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Many employers today have a diverse workforce that includes individuals who speak little or no English. Employers commonly ask whether they are required to translate Summary Plan Descriptions (SPDs) or Summaries of Material Modifications (SMMs) into other languages.
ERISA does not mandate full translations of SPDs or SMMs, but certain employers may be required to offer language assistance and notify participants of its availability if a significant portion of their workforce is literate only in the same non-English language.
When Is Language Assistance Required?
ERISA outlines specific thresholds for providing language assistance based on the size of the benefit plan.
- Large Plans (100 or more participants): Language assistance must be provided if the lesser of:
- 10% of participants, or
- 500 participants are literate only in the same non-English language.
- Small Plans (fewer than 100 participants): Language assistance is required if 25% or more of the participants are literate only in the same non-English language.
Example
A company plan has 8,000 participants and 530 of those participants are literate only in Spanish. For this example, “participants” include only employees or former employees (such as retirees) who are covered by the plan. Dependents like spouses or children are not included in this calculation. Ten percent of the plan’s participants is equal to 800 participants.
Spanish language assistance must be provided because there are at least 500 participants that are literate only in the same non-English language, even though it is less than 10% of the total number of plan participants.
What Must Be Included in the SPD or SMM?
If your plan meets the thresholds above, the SPD or SMM must contain a prominent statement in the applicable non-English language, offering assistance and explaining how to obtain it. This notice should appear either at the beginning of the SPD or SMM or on its cover to ensure visibility.
Here is a sample statement, adapted from Department of Labor regulations:
This Summary Plan Description [or Summary of Material Modifications] contains a summary in English of your plan rights and benefits under the [Plan Name] Plan. If you have difficulty understanding any part of this Summary Plan Description [or Summary of Material Modifications], contact the plan administrator, [insert name or title], at [insert office location]. Office hours are from ___ to ___ Monday through Friday. You may also call [insert telephone number] for assistance.
Including an email address is recommended, although not required under the original DOL guidance.
What Kind of Language Assistance Must Be Offered?
The assistance does not need to be in writing. However, it must be “calculated to provide participants with a reasonable opportunity to become informed as to their rights and obligations under the plan.”
This generally means having a designated contact person who is fluent in the applicable non-English language and capable of explaining plan benefits and obligations clearly and accurately. Some plan sponsors may choose to translate documents as an added measure, but this is not required by law.
Additional Considerations
It’s important to remember that these ERISA language assistance rules apply only to SPDs and SMMs. Other plan‑related material (such as the Summary of Benefits and Coverage (SBC) or COBRA notices) are governed by different rules and standards when it comes to language accessibility. For instance, SBCs must be “presented in a culturally and linguistically appropriate manner.” An SBC must be offered in a non-English language to individuals in any county where at least 10% of the population in the county is literate only in the same non-English language based on U.S. Census data.
Employer Action Items
- Review participant demographics.
Determine whether your plan meets the thresholds requiring language assistance by analyzing participant data annually. - Add required notices.
If applicable, ensure your SPD and SMM include the prominently placed language assistance statement in the relevant non-English language. - Designate a bilingual contact.
Assign a fluent contact person (or service) to assist non-English-speaking participants with understanding their benefits. - Document language services.
Keep internal records of who is available to assist, what languages they speak, and how assistance is provided. - Consider written translations.
While not required, written translations of key documents can reduce errors and support better understanding. - Train HR and benefits staff. Ensure relevant personnel are aware of the language assistance requirements and know how to handle participant inquiries.
This information has been prepared for UBA by Fisher & Phillips LLP. It is general information and provided for educational purposes only. It is not intended to provide legal advice. You should not act on this information without consulting legal counsel or other knowledgeable advisors.
