Consumer groups have come out in full force against the Labor Department’s plan to delay implementation of the fiduciary rule and potentially water it down.
“ ‘Delay’ is just another word for ‘decimate,’” said Karen Friedman, executive vice president at the Pension Rights Center, in a statement from the Save Our Retirement Coalition. The statement was released today, marking the end of a 15-day comment period for the Labor Department’s latest proposal.
Heidi Shierholz, the policy director of the Economic Policy Institute, another coalition member, said the delay of the fiduciary plan, from Jan.1, 2018 to July 1, 2019, “literally takes billions of dollars out of retirement savers’ pockets.”
(Related: DOL Releases Fiduciary Rule Request for Information)
More specifically, the delay from January 1, 2018 until July 1, 2019, will cost consumers billion $10.9 billion over 30 years, according to an extensive comment letter that EPI filed with Labor. (That figure is the midpoint of projected losses between $5.5 billion and $16.3 billion.)