Benefits & Executive Compensation News

OSF Healthcare Settles Church Pension Lawsuit After Revival

July 31, 2020, 1:27 PM

OSF Healthcare System negotiated a settlement with workers who accused the Catholic hospital system of misusing a religious exemption in federal benefits law to underfund its pension plans, the parties told a federal judge in the Southern District of Illinois.

The deal comes one year after the Seventh Circuit revived the proposed class action, which raises claims under the Employee Retirement Income Security Act. The appeals court said the pension plan participants didn’t get a fair opportunity to conduct discovery before seeing their lawsuit rejected.

Details of the settlement will be made public in September, the parties said in...

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