CUNA is pleased that the Department of Labor (DOL) appears to have considered its request for a delay to the implementation of its fiduciary rule. In a DOL brief filed this week in the lawsuit by Thrivent Financial for Lutherans challenging the rule, the agency indicates that it is proposing an 18-month delay for the rule.
CUNA has sent a number of comment letters urging DOL to delay the implementation of its fiduciary rule to give credit unions time to resolve compliance ambiguities. The rule defines who is a fiduciary of an employee benefit plan.
The DOL indicates in the brief that it has submitted a proposal to delay implementing the remaining parts of the fiduciary rule for 18 months to the Office of Management and Budget. Pending approval by the OMB, the effective date would be pushed to July 1, 2019, back from the current Jan. 1, 2018 date.
In addition to the delay, CUNA supports additional research efforts to ensure that credit union members are not harmed by unintended consequences of overly broad rules, and additional analysis about whether choices may be limited for moderate or low-income consumers.