President Donald Trump’s executive order to delay implementation of the Department of Labor’s fiduciary rule will likely come as soon as next week, according to an industry source.
The executive order that’s expected to be issued by Trump could delay the rule’s implementation six months or a year, the source said.
“People are confident a delay for at least a year is imminent, but not guaranteed,” the source said.
Rep. Joe Wilson, a member of the House Committee on Education and the Workforce, introduced a bill on Jan. 6 to delay the implementation of the fiduciary rule by two years.
Labor’s “fiduciary rule is one of the most costly, burdensome regulations to come from the Obama administration,” Wilson, R-S.C., said in a statement introducing the bill.
Sen. Elizabeth Warren, D-Mass., sent a letter on Thursday to 33 financial firms asking them whether they support delaying and rolling back the Department of Labor’s fiduciary rule.
The letter — which was sent to such firms as Morgan Stanley, Raymond James, Charles Schwab & Co., Fidelity, BlackRock and TD Ameritrade — comes on the heels of reports that the incoming Trump administration will seek to delay the rule, Warren said.
Alice Joe, managing director of the U.S. Chamber of Commerce’s Center for Capital Markets Competitiveness, said in a Thursday blog that Chamber is encouraging the Trump administration, at the least, to give entities more time to implement the rule.
“The fiduciary rule should be rescinded completely — if not by the courts, then by the incoming Trump administration,” Joe wrote. “But at a minimum, given the breadth, complexity and significance of its rule, there needs to be more time for covered entities to properly implement it. The applicability date — currently April 10, 2017 — must be extended or else 150 million Americans saving for retirement will be hurt.”