Government affairs

Legislative Updates

DOL’s proposed rule would shift workers to paperless retirement disclosures

Under the suggestion that it would save the government billions of dollars and would make retirement disclosures more readily available to workers, the Department of Labor has proposed a new rule to shift all retirement plan disclosures away from the current paper system to one where it is all posted online.

The plan would force all applicable workers to be placed on this electronic system where if workers want to continue to receive paper documents, they would have to opt-out of the electronic system, rather than opt-in to the change.

Ahead of the proposed rule’s publication, the Coalition for Paper Options (of which NALC is a part), submitted a letter (viewable here) to Paul Ray, the acting administrator of the Office of Information and Regulatory Affairs (OIRA). In it, the Coalition said the Trump Administration should withdraw the proposal because “longstanding principles for regulatory planning and review, claimed administrative cost savings and unsubstantiated assertions do not justify government regulation.”

“Under the status quo, consumers who prefer their retirement plan disclosures in paper have their preference honored, and consumers who prefer electronic disclosure can opt-in to electronic delivery. Citizens who prefer electronic information are taking this option, while others continue their preference for paper-based disclosures. In any event, the current system is working.”

NALC opposes the proposed rule and urges the Administration to withdraw it. NALC is requesting letter carriers take a moment to send their Member of Congress a message asking them to block the enactment of this harmful rule. Workers should have a choice in how they receive retirement information and should be switched without their consent. You can follow this link to the Coalition for Paper Options to send your Member a quick message.

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