Audits Are Cause for Pause in DOL Group Retirement Plan Proposal

Individual auditing requirements in recently proposed federal regulations on consolidated group retirement plan filing are casting doubt on whether workplace plans will join forces.

Benefits attorneys and retirement plan sponsors who hoped 2019 legislation allowing groups of similar plans to file single, consolidated government disclosures would save them money now say that proposed U.S. Labor and Treasury department regulations that would still require annual audits for large employer plans defeat the purpose.

Tumult over the proposed rules could shake up a retirement industry hungry for joint cost-saving measures, driving interest away from group plans to other pooled plan arrangements.

“If ...