Employee Benefits

Well-drafted and administered benefit programs are effective recruitment and retention tools and enhance employee relations. They help keep your employees happy and productive, which can have a significant impact on your organization’s success. Conversely, problems in this arena can result in significant morale problems and litigation costs.

What Sets Us Apart

Constangy’s employee benefits team is prepared to guide your company through this highly complex legal area, which is governed primarily by the Internal Revenue Code and the Employee Retirement Income Security Act of 1974 (ERISA). Our attorneys understand the significance of the effective use of client resources in providing benefits as a part of the total compensation scheme. Significant liability can be created by an employer's failure to comply with the fiduciary and regulatory requirements of the law. Even more frightening, individual liability is a risk for officers, directors and managers with responsibility over employee benefit plans and policies.

To minimize this risk, we often assist companies with all aspects of their compensation and benefit plans and programs, from design and implementation to bringing new employees on board, and helping assure a smooth exit after a termination. Our experience allows us to advise employers and others regarding all types of retirement and deferred compensation plans; health and other welfare benefit plans; fringe benefit programs; and executive compensation agreements. We work with employers, plans providers and insurers, giving us a thorough knowledge of the world of benefit administration.

What We Do

Our specialized practice group assists clients in implementing and administering any qualified retirement plan (e.g., 401(k), pension plan, profit sharing plan, employee stock ownership program), executive compensation program, welfare plan (e.g., health, life, disability, severance), or fringe benefit plan (e.g., educational assistance plan, cafeteria plan). We also assist in compliance reviews to avoid expensive corrections and penalties resulting from audits by the IRS or Department of Labor. We routinely advise clients regarding voluntary correction programs and corrections on audit with the IRS and Department of Labor. We also conduct training seminars and advise clients regarding compliance with the Affordable Care Act, HIPAA and COBRA. Our employee benefit plan advice covers all aspects of benefit plan establishment, administration, and compliance. 

Representative Matters

• Counseled numerous clients regarding obligations under Internal Revenue Code Section 409A deferred compensation plan rules. 
• Counseled companies (including publicly traded, closely held, tax-exempt and governmental employers) regarding retirement plans, executive compensation programs, and fringe and welfare benefit issues with a specific focus on the issues specific to the compliance, recruiting and retention issues facing each company.
• Advised regarding restructuring a retirement program to better match client’s recruiting and retention goals, including freezing of benefits under company’s defined benefit pension plan and enhancing defined contribution plan.
• Assisted clients through merger and divestiture processes, including preparing and implementing new benefit plans for resulting companies for all types of benefit programs.
• Assisted clients in many different industries (including governmental entities) in evaluating requirements of the Affordable Care Act and options for compliance.
• Assisted clients with managing withdrawal liability. 

Multimedia