EMPLOYMENT BENEFITS: DOL issues Final Rules on Workers with 401(k) Retirement Plans

October 14, 2010

Washington – The Employee Benefits Security Administration (EBSA) of the US Department of Labor has released the final rule on worker’s fees and expenses, especially those covered by 401(k)-type retirement plans, a statement from the agency’s website said.

Assistant Secretary of Labor for EBSA Phyllis Borzi said the new rule will give workers “the tools they need to make the best possible decision about investing the $3 trillion held in their 401(k) plans.

“Now they will have information about different investment options to help them make wise decisions”, the official added.

The rule, which is expected to affect an estimated 72 million workers covered by the plan, will help workers to better manage their retirement saving, by providing them with greater information on how to do it.

Under current law, workers are not required to be given the information to make informed investment decision. However under the new rule, workers will receive this information in a new format that will enable them to compare investment options under their plans.

A copy of the fact sheet and sample investment is available in the agency’s website.