On April 4th, the Department of Labor (DOL) announced that it would be delaying the applicability date of its Conflict of Interest Rule (also known as the Fiduciary Rule) by 60 days. This moves the applicability date of the rule back from April 10th to June 9th.
Next, the DOL will be considering whether to leave the rule unchanged, to revise the rule, or to rescind the rule all together. It’s unclear whether this determination can be made within 60 days or whether the DOL will pursue an additional delay in the applicability date.
Despite the fact that the DOL’s Fiduciary Rule has been delayed, it’s important toremember that under ERISA 404(a)(1)1 fiduciaries to qualified retirement plans have a duty to act in the interest of plan participants, to act with prudence, to follow the plan documents, and to only pay reasonable fees for necessary services. These duties remain the same no matter what happens to the Fiduciary Rule.
If you have questions about your fiduciary duties to your retirement plan, contact our ERISA Services Team Here.