Local mayor hopeful testifies in D.C. on worker retirements

Streamwood village president candidate Jason Speer testified Wednesday before a Congressional committee to encourage help for small businesses so they can offer retirement plans for workers, even during tough economic times.

Speer, vice president of Schaumburg-based Quality Float Works Inc., said that his small manufacturing firm started a 401K plan with a 4% company match for its 24 workers in 2005, but less than half have stayed with it due to the stock market and other economic woes.

"If too many participants drop out of the plan, we risk not meeting our minimum contribution requirements that are required in the contract with our facilitator. Thus, even though we would like to continue to maintain our 401(k) plan, we may not be able to do so if our employees do not stay in the plan," he told the House Committee on Small Business in Washigton, D.C.

"The challenges facing small business plan sponsors in the current economic downturn are substantial," he said during the testimony. "In the current economic environment, it is more important than ever that Congress focus on encouraging the implementation and maintenance of retirement plans by small businesses."

Speer was asked by the U.S. Chamber of Commerce to talk about the challenges faced by small businesses, especially when providing retirement plans to a small work force during harsh economic times.

"The committee was looking for feedback and wanted to hear testimony about what we're going through," Speer said later on the phone. "This could lead to ideas for companies and the government to encourage small businesses to provide retirement plans."