[Congressional Record Volume 148, Number 18 (Wednesday, February 27, 2002)]
[Senate]
[Page S1248]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                    THE PENSION SECURITY ACT OF 2002

  Mr. GREGG. Mr. President, the spectacular collapse of the Enron 
Corporation has broken lives, shattered dreams and shaken confidence in 
our financial markets and in several professions. From what we know so 
far, it appears that the fall of Enron involves malfeasance, 
misfeasance and nonfeasance on the part of very many people. There may 
ultimately be criminal prosecutions, civil fines, and partial 
restitution. It may take years to sort out all of the problems and for 
Congress to enact appropriate solutions.
  Although the Enron investigations and lawsuits are ongoing, we have 
learned several lessons in the area of employee retirement security 
that can be addressed swiftly and responsibly. I am pleased to join my 
colleagues Senators Tim Hutchinson and Trent Lott in introducing the 
Pension Security Act of 2002. This legislation creates important new 
protections and rights for working Americans that give them the tools 
to enhance their own retirement planning and security.
  The measure includes new safeguards and options to help workers 
preserve and enhance their retirement security, and insists on greater 
accountability from companies and senior corporate executives during 
``blackout'' periods when rank-and-file workers are unable to make 
changes to their retirement accounts.
  Under the Pension Security Act, workers would have more freedom to 
diversify their investments, much greater access to high quality 
investment advice, advance notice before blackout periods, more 
information about their pensions, and other tools they can use to 
maximize the potential of their 401(k) plans and ensure a secure 
retirement future.
  The bill also clarifies that employers have a fiduciary 
responsibility for the security of workers' investments during 
``blackout'' periods and bars senior corporate executives from selling 
their own stock at times when rank-and-file workers cannot make changes 
to their 401(k) accounts.
  The bill strikes an important balance between preserving employee 
free choice and opportunity in the voluntary retirement savings system 
and protecting individuals from the wrongful acts of others. I look 
forward to working with all of my colleagues to join with us in 
enacting these important reforms.

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