Boeing to pay $57 million to settle retirement fees case
Subscribe for unlimited digital access.
Try one month for $1!
Subscribe for unlimited digital access. Try one month for $1!
Boeing Co. has agreed to pay $57 million to settle a lawsuit over fees and investment options in the company’s retirement plan.
The lawsuit alleges the Chicago-based aerospace company’s 401(k) program charged excessive fees and offered higher-cost investment options. Boeing has denied any wrongdoing.
The settlement covers Boeing workers enrolled in the program, called the Voluntary Investment Plan, between 2000 and 2006.
“This settlement is a reasonable approach to avoid the additional expense of continued litigation,” Tony Parasida, senior vice president of human resources and administration, said in a note distributed to employees Thursday. “Boeing maintains that it has prudently managed and overseen the VIP at all times.”
The settlement will come up for approval by a federal judge in southern Illinois in early 2016.
The settlement was first reported by the New York Times.