JPMorgan Pension Plan Formula Draws Proposed Class Lawsuit

A JPMorgan Chase & Co. retiree says the bank’s pension plan includes an undisclosed “wear-away” feature that forces employees to work for years without earning additional benefits, according to a proposed class action filed Friday in Manhattan federal court.

Joseph Pessin, a 30-year veteran of JPMorgan and its predecessors, claims the bank’s pension plan effectively froze certain workers’ benefits as of 2003, causing them to work for a decade or more without accruing any additional pension benefits. JPMorgan failed to properly disclose this fact to workers, sending annual benefit statements that showed their account balance growing, according to Pessin.

Pessin ...