The Department of Labor’s Employee Benefits Security Administration (EBSA) issued Field Assistance Bulletin 2026-01 in April to redefine its enforcement priorities and reduce what it views as “regulation by enforcement.”

The guidance emphasizes focusing investigations on the most egregious misconduct and loyalty breaches, such as self-dealing or misuse of plan assets, rather than second-guessing fiduciaries’ good-faith prudence decisions.

The bulletin reflects a major philosophical shift in EBSA’s relationship with plan sponsors, fiduciaries, and service providers, particularly in areas like ESOP valuations and missing participant investigations. The long-term impact will depend on how consistently the new principles are implemented across regional offices.

Guiding Priorities and Principles

EBSA’s memorandum outlines the following general standards for the agency’s enforcement actions:

• Focusing enforcement on the most egregious conduct and significant harm, particularly criminal cases and civil investigations where there is direct evidence of disloyalty or impermissible conflicts of interest (including conduct designed for the fiduciary’s self-enrichment or other goals unrelated to participants’ best interests, such as the promotion of environmental, social or governance objectives);
• Ensuring the agency does not regulate by enforcement and instead uses the notice-and-comment rulemaking process and sub-regulatory guidance to drive policy;
• Requiring proper review by senior agency officials of all significant enforcement activities, including novel legal theories or areas of enforcement, issues that are or are reasonably likely to be the subject of circuit court splits, and issues that involve adopting a position that deviates from a prior EBSA position; and
• Committing to timely and responsive enforcement. Most routine investigations involving less complicated issues, such as delinquent employee contributions, disclosure and bonding violations, should be completed within 18 months. More complex investigations must be completed within 30 months unless there are exigent circumstances.

ERISA Overview in Amwins Compliance Library

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