The Employee Benefits Security Administration (EBSA), the benefits arm of the U.S. Department of Labor (DOL), recently announced that it had collected $1.4 billion in federal benefits law enforcement recoveries during the fiscal year 2022. This sum represents the lowest amount that EBSA has collected in the past five years. EBSA’s 2022 recovery amount is a decrease of about 42% from its 2021 recovery and 54% from its 2020 recovery.
According to EBSA, the drastic decrease in recovered funds highlights the agency’s commitment to protecting employment-related benefits for employees, retirees, and beneficiaries. EBSA oversees retirement, health, and other welfare benefits plans that collectively affect about 152 million people.
EBSA also released a fact sheet with an overview of its FY 2022 activities. During FY 2022, EBSA closed 907 civil investigations, with 595 of those investigations, or 66%, resulting in financial recoveries or other corrective actions. EBSA also investigated 164 criminal cases, leading to 103 indictments and 86 guilty pleas or convictions.
As a result of EBSA investigations, almost 7,000 terminated vested defined benefits plan participants collected $542 million in lifetime annuity, lump sum balance, and interest distribution payments. In addition, the agency obtained $931 million through its investigations and $422.1 million through the informal resolution of complaints.
HBL has experience in all areas of benefits and employment law, offering a comprehensive solution to all your business benefits and HR/employment needs. We help ensure you are in compliance with the complex requirements of ERISA and the IRS code, as well as those laws that impact you and your employees. Together, we reduce your exposure to potential legal or financial penalties. Learn more by calling 470-571-1007.
Hall Benefits Law, LLC
