The District and Circuit Court Decisions are summarized below. Downloadable pdfs of court documents are available by clicking in the sidebar to the left.
- On May 15, 2009, the United States District Court for the District of Columbia ruled that Hilton Hotels did not comply with the benefit accrual rules or the vesting rules under ERISA for determining retirement benefits. The Court ruled that Hilton Hotels had been “backloading” benefit accruals so the benefits earned in the initial years of employment with Hilton were too low. The Court also ruled that Hilton had not properly counted certain periods of employment with Hilton in determining whether employees had enough years of service for a vested right to a pension benefit as required by ERISA. (34 pages)
- On August 31, 2011, the District Court further ruled that Hilton Hotels must pay increased benefits to close to 23,000 vested class members and identified over 700 additional individuals who must be vested. Certain other employees were sent notices about claiming additional vesting service. (20 pages)
- On December 14, 2012, the United States Court of Appeals for the District of Columbia Circuit affirmed the District Court’s decisions on Hilton’s violations of the “backloading” and vesting rules and the remedies for those violations. (16 pages)