Biden White House accused of politicizing retirement accounts
Rep. Andy Barr, R-Ky., on the House Financial Services Committee taking up a resolution to roll back a controversial rule favoring ESG investing.
House Republicans are expecting bipartisan and bicameral support in passing legislation aimed at killing the Biden administration’s proposal allowing private fiduciaries to consider environmental, social and governance (ESG) factors in Americans’ retirement plans, according to the lawmaker spearheading the effort.
"Americans don't want their retirement politicized. They don't want politics as part of their retirement portfolio," Rep. Andy Barr, R-Ky., said on "Fox & Friends" Tuesday morning. "They want financial performance; they want investment returns."
Barr claimed he’s expecting the House Rules Committee to vote and approve the Congressional Review Act to stop Biden’s ESG rule as early as today. That law lets Congress reject any federal rule if the House and Senate can pass a resolution that says Congress disapproves of it.
The ESG rule implemented by the Department of Labor took effect in February and initially faced pushback from Republicans as being an effort to impose a social agenda on the more than 140 million Americans whose retirement plans are governed by standards set by the federal government.
DEMOCRAT-LED E.S.G. RULES WILL ‘KILL’ MAIN STREET, C.E.O. WARNS
For decades, those standards have said investment decisions must be guided by the goal of maximizing the return on those investments. However, the rule from Biden’s Labor Department said investment plan fiduciaries can consider companies that prioritize climate change and other social issues as they invest.