Aon Hit With Would-be Class Suit Over 401(k) Fund Performance

Five former Aon Corp. employees filed a proposed class action Friday, accusing the professional services firm of filling their 401(k) plan with underperforming funds that drove more than $120 million in lost retirement savings.

Aon’s 401(k) plan held more than $1 billion in a pair of funds from non-party Vanguard that consistently lagged their benchmarks and other similar funds, the employees said in a complaint filed in the US District Court for the Northern District of Illinois. Aon should have swapped these funds for better-performing options, the workers alleged.

• The two-count lawsuit brings claims under the Employee Retirement Income Security ...