The Department of Labor’s Employee Benefits Security Administration (EBSA) is considering whether and how to modify its current standards governing the electronic distribution of employee benefit plan disclosures, such as quarterly account statements, to plan participants and beneficiaries as required under the Employee Retirement Income Security Act (ERISA). Current standards mandate that plan administrators use delivery methods that are reasonably calculated to ensure actual receipt of such information. Under certain circumstances, the electronic transmission of plan documents is permissible. According to the EBSA, research suggests that public access and use of electronic media has increased substantially since the 2002 regulations allowing electronic distribution of plan disclosures were implemented. Therefore, the agency is issuing a request for information (RFI) (pdf) “to solicit views, suggestions and comments from plan participants and beneficiaries, employers and other plan sponsors, plan administrators, plan service providers, health insurance issuers, and members of the financial community, as well as the general public on whether, and possibly how, to expand or modify” the EBSA’s current electronic disclosure practices.

In a statement, EBSA Assistant Secretary of Labor Phyllis C. Borzi said: “Some workers and retirees may not be sufficiently computer literate to receive information electronically or have reasonable access to the Internet, and others may simply prefer traditional paper disclosure,” adding “But in some instances, electronic disclosure may be just as effective as paper-based communications and could save employers and service providers money.”

The RFI consists of 30 specific questions regarding general usage of electronic disclosures, access and usage, technical issues, and administrative considerations. Commenters are also encouraged to provide information on any other matters that they believe are relevant to the topic.

Comments must be received within 60 days of the notice’s publication in the Federal Register, which is scheduled for Thursday, April 7. Comments may be submitted electronically through the federal eRulemaking portal or via email to e-ORI@dol.gov. Include the Regulatory Identification Number (RIN): 1210-AB50 in the subject line of the message. Written comments may be sent to: Office of Regulations and Interpretations, Employee Benefits Security Administration, Room N-5655, U.S. Department of Labor, 200 Constitution Avenue, NW, Washington, DC 20210, Attention: E-Disclosure RFI. All submissions received must include the agency name (EBSA) and RIN 1210-AB50.

Photo credit: doram