This episode of “Just Compensation” features Andrew E. Graw, Megan Monson, and Jessica I. Kriegsfeld of Lowenstein Sandler's Executive Compensation and Employee Benefits group discuss when severance plans will be subject to ERISA, and the requirements associated with complying with ERISA. They also address other deferred compensation considerations for severance plans such as compliance with Section 409A, noting that while having a severance plan subject to ERISA can impose additional responsibilities for employers, it can also have advantages.

Episode Resources:

1. Puttin’ on Your Top Hat: How to Effectively Structure a Deferred Compensation Plan as a “Top Hat” Plan | Lowenstein Sandler LLP
2. Deferred Compensation: A Primer on Section 409A of the Code and Why it Matters | Lowenstein Sandler LLP
3. The Impact of 457A on Deferred Compensation from non-US Entities | Lowenstein Sandler LLP
4.  Code Section 409A - Six Month Delay | Lowenstein Sandler LLP

Speakers:

Andrew E. Graw, Partner and Chair, Executive Compensation and Employee Benefits Megan Monson, Partner, Executive Compensation and Employee Benefits Jessica Kriegsfeld, Associate, Executive Compensation and Employee Benefits

On this episode of Just Compensation, Jessica Kriegsfeld  speaks with Darren Goodman and Taryn E. Cannataro about stock options and Section 409A of the tax code, a complicated set of rules regulating the taxation of non-qualified deferred compensation, such as equity awards. The lawyers discuss how to structure stock options to avoid a penalty tax under Section 409A, including the importance of determining the exercise price of stock options correctly.

Speakers:

Darren Goodman, Vice Chair, Executive Compensation and Employee Benefits Taryn E. Cannataro, Counsel, Executive Compensation and Employee Benefits Jessica Kriegsfeld, Associate, Executive Compensation and Employee Benefits

As the presidential election approaches, the potential for political discord to spill into the workplace is heightened. On this episode of “Just Compensation,” Megan Monson talks with Amy C. Schwind about legal and practical considerations involved with political expression in and related to the workplace, as well as ways to mitigate legal risk. The lawyers explore issues that may give rise to liability for employers, such as political conversations impacting protected classes, as well as topics such as off-duty conduct laws, rules and policies related to political expression, and giving employees time off to vote.

Speakers:

Megan Monson, Partner, Executive Compensation and Employee Benefits Amy C. Schwind, Counsel, Employment

“Top hat plans” —non-qualified deferred compensation plans that can be exempt from most of the requirements of Employee Retirement Income Security Act of 1974 or ERISA—can be a useful tool for employers looking to provide deferred compensation benefits to certain key employees. However, care must be taken to ensure compliance with the relevant requirements of ERISA and Section 409A of the Internal Revenue Code. Darren Goodman, Megan Monson, and  Jessica I. Kriegsfeld of Lowenstein’s Executive Compensation and Employee Benefits Group discuss how to structure such plans to make them compliant.

Speakers:

Darren Goodman, Vice Chair, Executive Compensation and Employee BenefitsMegan Monson, Partner, Executive Compensation and Employee BenefitsJessica Kriegsfeld, Associate, Executive Compensation and Employee Benefits

On the latest episode of Just Compensation, Lowenstein’s Darren Goodman, Megan Monson, and Jessica Kriegsfeld of the Executive Compensation, Employment and  Benefits practice discuss how the structure of an M&A transaction can influence the treatment of the existing workforce and treatment of employee benefits such as outstanding equity awards, health and welfare plans, and retirement plans. 

Speakers:

Darren Goodman, Vice Chair, Executive Compensation and Employee BenefitsMegan Monson, Partner, Executive Compensation and Employee BenefitsJessica Kriegsfeld, Associate, Executive Compensation and Employee Benefits

In this episode of "Just Compensation," Megan Monson, Amy Komoroski Wiwi, and Amy C. Schwind discuss the evolving landscape of employment-related non-compete agreements, focusing on recent legal developments. The discussion highlights the Federal Trade Commission's recent decision to ban post-employment non-compete clauses and its implications for businesses nationwide, as well as several noteworthy state-level updates over the past six months and how these changes might impact employers and employees.

Speakers:

Megan Monson, Partner, Executive Compensation and Employee BenefitsAmy Komoroski Wiwi, Partner, Employment Amy C. Schwind, Counsel, Employment

In today’s episode, Andrew E. Graw, Megan Monson, and Jessica I. Kriegsfeld address the U.S. Department of Labor’s final amendment to Prohibited Transaction Class Exemption 84-14, commonly known as the QPAM exemption, and its implications for investment managers. The hosts explore the current QPAM exemption, the modifications introduced by the final amendment, and the key takeaways for investment managers to ensure compliance and maintain their QPAM status.

Speakers:

Andrew E. Graw, Partner and Chair, Executive Compensation and Employee Benefits Megan Monson, Partner, Executive Compensation and Employee Benefits Jessica I. Kriegsfeld, Associate, Executive Compensation and Employee Benefits

On this episode of “Just Compensation,” the hosts provide an introduction into Section 409A, the complicated tax code provision that governs non-qualified deferred compensation: when does it apply, how do you comply with it, what are the exceptions, and what are the implications of noncompliance? 

Speakers:

Darren Goodman, Vice Chair, Executive Compensation and Employee BenefitsMegan Monson, Partner, Employee Benefits & Executive CompensationJessica Kriegsfeld, Associate, Executive Compensation and Employee Benefit

On this episode of “Just Compensation,” Darren Goodman, Sophia Mokotoff, and Taryn E. Cannataro  discuss equity compensation that can be issued by partnerships, with a special focus on profits interests. Profits interests are very commonly used by partnerships due to their flexibility in structuring and advantageous tax treatment. The lawyers explain the pros and cons of such arrangements.

Speakers:

Darren Goodman, Vice Chair, Executive Compensation and Employee BenefitsSophia Mokotoff, Partner, TaxTaryn E. Cannataro, Counsel, Executive Compensation and Employee Benefits

Andrew Graw, Taryn Cannataro, and Jessica Kriegsfield of Lowenstein Sandler's Employee Benefits and Executive Compensation Practice Group address multi-employer pension plans in the context of a business transaction, providing listeners with an overview of considerations and areas of potential liability plus tips on how to mitigate these issues. A multi-employer plan is comprised of various unrelated employers who make contributions on behalf of a unionized workforce; these contributions are based on a collective bargaining agreement, so failure to make those contributions or certain types of withdrawals can result in liability for the acquirer or the target. The lawyers advise inquiring about the funding status of the plan, considering the impact of changes in the workforce post-closing, and addressing potential withdrawal liability in the purchase agreement before closing a business transaction when a multi-employer plan is involved.

Speakers:

Andrew E. Graw, Partner and Chair, Employee Benefits & Executive Compensation Taryn E. Cannataro, Counsel, Employee Benefits & Executive Compensation Jessica Kriegsfeld, Associate, Employee Benefits & Executive Compensation