The Obama administration has released a new rule requiring financial advisers to work in their customers' best interests when providing guidance on investments—a move some business groups called "unworkable" and others praised as an important step in protecting retirement savings.

According to the White House, some financial advisers steer clients to retirement investment options that generate high fees for themselves or their firms but low returns for investors, costing Americans an estimated $17 billion annually.

Now the U.S. Department of Labor will require more retirement investment advisers to put their clients' best interests first by expanding the types of advice covered by fiduciary protections.

"Being a fiduciary means that the adviser must provide impartial advice in their client's best interest and cannot accept any payments creating conflicts of interest unless they qualify for an exemption intended to assure that the customer's interests are protected," the White House said in a statement.

The U.S. Chamber of Commerce was quick to issue a statement calling the rule "unworkable" and saying it would "consider every approach to address our concerns." The business group said the new rule to erect new regulatory hurdles that would make it more expensive for advisers to offer services to small businesses, and as a result many of those businesses and their employees would lose access to retirement savings options.

"For many workers, the only access to financial education is through an employer-provided retirement plan, and we will closely analyze any restrictions on an employer's ability to provide education to employees in this area," said Randy Johnson, senior vice president for Labor, Immigration, and Employee Benefits at the Chamber.

The National Association of Insurance and Financial Advisors also blasted the administration's actions, with board President Jules Gaudreau saying that small and medium investors are the "big losers under this rule."

"For the sake of future and present retirees, it is now more important than ever for members of Congress from both sides of the aisle who have already shown great concern about the DOL's actions to put aside election-year politics and pursue a legislative alternative that will ensure the best interests of retirement savers without obstructing their access to much needed advice," he said.

NAIFA's sentiment is not universal in the financial services industry. The Financial Planning Coalition—comprised of Certified Financial Planner Board of Standards, Financial Planning Association and National Association of Personal Financial Advisors—said in a statement that the rule "carefully balances needed consumer protections with preserved access to retirement advice."

"The end result is a rule that will help bring millions of Americans much closer to a secure, dignified retirement," the coalition said. "We urge Congress not to harm American investors and retirement savers by dismantling this important consumer protection."

MORE CEO DATELINE

• Construction industry groups sue OSHA over jobsite dust rule
• Destination Marketing Association International cuts nine staff
• Health care a hot topic for fly-ins this week
• Trade group CEOs meet privately with Trump
• Trucking, natural products associations announce new trade shows