Pontiac Times

The House Education and Workforce Committee has advanced the Employee Benefits Security Administration (EBSA) Investigations Transparency Act, a bill sponsored by House Republican Conference Chairwoman Lisa McClain (R-Mich.). The legislation aims to increase government accountability and improve the delivery of benefits for workers by introducing more transparency into EBSA investigations.

“Today is a step forward for job creators, nonprofits, and the millions of employees who rely on them for retirement and health benefits. The EBSA Investigations Transparency Act puts Washington bureaucrats on notice—no more endless fishing expeditions or unaccountable investigations. Employers should be focused on helping their employees succeed, not stuck in red tape for years on end. I’m proud to see this bill move forward,” Chairwoman McClain said.

Chairman Tim Walberg (R-Mich.) commented on the impact of lengthy investigations: “For too long, employers, plan sponsors, and fiduciaries have faced investigations that can drag on for years without clear timelines or communication, creating uncertainty that harms not only businesses but also the workers and retirees whose benefits these plans support. EBSA should be focused on protecting worker benefits and ensuring employees have access to high quality plans—not burying job creators in endless investigations. Passing this bill out of committee is a meaningful step toward restoring trust and predictability in EBSA’s oversight process.”

Lynn Dudley, Senior Vice President at the American Benefits Council, added support from industry stakeholders: “The American Benefits Council strongly supports the EBSA Investigations Transparency Act which would shine a much needed light on excessively long Department of Labor audits of ERISA plans by improving disclosure of such audits and thereby strengthening accountability. We thank Chairwoman McClain for her outstanding leadership on this important issue. In recent years, audits, such as those for missing participants, have often dragged on too long causing unnecessary expense and episodic intense and repetitive work that distracts from the plan sponsor’s mission to provide benefits and serve participants.”

The proposed legislation responds to concerns from employers, plan sponsors, and nonprofits regarding prolonged investigations with limited communication from EBSA investigators. It would require regular updates during investigations, establish reporting requirements to Congress about key metrics, and promote fair enforcement actions.

The Employee Retirement Income Security Act of 1974 (ERISA) established EBSA to protect workers' rights related to private retirement plans and health plans. However, reports indicate that EBSA has struggled with timely enforcement; according to a May 2021 Government Accountability Office report cited in the release, 17 percent of all investigations opened in 2017 remained unresolved four years later.

Lisa McClain has represented Michigan’s 9th district in Congress since 2021 after succeeding Paul Mitchell. She was born in Stockbridge, Michigan in 1966 and currently resides in Bruce. McClain earned her BBA from Northwood University in 1997.