[Congressional Record Volume 147, Number 59 (Thursday, May 3, 2001)]
[Extensions of Remarks]
[Page E720]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




    COMPREHENSIVE RETIREMENT SECURITY AND PENSION REFORM ACT OF 2001

                                 ______
                                 

                               speech of

                         HON. JAMES R. LANGEVIN

                            of rhode island

                    in the house of representatives

                         Wednesday, May 2, 2001

  Mr. LANGEVIN. Mr. Speaker, I rise in support of H.R. 10, the 
Comprehensive Retirement Security and Pension Reform Act. This 
comprehensive legislation is an excellent first step toward rectifying 
the severe retirement savings shortfall in this country.
  At present, half of our nation's workforce--75 million Americans--
lack access to a 401(k)-type plan or any kind of pension. Further, 
contribution limits on pensions and IRAs have been frozen at their 
current levels since 1981. As a result, individuals could invest more 
in a 401(k) plan in the early 1980s than they can today, and of all 
retirement savings plans, only the IRA limit has never been indexed for 
inflation.
  H.R. 10 would allow individuals to set aside more money by increasing 
the current $2,000 IRA contribution limit for both traditional and Roth 
IRAs to $5,000 over a three-year period. Additionally, it would reduce 
regulatory burdens on plan sponsors, enabling small businesses to offer 
retirement plans. Finally, this legislation would allow for greater 
portability between plans, strengthen legal protections for pension 
participants, offer quicker vesting and include ``catch-up'' provisions 
to make up for earlier missed contributions by reaching out to women 
reentering the workplace and workers over fifty.
  As traditional, employer-funded benefit pension plans continue to 
shift toward contribution plans funded by workers, retirees need to 
have the tools to better manage their assets during the savings phase 
and ensure that they do not outlive their income during retirement. 
Current statistics indicate that one-fifth of today's 35-year-olds who 
reach retirement can expect to live into their 90s--evidence that many 
Americans will outlive their retirement savings. Therefore, it is 
absolutely critical that Congress ensure that Americans have the 
resources necessary to achieve a financially secure retirement.
  I would urge my colleagues to support this landmark legislation that 
would expand access to private pensions and increase flexibility for 
families to save for retirement.

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