DOL enforcement of plan cybersecurity guidance warrants plan sponsor action

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Earlier this year, the Government Accountability Office (GAO) released findings from a recent study looking at cybersecurity issues and risks related to 401(k) and other retirement plans. The report affirmed what many know to be true: private sector employer-sponsored defined contribution plans are a crucial component of retirement security for millions of Americans, and records for these plans are largely stored and accessed virtually.

The GAO issued an urgent recommendation that the DOL (1) affirmatively state whether cybersecurity is a fiduciary obligation and (2) provide comprehensive guidance for plan sponsors and service providers regarding mitigation of this cybersecurity risk.