No Standing For DB Participants
When is a fiduciary breach not a fiduciary breach? When the complaining retiree-participants do not have standing because they have not missed receiving a defined benefit pension plan payment, according to Justice Kavanaugh writing for the majority opinion of the U.S. Supreme Court in James J. Thole et al. v. U.S. Bank NA et al., decided June 1, 2020. In a 5-4 decision, the majority ruled that defined benefit participants, who were receiving their pensions and…
COVID-19 EFFECTS ON EXECUTIVE COMPENSATION OF PRIVATE COMPANIES-PART 2: Deferred Compensation
Executives often participate in various nonqualified deferred compensation plans designed to reward upper management. These can be simple plan designs such as electively deferring a portion of their salary or bonus until a later year. Or the plan can be more complicated such as awards of phantom stock or stock appreciation rights that will pay compensation to the Executive at a future date based on the value of the employer where the number of units…
COVID-19 EFFECTS ON EXECUTIVE COMPENSATION OF PRIVATE COMPANIES-PART 1
Rank and file employees who may have lost their job or had hours reduced probably don’t care about the effects of the economic downturn resulting from the COVID-19 Pandemic (Pandemic) on executives and key management employees. However, business owners who have provided such employees with employment agreements, deferred and/or incentive compensation, and perhaps equity or phantom equity compensation do have an interest in the effects of the Pandemic on these employees. This article is Part…
CalSavers Proposes Extending 6/30/20 Deadline Due To Pandemic
The California Secure Choice Retirement Savings Investment Board has filed a Notice of Proposed Emergency Regulation Action with the Office of Administrative Law (OAL) to adopt emergency regulations to amend the current CalSavers regulation to extend the June 30, 2020 registration deadline for Eligible Employers with more than 100 employees to September 30, 2020. Currently, employers with more than 100 employees that don’t otherwise offer a retirement plan must register with CalSavers, the state’s payroll…