Omaha-based Nebraska Methodist Health is facing a lawsuit from three former employees who claim the system violated pension law with excess fees and poor scrutiny of its 401(k) performance, according to a Feb. 3 Pensions & Investments report.
In addition to "unreasonable" fees and performance starting from Jan. 24, 2017, the lawsuit also alleged that plan executives breached their fiduciary duties by choosing and then retaining "the chronically underperforming Wells Fargo Target Date Funds." Wells Fargo is not a defendant in the case, the report said.
Nebraska Methodist declined to comment to Pensions & Investments. The healthcare system, which operates three hospitals that have served the Omaha area for over 120 years, had assets worth $660.8 million in its retirement plan as of Dec. 31, the report said.