This not unusual today as employees are watching pension funds closely and with what has been happening all over the US with pension funds, they should. IN this case the debate is over whether or not the pension fund is exempt from federal pension rules as well. Of course it would take a lot of research for Dignity to go through all the pension fund numbers and would cost money as noted below.
The employees claim the fund is short 1.2 billion in their lawsuit. Just recently Dignity settled another lawsuit below with the Feds.
Dignity Healthcare to Settle Over Charge Allegations for $36 Million Rather Than Go to Court With the Feds..
In addition to the healthcare system, Dignity also has the below relationships with Untied Healthcare, one with United Labs to where they participate in profits and supply de-identified medical records for companies like Merck and Boston Scientific to use for research.
United Healthcare Adds McLaren Care Health System Into the Shared Clarity Data Mining And Selling Venture Along With Dignity Health
This operation with Optum 360 is where Optum (United) is the controlling party with Dignity as the lesser, but it is a partnership where Optum 360 basically goes in and takes over a revenue cycling and billing operation for a hospital on an outsourced contract. BD
United Healthcare Adding Yet One More Subsidiary to the Very Large Number of Subs They Already Own/Operate-Optum and Dignity Healthcare (A System Wide Cerner EHR Client) Form New Venture Called Optum 360–Subsidiary Watch
Judge Thelton Henderson has ruled twice that the health system's pension plan is not exempt from federal pension rules as a "church plan" that falls under looser guidelines.
Yet last Wednesday, Henderson agreed with Dignity Health arguments that if the Ninth Circuit Court of Appeals reverses his rulings, "the litigation would take a decidedly different path."
The health system has argued it would cost more than $500,000 to respond to current requests for information and another "several hundred thousand dollars" in legal fees to respond to current legal motions in the case. Those are expenses that could be wasted if the rulings are overturned by the appeals court.
The lawsuit — which seeks certification as a class action — was filed in federal court April 1, 2013 on behalf of 60,000 employees at Dignity Health. It alleges the health system is underfunding its pension plan by $1.2 billion.
But Henderson notes in the ruling that evidence from Dignity Health suggests the pension plan is "adequately funded for the next decade."