ERIC Supports Limiting Definitions Under Fiduciary Regulations

The ERISA Industry Committee Submits Letter to U.S. Department of Labor with Suggestions for New Rule

For Immediate Release

Washington, DC – The ERISA Industry Committee (ERIC) today submitted comments to the U.S. Department of Labor on its August hearing about the new definition of fiduciary regulations.

In the letter, ERIC –the only national trade association advocating solely for the employee benefit and compensation interests of America’s largest employers –suggests changes to ensure the new definition of fiduciary standards would not increase regulatory burdens or costs, creating uncertainty among plan sponsors, participants, and service providers.

“Employees, retirees, and their families who wish to seek advice on to how to invest their retirement accounts or receive education to help them achieve their savings goals should continue to have meaningful opportunities to do so,” said Annette Guarisco Fildes, president and CEO, ERIC. “ERIC’s comments and suggestions offer the best solution to creating a definition that provides a clear understanding of who is a fiduciary and the important role education and investment advice play in retirement planning.”

ERIC’s suggestions to the Department of Labor include:

  • The regulation should make clear that discussions among co-workers should not constitute fiduciary investment advice;
  • The regulation should narrow the definition of the term “recommendation” to require activities clearly involving endorsement or encouragement ;
  • The investment education carve-out should not prohibit references to specific plan investment options; and
  • Employers with limited involvement in a Health Savings Account (HSA) should not be deemed fiduciaries under the rule.

You can read ERIC’s letter to the Department of Labor in its entirety, here.

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All media inquiries to The ERISA Industry Committee should be directed to:

Kelly Broadway, 202.627.1918, kbroadway@eric.org

About the ERISA Industry Committee
ERIC helps America’s largest employers stay ahead of employee benefit policy. ERIC member companies are leaders in every sector of the economy, and we represent them in their capacity as sponsors of employee benefit plans for their own workforce. Only ERIC provides the combination of intel, expertise, collaboration, and lobbying that exclusively serves the interests of large employers who provide health, retirement, and compensation benefits to their nationwide workforce.