Structuring Pension, Health, and Welfare Plans for Multinational Companies

This CLE course will offer guidance to employee benefits counsel on the complex legal and tax challenges of designing pension, health, and welfare plans for employees working for multinational companies. The program will discuss the types of employee benefits offered to inpats and expats, key considerations for plan sponsors, and the impact of U.S. regulations.

Multinational employers are increasingly grappling with employees at cross-border locations as business operations continue to become more global. Multinational employers and their counsel must be versed in the legal requirements and implications of cross-border assignments on employee pension, health, and welfare benefits in order to avoid costly missteps.

Key considerations for multinational employers include determining which corporate entity of the multinational company should fund the benefits plan and/or tender benefits to inpats and expats, whether the individual should transfer to U.S. employment, if possible, or if the employee should be seconded, taking into account reporting and tax requirements, social security rules, securities laws, joint-employer liability, and other legal issues. The program will not address the immigration status, work visas and related immigration laws determining the ability of the individual to come to the U.S. In addition, multinational employers must ensure that benefits are clearly and explicitly documented in a written employment agreement or secondment agreement to avoid confusion and disputes.

Compliance with federal laws is crucial for employers to avoid penalties and legal repercussions. ERISA, for example, requires employers to provide participants with important information about their retirement and health plans, including plan features and funding. Failure to comply with ERISA can result in fines, lawsuits, and even criminal charges.

Listen as our panel discusses legal considerations and best practices for employee benefits counsel designing pension, health, and welfare plans for inpatriates and expatriates on behalf of multinational companies.