March 1, 2023
Bipartisan Senate Votes to End Rule Politicizing Americans’ Savings
Click here to watch Sen. Barrasso’s remarks on the rule.
WASHINGTON, D.C. – U.S. Senator John Barrasso (R-Wyo.) voted today to block the Biden administration’s rule jeopardizing the retirement savings of millions of Americans. The bill passed the Senate with bipartisan support, 50 to 46.
“Republicans are committed to protecting the retirement savings of American families,” Barrasso said. “And Joe Biden is trying to veto our efforts – he is giving the middle finger to middle-class Americans who are concerned about the returns on their retirement funds.”
In November of 2022, President Biden created a rule allowing managers of retirement plans to consider environmental, social, and corporate governance (ESG) factors when selecting investments and exercising shareholder rights.
This rule replaces a crucial protection to ensure that financial decisions be made solely on getting the best returns for the 152 million Americans whose retirement plans are protected by the Employee Retirement Income Security Act.
“The president is so committed to his climate change approach and pipe dreams that he is willing to crush the American dream of families who want to invest for the future,” Barrasso said. “We have these woke and weaponized bureaucrats at the Department of Labor and they came out with regulations to invest retirement money in far-left liberal causes.”
ESG funds tend to have lower rates of return and plan participants can be unknowingly enrolled in funds that may not align with their political views. With this rule, the Biden administration is putting the retirement savings of hardworking Americans at risk in order to favor his political agenda.
Under this rule, Americans can’t invest in things they might want to, including American energy. In reality, the investments Democrats want to mandate turn out to be worse for the American people.
“We have to stop Joe Biden from strangling Americans’ retirement money. People deserve better and more freedom than this command and control we are seeing from this administration,” Barrasso added.
The Congressional Review Act (CRA) can be used by Congress to overturn certain federal agency regulations and actions through a joint resolution of disapproval. If a CRA joint resolution of disapproval is approved by both houses of Congress and signed by the President, or if Congress successfully overrides a presidential veto, the rule at issue is invalidated.
The resolution passed the U.S. House of Representatives yesterday and now goes to the president’s desk.