The introduction of legislation to create an automatic IRA program in Pennsylvania was recently discussed during a press conference held by State Treasurer Stacy Garrity and the bill’s sponsors. NFIB continues to express the concerns of members regarding state run plans.
A few examples of issues, many even seen in other states, with these programs include the inability of employers to contribute, limits on employee contributions, minimal gains based on market research, forcing employees to decide between paying off high-interest debt or saving for retirement, fewer employee plans, and the overwhelming issue that now is not that right time to force this upon employers and employees.
When polled, an overwhelming 85 percent of NFIB members responded with opposition to state-run auto-IRA’s. Finally, states are poor stewards of pensions, why would this be better? NFIB will continue to oppose this effort to prevent another burden upon the small business community.
