Retirement Security Work Ongoing: An Update for National Retirement Security Month

Floor Speech

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Mr. WALBERG. Mr. Speaker, I rise today to discuss a critical issue impacting millions of Americans who work hard every day so that, when the time comes, they can enjoy their golden years in retirement. October is National Retirement Security month, so it is a good time to both reflect on the retirement reforms we have recently enacted and look ahead to the remaining work to be done.

America's retirement savings system and the retirement outlook for millions has dramatically improved because of Congress's bipartisan work over the last few years. Our private sector retirement savings system works well for many employees and employers, but additional improvements could help more Americans achieve a successful retirement for all.

As a senior member of the House Education and the Workforce Committee. I was proud to play an active role in helping draft and advance the SECURE 2.0 Act of 2022 into law last year. Building on the great work Congress achieved with the SECURE Act of 2019, SECURE 2.0 included almost 100 provisions that will help employers offer plans and assist employees in both beginning to save and saving more for retirement. I was especially pleased that my provision to reduce administrative costs for employers by increasing the cash-out limit for the first time in over two decades was included in the final law.

One significant issue we still need to make more progress on is providing greater access to savings and income options that will help make sure retirees do not outlive their retirement savings. Americans collectively face a substantial retirement income gap. This means that the amount of money retirees have saved compared to what they need is $4 trillion short, with 40 percent of families likely to outlive their retirement savings, according to the Employee Benefit Research Institute.

This gap is concerning, and why guaranteed, or lifetime income has long been a critical issue for me. A few years ago, as the Chairman of the House Committee on Education and the Workforce's Health, Employment, Labor, and Pensions (HELP) Subcommittee, I was proud to chair a hearing on a range of bipartisan retirement bills. One of the bills we discussed that day was the Increasing Access to a Secure Retirement Act, which I introduced with Representative Lisa Blunt Rochester to remove a regulatory barrier for employers looking to offer lifetime income solutions to their employees. That important provision became law in the SECURE Act, but our efforts to ensure everyone has access to the best lifetime income options remain ongoing.

Earlier this year, I along with Representative Donald Norcross reintroduced the bipartisan Lifetime Income for Employees Act. This legislation would improve plan sponsors' and investors' default lifetime income options and take a crucial step to help American retirees have adequate income in retirement. Increasing the range of savings and income options will help provide workers with the possibility to achieve higher returns on their retirement investments and greater peace of mind that their income will last throughout retirement.

Our bill, and other sensible steps to improve worker access to guaranteed lifetime income. must be a part of future bipartisan retirement saving packages. I am hopeful my colleagues will cosponsor the Lifetime Income for Employees Act and help us to enact it into law.

In addition to expanding access to lifetime income Congress must do more to help all Americans achieve a financially secure retirement. More than 55 million Americans do not have access to an employer sponsored retirement plan, including 78 percent of workers at arms with fewer than 10 employees. Congress should continue to work to help them get access to savings plans as this is the first step to helping them achieve financial security in retirement.

Let's not wait until next year's National Retirement Security Month to advance proposals that will strengthen our nation's private retirement system. Bipartisanship has been and will continue to be the key to advancing the next retirement security package. We can and should act now to help all our constituents get on a clearer path to a more secure retirement.

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