The House Education and the Workforce Committee's Health, Employment, Labor, and Pensions subcommittee was critical of the U.S. Department of Labor's (DOL) Employee Benefits Security Administration (EBSA) divulging certain information to plaintiffs' attorneys during a recent oversight meeting. EBSA reportedly shared information concerning enforcement investigations with attorneys representing benefits plan participants. EBSA primarily enforces the Employee Retirement Income Security Act (ERISA), which regulates most employer-provided benefits plans.
Former EBSA chief Ali Khawar, who left the agency in January, and Lars Golumbic, principal at Groom Law Group, testified before the subcommittee. Golumbic explained the use of “common interest agreements” that the DOL uses to share information with interested parties. When some of these agreements appeared in discovery during pending ERISA class action litigation, defense attorneys brought them to the attention of the subcommittee. As a result, the inspector general announced an investigation into the practice by DOL in June 2025.
Some lawmakers slammed EBSA for secretly sharing information with law firms known to file class action lawsuits on behalf of plan participants. While Golumbic had suspected the existence of common interest agreements, the discovery revelation was the first solid evidence of the practice. Two Republican House members have also introduced legislation meant to curtail or rein in EBSA's investigation practices, specifically targeting the usage of common interest agreements.
However, the subcommittee's top Democrat, Rep. Mark DeSaulnier of California, pushed back on the Republican outrage by pointing out that, according to Khawar, DOL found only 12 investigations in 15 years that used the agreements. DeSaulnier opposes any legislation that would impede EBSA's ability to carry out its duties. Other Democrats were more critical of the common interest agreements with plaintiffs' law firms, but cautioned Republicans to wait for the DOL inspector general's report before resorting to legislation. Likewise, representatives of the ERISA Industry Committee (ERIC), a trade group for large employers who administer ERISA-governed benefits plans, and The ESOP Association, an advocacy group, applauded the proposed legislation that would increase transparency.
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