McCaul Cosponsors, Votes for Resolution Blocking Biden Admin Politicization of Retirement Accounts

WASHINGTON – This week, U.S. Congressman Michael McCaul (R-Texas) joined U.S. Congressman Andy Barr (R-Ky.) and House Republicans in voting for a Congressional Review Act (CRA) measure to block the U.S. Department of Labor rule allowing employers to consider climate change and other social and governance considerations when handling employees’ retirement accounts.

“Inflation, spurred on by Democrats’ reckless spending, continues to chip away at Americans’ retirement savings. The Biden administration should be laser-focused on ensuring our aging population has the means to retire securely after a lifetime of work. Instead, they are prioritizing a radical climate agenda at the expense of Americans’ retirement goals. I’m proud to join this effort to nullify such a misguided policy and ensure the American people know Republicans are fighting for their futures,” said Rep. McCaul, chairman of the House Committee on Foreign Affairs.

“Americans are suffering from a $3.8 trillion savings gap that is jeopardizing retirement for millions. That’s why Congress must dig in and prevent the Biden Administration from greenlighting any attempt to elevate a political agenda ahead of delivering maximum financial security so that seniors can live comfortably in retirement,” said Rep. Barr (R-Ky.), chairman of the House Financial Services Subcommittee on Financial Institutions and Monetary Policy.

Background:

In November of 2022, President Biden’s Department of Labor issued a rule allowing fiduciaries to consider environmental, social, and governance (ESG) factors when picking investment funds for their 401(k) plans. Recent studies have shown ESG investment funds perform nearly three percentage points below the broader market’s returns. This week’s CRA, led by Rep. Barr and cosponsored by Rep. McCaul, would prevent this rule and any other similar rule from taking effect. 

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