One current and five former writers at the Los Angeles Times have filed a class action lawsuit in Los Angeles federal court against the Tribune Company’s Chief Executive Sam Zell and other officials. The lawsuit charges that these executives have raided the employee pension fund and have not upheld their fiduciary responsibilities to the employee stock-ownership plan.
The Tribune Company owns the Los Angeles Times, Chicago Tribune, and other media interests. Zell is ranked 158th on the Forbes’ list of billionaires in the world, with an estimated net worth of $5 billion. He also serves as chairman of the board of Equity Residential, which in 2006 compensated him for his part-time position with $3.2 million worth of options and restricted stock.
Zell’s attack on employee’s pension plans comes at a time when workers’ retirement funds are already threatened by the deepening financial crisis.
