One of the option of SECURE 2.0 is allowing employers to offer partricipants the right to Roth Employer contributions where they can pay the taxes upfront, and get tax free treatment on employer contributions.
As long as employers require vesting for employer contributions, I don’t think they will offer it since the Roth option will require full vesting at all times. I can see larger employers like an Amazon offering the feature, with their third party administrators having no issues with the tax reporting requirements.
As someone who represents small and medium sized plans, I just don’t see it catching on.
