U.S. Bancorp Sued Over Early Retirement Pension Calculations (1)

U.S. Bancorp shortchanges the pensions of workers who retire early by using unreasonable and “punitive” factors to calculate their benefits, three retirees told a Minnesota federal judge in a proposed class action complaint.

The lawsuit, filed Monday in the U.S. District Court for the District of Minnesota, takes aim at the early commencement factors U.S. Bancorp uses to calculate certain pensions when a worker retires before reaching age 65. Retirees say these factors are based on outdated lifespan data, and they cause retirees to receive pensions up to 40% lower than those calculated using actuarial assumptions from the Treasury Department. ...