US House votes to block California retirement scheme

Source: San Jose Mercury News

“Despite a plea from California Gov. Jerry Brown, the state’s GOP representatives voted unanimously Wednesday on a resolution to block California and other states from setting up 401-K-type plans for private-sector workers who lack retirement benefits — a measure that sailed through the U.S. House of Representatives on a party-line vote. The resolution, which now moves to the U.S. Senate, could jeopardize a program that Brown signed into law last fall to set up retirement savings accounts with automatic payroll deductions for as many as 7 million low- and middle-income workers whose employers don’t offer 401-k plans or other benefits. Illinois, Connecticut, Maryland and Oregon have passed similar initiatives.” (02/15/17)