Making All Fund Information Available Act

Bill: 118-s-4328
Sponsor: full_name: Sen. Cassidy, Bill [R-LA]
Introduced: 2024-05-14
Policy area: Labor and Employment
Latest action: action_date: 2024-05-14
text: Read twice and referred to the Committee on Health, Education, Labor, and Pensions.

Summaries:

tv_txt: II 118th CONGRESS 2d Session S. 4328 IN THE SENATE OF THE UNITED STATES May 14, 2024 Mr. Cassidy introduced the following bill; which was read twice and referred to the Committee on Health, Education, Labor, and Pensions A BILL To require any labor organization that is or would be the collective bargaining representative for any employees to provide information regarding the amount of funds in any defined benefit plan of the labor organization before any labor organization election, and for other purposes.

1. Short title This Act may be cited as the Making All Fund Information Available Act . 2. Requirement for labor organizations to provide information regarding defined benefit plans before any labor organization election (a) Definitions In this Act: (1) Beneficiary The term beneficiary has the meaning given the term in section 3 of the Employee Retirement Income Security Act of 1974 ( 29 U.S.C. 1002 ). (2) Defined benefit plan The term defined benefit plan has the meaning given the term in such section of such Act ( 29 U.S.C. 1002 ). (3) Employee, employer The terms employee and employer have the meanings given such terms in section 2 of the National Labor Relations Act ( 29 U.S.C. 152 ). (4) Labor organization The term labor organization has the meaning given the term in such section of such Act ( 29 U.S.C. 152 ). (5) Labor organization election The term labor organization election means any election described in section 9 of the National Labor Relations Act ( 29 U.S.C. 159 ), including an election for decertification described in subsection (e) of such section. (6) Participant The term participant has the meaning given the term in section 3 of the Employee Retirement Income Security Act of 1974 ( 29 U.S.C. 1002 ). (b) Requirement To provide certain information regarding a defined benefit plan (1) In general A labor organization that is the representative of employees of an employer for purposes of collective bargaining in accordance with section 9(a) of the National Labor Relations Act ( 29 U.S.C. 159(a) ) during a labor organization election, or that would become such a representative of such employees after a labor organization election, shall— (A) not fewer than 3 days before the date of such labor organization election, provide to such employees the notice described in paragraph (2) regarding any defined benefit plan that is or would be available for enrollment by the employees because of representation by the labor organization for purposes of collective bargaining; and (B) in the case of such a defined benefit plan that has a percentage of plan liabilities described in paragraph (2)(A)(i) that is less than 100 percent, provide to such employees access to a financial expert (described in paragraph (3)) who is, for the 3 days immediately preceding the date of such labor organization election, able to answer questions regarding such defined benefit plan. (2) Notice (A) In general The notice described in this paragraph is a statement that, with respect to a defined benefit plan described in paragraph (1)(A), provides— (i) the percentage of plan liabilities funded, calculated as the ratio between the value of the plan’s assets and liabilities, as of the end of the most recently completed plan year; (ii) in the case of an employee who is not a participant in a defined benefit plan described in paragraph (1)(A), the percentage of each dollar of contribution by the employee, if the employee enrolls in such a plan, that— (I) would be used to provide benefits to the employee (or a beneficiary of the employee); and (II) would be used to provide benefits to participants of the defined benefit plan (or their beneficiaries) who are enrolled as of the date on which the labor organization election described in paragraph (1) occurs; and (iii) in the case of a percentage of plan liabilities described in clause (i) that is less than 100 percent— (I) the ratio between the estimated monthly benefit that a participant or beneficiary would receive at normal retirement age under the defined benefit plan and the estimated monthly benefit that a participant or beneficiary would receive at normal retirement age under the defined benefit plan if such percentage of plan liabilities was 100 percent; and (II) the estimated amount of the monthly benefit amount that would be paid by the Pension Benefit Guaranty Corporation if the plan is terminated with insufficient assets to pay benefits. (B) Information provided in an annual report The notice described in subparagraph (A) may quote, in plain language, from the most recently filed annual report provided to the Secretary of Labor or the Pension Benefit Guaranty Corporation under section 104 or 4065 of the Employee Retirement Income Security Act of 1974 ( 29 U.S.C. 1024 , 1365) with respect to the defined benefit plan described in paragraph (1)(A). (3) Financial expert A financial expert provided by a labor organization in accordance with paragraph (1)(B)— (A) shall be— (i) independent from the defined benefit plan described in paragraph (1)(A) and the labor organization; and (ii) provided at no cost to the employees; (B) may not be compensated using any assets of the defined benefit plan. (4) Availability of materials after election (A) In general Not later than 30 days after a labor organization election described in paragraph (1), a labor organization shall provide to the Office of Labor-Management Standards all written materials (including the notice provided under paragraph (1)(A)), instructions, or handouts provided to employees with respect to the requirements of this Act. (B) Public availability Not later than 30 days after receiving any written materials, instructions, or handouts under subparagraph (A), the Office of Labor-Management Standards shall make such materials, instructions, or handouts publicly available on the website of the Office of Labor-Management Standards. (c) Enforcement (1) Criminal penalties for misleading or false statements (A) Offense It shall be unlawful for any person to lie to or mislead an employee in any notice provided under subsection (b)(1)(A) or with respect to any answers provided under subsection (b)(1)(B). (B) Penalty Any person who violates subparagraph (A) shall be fined under title 18, United States Code, imprisoned for not more than 5 years, or both. (2) Private right of action Any employee who is adversely affected by an alleged violation of subsection (b) may commence a civil action against any person that violates such section in any court of competent jurisdiction for actual damages. The court may award costs and expenses, including attorney's fees, to an employee in a prevailing action under this paragraph. (3) Referral If the Assistant Secretary of Labor for Employee Benefits Security obtains evidence that any person has engaged in conduct that may constitute a violation of paragraph (1)(A), the Assistant Secretary shall— (A) refer the matter to the Attorney General for prosecution under such paragraph; and (B) provide such evidence to the National Labor Relations Board. (4) Enforcement by the NLRB Section 9 of the National Labor Relations Act ( 29 U.S.C. 159 ) is amended by adding at the end the following: (f) In any case in which the Board determines that the results of an election under this section were influenced by conduct that may constitute a violation of section 2(c)(1)(A) of the Making All Fund Information Available Act or that a labor organization that is, or would become, the representative of employees after such an election violated section 2(b)(1) of such Act— (1) the election shall be invalid; (2) the Board shall set aside the results of such election; and (3) a new election may not be held unless the Assistant Secretary of Labor for Employee Benefits Security determines that the labor organization has fulfilled the requirements of section 2(b)(1) of such Act. .