Uptick in Fee Litigation Reshaping 401(k) Industry


Allison Wilkerson said there is a “general move toward lower fees” for 401(k) plans in the wake of rising litigation over plan fees, and added that plan sponsors are also responding by looking into flat, per-participant fees that are easier to understand and explain. Erin Turley said more fee lawsuits may make MEPs [multiple employer plans] look attractive to employers, but noted that the current regulatory environment isn’t “particularly favorable” to expanding MEPs despite proposals at the state level. Read the full article.