Congress Debates ESG’s Role in Retirement Plans, Amidst Broader Economic Policy Concerns

Overview: The recent session of the US House Committee on Education & the Workforce highlighted a debate on the role of Environmental, Social, and Governance (ESG) factors in retirement plan investments, alongside discussions on broader economic policies, including tariffs and social security funding. Members of the committee grappled with the implications of recent administrative changes to investment rules under the Employee Retirement Income Security Act (ERISA), with arguments presented both for and against the inclusion of ESG factors in fiduciary decision-making.

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