July 10 (Reuters) - AT&T ( T ) agreed to pay $184.1 million
to settle a lawsuit accusing the telecommunications company of
shortchanging about 300,000 current and former employees out of
pension payments, court papers show.
* A preliminary settlement of the proposed class action was
filed on Thursday in San Francisco federal court, and requires a
judge's approval.
* AT&T ( T ) was accused of violating the federal Employee
Retirement Income Security Act of 1974, or ERISA, by failing to
provide pension payments to married workers that were the
"actuarial equivalent" of payments to single workers.
* Employees said the Dallas-based company used mortality
data that were decades out of date to calculate payments,
causing married workers to receive less.
* According to settlement papers, employees would receive
$149.1 million of additional pension benefits, including $113.5
million for retired employees and $35.6 million for current
employees. Their lawyers may seek up to $35 million to cover
legal fees and costs.
* The lawsuit began in October 2020.
* AT&T ( T ) denied wrongdoing in agreeing to settle. In a
statement, AT&T ( T ) said it settled to avoid the expense and
distraction of prolonged litigation, and is committed to
following the law in administering its pension benefit plan.