§1304 Participant and Plan Sponsor Advocate

Summary

The board of directors must pick a Participant and Plan Sponsor Advocate from candidates the advisory committee names under section 1302(h)(1). The pick is made without using the usual title 5 hiring rules. The Advocate acts as a go‑between for the corporation, sponsors of insured defined benefit pension plans, and plan participants. The Advocate must push for participants’ rights, help sponsors and participants settle disputes with the corporation, spot recurring problems, suggest changes to the corporation’s practices and to laws when needed, and refer fraud, waste, abuse, or violations to the corporation’s Office of the Inspector General. If the Advocate is removed or moved to a different job or location, the board must send written reasons to Congress at least 30 days before the removal or move. The Advocate’s pay must match the highest Senior Executive Service basic rate under section 5382 of title 5 or, if the board chooses, the rate set under section 9503 of title 5. By December 31 each year, the Advocate must report to the Senate HELP and Finance Committees and the House Education and the Workforce and Ways and Means Committees on office activities, requests for help, major problems, proposed legislative or regulatory fixes, and steps taken on past issues, and send copies to the Secretary of Labor, the corporation’s Director, and other relevant officials.