Question

The Employee Retirement Income Security Act (ERISA) provides:

A) Funding of retirement plans.
B) Insurance for retirement plans when employees change employers.
C) The self-employed with mandatory retirement plans.
D) Protection to employees participating in the private employer retirement plans.
E) Trust funds for retirement.

Answer 1

The Employee Retirement Income Security Act (ERISA) provides protection to employees participating in the private employer retirement plans. ERISA establishes minimum standards for retirement plans offered by private employers and creates the Pension Benefit Guaranty Corporation (PBGC) for insurance purposes.

Step-by-step explanation:

The Employee Retirement Income Security Act (ERISA) provides protection to employees participating in the private employer retirement plans. ERISA establishes minimum standards for retirement plans offered by private employers, including requirements for funding and reporting. It also creates the Pension Benefit Guaranty Corporation (PBGC), which provides insurance for private pension plans in case of financial distress.