Oregon recently took a step forward in the movement to expand retirement savings for its workers. Oregon’s state legislature passed House Bill 3436, which creates a task force to explore options for helping private-sector workers who lack access to a workplace retirement plan save for retirement. The bill is now awaiting the governor’s signature.
House Bill 3436 authorizes the creation of a seven-person task force that will develop recommendations on ways to increase the number of Oregonians saving for retirement through new structures that could be facilitated by the state. The task force’s report is due September 1, 2014.
The measure follows in the footsteps of similar laws passed in both Massachusetts and California. California’s law, passed in 2012, authorizes a feasibility study on the creation of a new state-based retirement savings plan for private-sector workers that is based on the Automatic IRA. The plan would be professionally managed and would include a modest benefit guarantee. The 2012 Massachusetts law allows the State Treasurer to administer a retirement savings plan for workers at small non-profit organizations.
While the law in Oregon is a modest step, it is positive momentum toward new state-based solutions to expand retirement security for American workers, retirees, and their families.