The U.S. Department of Labor's Employee Benefits Security Administration (EBSA) issued Technical Release 2011-03 which sets forth an interim policy regarding the use of electronic media to satisfy disclosure requirements under the department's final participant-level fee disclosure regulation.
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Get Your Report Now!The participant fee disclosure regulation requires employers to disclose more information about plan and investment costs to workers who direct their own investments in ERISA-covered 401(k) and other individual account retirement plans. Under the final rule, plans generally have until at least May 31, 2012 to start giving better information on 401(k) and similar plan fees and expenses to participants.
The technical release allows plan administrators to provide information required under the final participant disclosure rule electronically. This includes the use of continuous access websites, if certain conditions and safety measures are met. The interim policy states that the department will not take enforcement action based solely on a plan administrator's use of electronic technologies to make the required disclosures under the participant fee disclosure regulation if the administrator complies with the conditions in the technical release.
The relief in the technical release is limited to the disclosures required under the final participant fee disclosure regulation at 29 CFR 2550.404a-5. Technical Release 2011-03 is available online.