Bill would exempt union-run multiemployer plans from auto-enrollment rule

What does this do?

HR 6685 creates an exception to a SECURE 2.0 requirement that employer retirement plans automatically enroll new workers and automatically increase their contribution rates over time. The exception applies specifically to multiemployer plans, which are retirement plans jointly administered by a group of employers and a labor union. The change would take effect beginning with the 2025 tax year.

Who does it affect?

Workers covered by union-negotiated multiemployer retirement plans are most directly affected, as are the employers and unions that manage those plans. These workers are concentrated in industries such as construction, trucking, and entertainment, where union contracts govern retirement benefits.

Why does it matter?

Without this exception, multiemployer plans would be subject to the same automatic enrollment and contribution-escalation mandates as standard single-employer plans, which supporters argue are difficult to apply to plans governed by collective bargaining contracts. Workers in affected plans would not be automatically enrolled in savings programs under this rule, though unions could still negotiate enrollment terms through collective bargaining.

Where does it stand?