Published: July 29, 2010By: Walter Hamilton, Los Angeles Times
A ruling by a judge, who in one case said Edison International did ‘substantial’ harm to employees by not negotiating lower fees from the firm running the 401(k) plan, may bolster other lawsuits.
For decades, high fees have quietly but steadily eaten away at the value of 401(k) retirement plans. Now employees are making headway in legal battles to force employers to lower costs.
Employees of Edison International won a big victory this month when a federal judge ruled that the company’s 401(k) fees were excessive and said employees were entitled to recover an as-yet-undetermined amount of overcharges.
