(Fox News) Every Republican senator and Democrat Joe Manchin are introducing legislation that they hope will terminate the Biden administration’s new environment, social and governance (ESG) rule, which they say “politicizes” the retirement savings for 152 million Americans.
The Biden administration’s Department of Labor unveiled a rule in November, set to go into effect on Jan. 30, that allows retirement plan managers to factor environmental and social issues into investment decisions.
The bipartisan disapproval resolution led by Sen. Mike Braun, R-Ind., will be introduced Wednesday and a companion bill in the House will be introduced by Rep. Andy Barr, R-Ky. Congressional passage of the resolution will allow Congress to overrule the administration and kill the regulation.
“President Biden is jeopardizing retirement savings for millions of Americans for a political agenda,” Braun told Fox News Digital.
“In a time when Americans’ 401(k)s have already taken such a hit due to market downturns and record high inflation, the last thing we should do is encourage fiduciaries to make decisions with a lower rate of return for purely ideological reasons. That’s why we are proud to stand up against this rule for the millions of Americans who depend on these funds for their retirement,” the senator from Indiana continued.
Manchin told Fox News Digital: “At a time when our country is already facing economic uncertainty, record inflation and increasing energy costs, it is irresponsible of the Biden Administration to jeopardize retirement savings for more than 150 million Americans for purely political purposes.”
“I’m proud to join this bipartisan resolution to prevent the proposed ESG rule from endangering retirement incomes and protect the hard-earned savings of American families. I encourage my colleagues on both sides of the aisle to support this important resolution to ensure Congress is promoting economic security for West Virginians and Americans, not further exacerbating the serious economic challenges they are already facing,” the Democratic senator continued.
A group of 25 states last week filed a federal lawsuit against the Biden administration over the rule, which Utah Attorney General Sean Reyes says would put millions of Americans’ safety net retirement plans “at risk.”