NEW YORK, Sept 2 (Reuters) - Colgate-Palmolive ( CL )

agreed to pay $332 million to settle a long-running class-action

lawsuit accusing the consumer products company of making

mistakes in calculating its employees' pensions.

A preliminary settlement covering 1,177 employees was filed

on Friday night in Manhattan federal court and requires a

judge's approval. Employees would receive about $232.7 million

after lawyers' fees and expenses are deducted.

The case had its origins in 1989, when Colgate converted its

pension plan to a cash balance plan and let participants receive

benefits in lump sums.

Colgate amended its plan in 2005 to retroactively award

annuity payments to participants who received lump sums but had

not received the full value of their benefits. The plaintiffs

said Colgate erred in calculating those payments.

Litigation over Colgate's pensions began in 2007, and

Friday's settlement addresses a lawsuit filed in 2016.

Colgate denied wrongdoing and said it settled to avoid the

risk and expense of more litigation. It did not immediately

respond to a request for comment.

The New York-based company set aside money for the

settlement in the first quarters of 2023 and 2025.

Other Colgate brands include Hill's Pet Nutrition, Irish

Spring, Speed Stick, Lady Speed Stick, and Tom's of Maine.

The case is McCutcheon et al v. Colgate-Palmolive Co ( CL ) et al,

U.S. District Court, Southern District of New York, No.

16-04170.