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Ranking Member Chabot Opening Statement at Hearing on Small Business Retirement Security

Ranking Member Chabot Opening Statement at Hearing on Small Business Retirement Security

WASHINGTON – Today, the House Committee on Small Business met for a hearing titled, “Unlocking Small Business Retirement Security.”  Ranking Member Steve Chabot (R-OH) delivered the following opening statement:

Remarks as Prepared for Delivery

Thank you, Madam Chairwoman. 

Planning for the future, preparing for what’s ahead, and creating a roadmap for success are cornerstones for many small businesses.  These phrases guide day-to-day decision making and help determine long-term strategy. 

They also mark the fundamental basics of retirement security for both small business owners and small business employees across the nation.  Unfortunately, saving for retirement is not only a challenge for most individual Americans, it has also proven to be problematic for many small businesses.

As a result, some of the nation’s smallest firms and their employees are sitting on the sidelines when it comes to saving for the future.  According to the U.S. Department of Labor, only 66 percent of all businesses provide retirement benefit options to their employees.  This means nearly one third of all private sector workers are not even given an opportunity to participate. 

Acknowledging the country’s underwhelming ability to save, President Donald Trump signed an Executive Order in August of 2018 to help small businesses reduce costs and burdens associated with retirement benefits.  A hallmark of the Executive Order was the expansion of Multiple Employer Plans that provide distinct employers the ability to band together to offer options to employees.  

As we await final guidance on the expansion of this program, I look forward to today’s hearing exploring some of the challenges facing small businesses as they navigate the retirement landscape.  

Additionally, I am looking forward to hearing from our witnesses about what Congress can and should do in order to jump start saving.  As a larger segment of our population grows into retirement age, we must make it a priority to create an environment that provides small businesses with a menu of retirement options.

Thank you, Madam Chairwoman, and I yield back.