A resolution to repeal President Joe Biden's ESG investment rule, which could politicize 401(k)s, was launched by Sen. Joe Manchin (D-WV) and 49 other Senbate Republicans.
“President Biden is jeopardizing retirement savings for millions of Americans for a political agenda,” Sen. Mike Braun (R-IN) mentioned to Fox News Digital.
The disapproalresolution was spearheaded by Braun and Rep. Andy Barr (R-KY).
“In a time when Americans’ 401(k)s have already taken such a hit due to market downturns and record high inflation, the last thing we should do is encourage fiduciaries to make decisions with a lower rate of return for purely ideological reasons,” Braun mentioned. “That’s why we are proud to stand up against this rule for the millions of Americans who depend on these funds for their retirement.”
The Department of Labor (DOL) released a proposal that would take effect on January 30 and allow retirement plan managers to take Environment, Social, and Governance (ESG) considerations into account when making investment decisions.
The most recent tool used by Wall Street financial conglomerates and the government to persuade businesses to support social causes they otherwise would not support is ESG investing. Combating purported climate change, diversity mandates, and other leftist values are included in this.
In a statement, Barr said, “Retirement plans should be solely focused on delivering maximum returns, not advancing a political agenda.”