Press Releases
Finstad Introduces Legislation to Overturn DOL Rule on ESG Investing
December 19, 2022
WASHINGTON, D.C. – Congressman Brad Finstad (MN-01) introduced legislation today that would overturn a Department of Labor (DOL) rule that allows retirement plans to prioritize environmental, social, and governance (ESG) factors like climate change and racial justice over maximizing shareholder value.
Congressman Finstad’s bill is the House companion to the Senate bill introduced by Senator Tom Cotton (R-AR) earlier this month.
“Retirement savings have already taken deep cuts in recent years thanks to this administration’s bad economic policies,” said Congressman Finstad. “Allowing financial managers to put ESG considerations ahead of returns will exacerbate the economic pain Americans are already experiencing and further harm savings accounts across the country.
“When it comes down to it, the primary obligation of retirement plans should be to make investments based on maximum return, without regard to whether or not an investment upholds this administration’s radical climate change and social justice agenda.”
Text of the legislation can be found here.
Congressman Finstad’s bill is the House companion to the Senate bill introduced by Senator Tom Cotton (R-AR) earlier this month.
“Retirement savings have already taken deep cuts in recent years thanks to this administration’s bad economic policies,” said Congressman Finstad. “Allowing financial managers to put ESG considerations ahead of returns will exacerbate the economic pain Americans are already experiencing and further harm savings accounts across the country.
“When it comes down to it, the primary obligation of retirement plans should be to make investments based on maximum return, without regard to whether or not an investment upholds this administration’s radical climate change and social justice agenda.”
Text of the legislation can be found here.
