Safeway Workers’ $8.5 Million 401(k) Settlement Hits Speed Bump

An $8.5 million class settlement resolving two lawsuits over Safeway Inc.'s 401(k) plan hit a speed bump Monday, when a federal judge in Northern California declined to sign off on the deal because of “minor deficiencies” in how class members will be notified.

The parties’ proposed notice to class members doesn’t adequately explain the right to object to the deal, Judge Jon S. Tigar of the U.S. District Court for the Northern District of California said. The notice doesn’t provide a timeline for objecting or specify whether class members can object to the attorneys’ fees awarded in connection with the ...