Press Releases

Congresswoman Frederica S. Wilson issued the following statement in response the release of the Department of Labor’s final conflict of interest rule requiring retirement advisers to act in the best interests of their clients.

“As a representative of a majority-minority district located in what has been named one of America’s top ten cities with the worst income inequality, I understand that many workers have little margin for error when it comes to their retirement savings.

In South Florida, a median household income that is 30 percent lower than the average national household income, coupled with the high cost of living, makes it extremely difficult for my constituents to save at levels that guarantee a secure retirement. On average, residents of Florida’s 24^th congressional district have saved 20 percent less in their 401(K) retirement accounts than the average American.

In the last 25 years, we’ve seen the retirement savings disparity for communities of color more than quadruple. Whether due to a lack of intergenerational wealth, lower incomes, or additional financial responsibility for extended family members, individuals of color find it more difficult to save. It is imperative that communities of color and small savers receive the support, information, and guidance they need to ensure their savings last through retirement.

The final conflict of interest rule aims to protect workers who invest in retirement plans by requiring all who provide retirement investment advice to plans and IRAs meet a “fiduciary” standard. This requirement is expected to deliver large gains for retirement investors by reducing losses attributable to conflicts of interest.

As a member of the Subcommittee on Health, Employment, Labor and Pensions, I have spent countless hours meeting with and listening to experts, advocates, and administration officials with regard to this issue. Through these meetings and committee hearings, I have asked the tough questions necessary to ensure the final rule protects my constituents. In the coming days, I look forward to taking a closer look at the Department’s final rule to protect, educate, and empower retirement savers as they face important choices in saving for retirement.”

Congresswoman Frederica S. Wilson is a third-term Congresswoman from Florida representing parts of Northern Miami-Dade and Southeast Broward counties. A former state legislator and school principal, she is the founder of the 5000 Role Models for Excellence Project, a mentoring program for young males at risk of dropping out of school. Congresswoman Wilson also founded the Florida Ports Caucus, a bipartisan taskforce that coordinates federal action in support of Florida’s harbors and waterways.