,"The U.S. Senate has voted to overturn a Labor Department rule that permits fiduciary retirement fund managers to consider ESG criteria..."
The Senate on Wednesday passed a disapproval resolution, formally killing a Biden administration Department of Labor rule that encourages environmental, social and governance (ESG) factors to be taken into account when managing retirement plans. The rule would have allowed fiduciary retirement fund managers to consider ESG criteria when making investment decisions, a practice that some believe is necessary for the protection of the worker’s retirement savings.
Republicans have long argued that ESG investing is a form of “woke” investing and should be avoided, while Democrats have argued that it is necessary to protect investors’ money. The rule was passed by the Biden administration in March, but Republicans in the Senate quickly moved to overturn it.
The resolution was passed by a 51-50 vote, with Vice President Kamala Harris breaking the tie. It has already passed the House of Representatives, so it now goes to President Biden for his signature. President Biden is likely to veto the resolution, as it would undermine his efforts to protect American workers’ retirement savings.
Environmental, social, and corporate governance, or ESG, investing is Republicans' new favorite target in the war on “wokeness.” The resolution is the latest in a series of efforts by Republicans to stop what they call “woke” investment decisions that could potentially hurt workers’ retirement savings.
The resolution is the latest twist in a yearslong battle over ESG investing in retirement plans, and “woke” business practices in general. Republicans have argued that ESG investing is a form of “woke” investment that could potentially lead to higher costs for workers. Democrats, on the other hand, have argued that ESG investing is necessary to protect workers’ retirement savings.
The Labor Department rule was passed in March and would have allowed fiduciary retirement fund managers to consider ESG criteria when making investment decisions. The rule was meant to encourage responsible investing and protect workers’ retirement savings.
The Senate vote on Wednesday overturns the Labor Department’s rule and returns the decision-making power to the Department of Labor. Republicans have argued that ESG investing is a form of “woke” investing and should be avoided.
Democrats have argued that the rule was necessary to protect workers’ retirement savings. They have argued that ESG investing can help to reduce risks and encourage responsible investing.
The vote on Wednesday is the latest in a series of efforts by Republicans to stop what they call “woke” investment decisions. Republicans have argued that ESG investing is a form of “woke” investment that could potentially lead to higher costs for workers.
Democrats have argued that ESG investing is necessary to protect workers’ retirement savings. They have argued that ESG investing can help to reduce risks and encourage responsible investing.
President Biden is likely to veto the resolution, which would nullify the Labor Department’s rule. He has argued that the rule is necessary to protect workers’ retirement savings.
The vote on Wednesday is the latest in a series of efforts by Republicans to stop what they call “woke” investment decisions. ESG investing has become a popular target for Republicans in recent months, as they argue that it is a form of “woke” investing that could potentially lead to higher costs for workers.
Democrats have argued that the rule is necessary to protect workers’ retirement savings. They have argued that ESG investing can help to reduce risks and encourage responsible investing.
The vote on Wednesday is a setback for President Biden’s efforts to protect workers’ retirement savings. It remains to be seen how the President will respond to the resolution, but it is likely that he will veto it.
