US Labor Department issues final exemption to allow new health plan for Ford Motor Co. retirees to acquire company securities
WASHINGTON — The U.S. Department of Labor’s Employee Benefits Security Administration has granted an exemption allowing the Ford Motor Co. to transfer company securities to a voluntary employee beneficiary association trust that funds a new health plan established to provide health benefits for the company's retirees. The new health plan will cover in excess of 285,000 retirees and their dependents, and a small number of active employees. Ford requested an exemption under the Employee Retirement Income Security Act to allow the VEBA plan to receive and hold employer securities of Ford in excess of the amount and kind allowed under the Employee Retirement Income Security Act. The law gives the Labor Department authority to grant exemptions that protect the interests of plan participants and beneficiaries.