How America Saves 2009 Vanguard's annual analysis of defined contribution (DC) plan data provides important insight into the trends and developments that characterized Vanguard-recordkept DC plans in 2008, and serves as a valuable reference tool for plan sponsors. Source: Vanguard (PDF File)

What Happens to Your 401k if You Lose Your Job? You may be allowed to leave the money in your former employer's plans even if you leave. But if you're required to move the money, it should transferred directly to an IRA custodian. Source: Los Angeles Times

New Caution in Handling of 401k's The recession jolted many 401k investors who had had their plans on autopilot. Maybe some people didn't realize what large portions of their accounts were in stocks — and how vulnerable those stocks had become. Source: NY Times

QVC Workers Cry Foul Over 401k Probe QVC employees fired over alleged irregularities in their 401k withdrawals said they were treated unfairly. The employees said they were driven to seek the retirement money because of company cutbacks. Source: Planadviser.com

Supreme Court to Clarify ERISA Plan Standards of Review The U.S. Supreme Court has agreed to review the decision of the Second Circuit Court of Appeals in Frommert v. Conkright, 535 F.3d 111 (2d Cir. 2008). At issue is the degree of deference courts should accord the decision of the administrator of a plan subject to ERISA that is made outside the context of an administrative claim for benefits. The Supreme Court will also consider what standard an appellate court should use in reviewing a lower court's interpretation of an ERISA plan's terms. Source: McGuire Woods LLP

Class Action Suit Against Hedge Fund Highlights the Standard of Care to Which ERISA Fiduciaries Are Held This line of cases highlights three issues relevant to hedge funds: (1) the question of when an alleged class of plaintiffs bringing suit against a hedge fund will be certified by a court; (2) the standard of care applicable to ERISA fiduciaries; and (3) the standard for consolidation and transfer of MDL cases. Source: Davis Wright Tremaine LLP (PDF File)

ERISA Section 404(c) Bars Fiduciary Liability Claims Against Trustee While the unusual facts may limit the impact of this case, it does demonstrate the potential benefits of an effective ERISA Section 404(c) defense. It also illustrates a fine point of the case law regarding the general fiduciary obligation to provide truthful information to participants. Source: Employee Benefits Institute of America

New Evidence on 401k Borrowing Despite news reports suggesting a rise in 401k borrowing in recent years, this report finds that the share of eligible households with 401k loans in the 2007 Survey of Consumer Finances was about 15 percent, roughly what it has been since 1995. Source: Federal Reserve (PDF File)

Use of Social Networking as HR Screening Tool Still Growing A CareerBuilder news release said that represented a big jump from the 22% who gave that response in a 2008 survey. Another 11% in the latest poll said they intend to start mining social networking sites for screening purposes. Source: Plan Sponsor

401(k) auto enrollment: What employees need to know If your company offers automatic 401(k) enrollment, you’re required to give employees a special notice prior to enrollment. Source: HR Morning.com

Safe Harbor for 2010 It will soon be time to consider whether to start or continue a safe harbor 401(k) plan for next year. Source: McKay Hochman