In the 1970s, the federal government chose to address growing concerns about workers’ rights and the standards corporations used to decide retirement and compensation benefits. As a result, Congress passed the Employee Retirement Income Security Act in 1974, which established a number of important guidelines. Among these, the law officially broke the workers’ compensation and grievance process away from the common courts. Instead, as the system works now, complaints go through compensation administrative courts, working with their own standards for evidence and judgment. In order to facilitate this law and its subsequent additions and amendments, the Employee Benefits Security Administration was created.
The organization works under the United States Department of Labor. As a result, the head of this administration, known as the Assistant Secretary of Labor for Employee Benefits, is appointed by the President and confirmed through the United States Senate.
The Employee Benefits Security Administration is responsible for the process of educating the public about their legal rights concerning retirement, health programs, and compensation complaints. According to the EBSA, over $5 trillion are involved in employee welfare programs across the country, making the task of this department an extremely influential and important service to the country.
As the Employee Retirement Income Security Act, or ERISA, requires employers to prove clear information concerning benefit packages and retirement plans, employers and their human services partners should be offering direct and comprehensible explanations of coverage plans to their employees. The EBSA hopes to fill in the gaps, or to help in moments when employees need more individual guidance concerning legal problems that may encounter.
One of the most important things an employee can do to legally protect themselves against benefits abuses from employers is to stay informed. If you would like to learn more about the compensation process, the litigation process, and how a lawyer can help, contact a workers’ compensation attorney.