The U.S. Department of Labor released a new rule on the disclosure of 401(k) fees today set out to help fiduciaries get the information they need to determine the reasonableness of such fees.

Under the new rule, all services furnished to a plan, and all compensation that is to be received by the service plan provider—both direct and indirect, must be disclosed in writing. Any possible conflicts of interest that might affect the performance of the plan must be disclosed. In addition to the rule, the department also proposed a class exemption to provide relief to plan fiduciaries who unwittingly enter into contracts that do not comply with these disclosure obligations.

"One of the department's top priorities is improved disclosure in order to ensure that participants and fiduciaries have the information they need to make informed decisions," says Elaine L. Chao, U.S. secretary of labor. "We are working quickly to implement regulations that foster fair, competitive and transparent prices for services as well as combat excessive or hidden plan fees."