According to komonews.com on 8/27/10, Coca-Cola canceled the employees' health care plan one day after the employees began a strike. The employees, members of various Teamsters chapters, walked off the job, saying Coca-Cola did not bargain in good faith. The ERISA lawsuit alleges that the employees' health care was canceled through the end of August, even though premiums had already been paid.
A spokesperson for Coke told KOMO News that the health care was canceled because striking workers are not eligible for the benefits while they refuse to work for the company. He further said that no medical deductions would be taken from the next paycheck.
Employees say Coke is trying to get rid of health care for retirees and also trying to raise health care premiums by 800 percent, according to KOMO News.
A week after workers walked off the job, they returned to work in a show of good faith, but the union has said it does not plan to drop its lawsuit.
Meanwhile, a federal district court has given final approval to a settlement involving Caterpillar Inc. The lawsuit alleged that Caterpillar 401(k) plan participants paid excessive fees for four benefits plans.
READ MORE EMPLOYEE STOCK OPTION LEGAL NEWS
In a different lawsuit, a man who was fired from his employment will receive $3 million in benefits after he was refused severance. The Star-Ledger reported on 9/02/10 that Robert Howley was refused severance because the new owner of the company promised him a similar job. One day after the sale went through, Howley was fired by the new employer. He went to his original employer for severance and was refused.
Howley's lawsuit claimed his previous employers violated ERISA and evidence was shown that managers for the original employers gave the buyer a list of 100 employees who could be fired immediately after the sale went through without business being harmed. A judge agreed with Howley, awarding him the benefits he should have received since his firing.