29CFR2520.2520.107-1 - Use of electronic media for maintenance and retention of records.

Content Last Revised: 07/01/2004
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CFR
Code of Federal Regulations Pertaining to U.S. Department of Labor

Title 29
Labor

Chapter XXV
Pension and Welfare Benefits Administration, Department of Labor

Part 2520
Rules and Regulations for Reporting and Disclosure

Subpart G
Recordkeeping Requirements

29 CFR 2520.107-1 - Use of electronic media for maintenance and retention of records.

Section Number: 2520.107-1
Section Name: Use of electronic media for maintenance and retention of records.

       (a) Scope and purpose. Sections 107 and 209 of the Employee 
Retirement Income Security Act of 1974, as amended (ERISA), contain 
certain requirements relating to the maintenance of records for 
reporting and disclosure purposes and for determining the pension 
benefits to which participants and beneficiaries are or may become 
entitled. This section provides standards applicable to both pension and 
welfare plans concerning the use of electronic media for the maintenance 
and retention of records required to be kept under sections 107 and 209 
of ERISA.
    (b) General requirements. The record maintenance and retention 
requirements of sections 107 and 209 of ERISA are satisfied when using 
electronic media if:
    (1) The electronic recordkeeping system has reasonable controls to 
ensure the integrity, accuracy, authenticity and reliability of the 
records kept in electronic form;
    (2) The electronic records are maintained in reasonable order and in 
a safe and accessible place, and in such manner as they may be readily 
inspected or examined (for example, the recordkeeping system should be 
capable of indexing, retaining, preserving, retrieving and reproducing 
the electronic records);
    (3) The electronic records are readily convertible into legible and 
readable paper copy as may be needed to satisfy reporting and disclosure 
requirements or any other obligation under Title I of ERISA;
    (4) The electronic recordkeeping system is not subject, in whole or 
in part, to any agreement or restriction that would, directly or 
indirectly, compromise or limit a person's ability to comply with any 
reporting and disclosure requirement or any other obligation under Title 
I of ERISA; and
    (5) Adequate records management practices are established and 
implemented (for example, following procedures for labeling of 
electronically maintained or retained records, providing a secure 
storage environment, creating back-up electronic copies and selecting an 
off-site storage location, observing a quality assurance program 
evidenced by regular evaluations of the electronic recordkeeping system 
including periodic checks of electronically maintained or retained 
records, and retaining paper copies of records that cannot be clearly, 
accurately or completely transferred to an electronic recordkeeping 
system).
    (c) Legibility and readability. All electronic records must exhibit 
a high degree of legibility and readability when displayed on a video 
display terminal or other method of electronic transmission and when 
reproduced in paper form. The term ``legibility'' means the observer 
must be able to identify all letters and numerals positively and quickly 
to the exclusion of all other letters or numerals. The term 
``readability'' means that the observer must be able to recognize a 
group of letters or numerals as words or complete numbers.
    (d) Disposal of original paper records. Original paper records may 
be disposed of any time after they are transferred to an electronic 
recordkeeping system that complies with the requirements of this 
section, except such original records may not be discarded if the 
electronic record would not constitute a duplicate or substitute record 
under the terms of the plan and applicable federal or state law.

[67 FR 17275, Apr. 9, 2002]

Authority: 29 U.S.C. 1021-1025, 1027, 1029-31, 1059, 1134 and 1135; Secretary of Labor's Order 1-2003, 68 FR 5374 (Feb. 3, 2003). Sec. 2520.101-2 also issued under 29 U.S.C. 1132, 1181-1183, 1181 note, 1185, 1185a-b, 1191, and 1191a-c. Secs. 2520.102-3, 2520.104b-1 and 2520.104b- 3 also issued under 29 U.S.C. 1003,1181-1183, 1181 note, 1185, 1185a-b, 1191, and 1191a-c. Secs. 2520.104b-1 and 2520.107 also issued under 26 U.S.C. 401 note, 111 Stat. 788.