Children’s Hospital Los Angeles Hit With Retirement Plan Lawsuit

Children’s Hospital Los Angeles mismanages its employees’ retirement plan by offering a stable value fund with subpar returns and overpaying for administrative services, an employee alleged in a proposed class complaint.

The lawsuit, filed Wednesday in the US District Court for the Central District of California, says the hospital’s retirement plan lost more than $45 million by investing in a stable value fund that lagged behind similar investments available on the marketplace. The plan also paid unreasonably high fees to service providers, further draining workers’ retirement savings, plaintiff Barbara Sanchez alleged in the complaint.

• Sanchez brings claims under the ...