A former employee is suing Cushman & Wakefield over its 401(k) plan. The complaint alleges the plan did not protect participants from climate-linked financial risk.
Allegations Focus on One Fund Option
The plaintiff, Renee Kvek, worked at the company until 2024. She says the plan offered a single fund option in a specific category.
That option was the Westwood Quality SmallCap Fund, the filing says. The suit argues the fund carried elevated exposure to climate-sensitive sectors.
The complaint also claims the fund did not actively manage climate risk. Westwood has not provided a public comment in the material provided.
Fees, Performance, and Fiduciary Duties
The lawsuit argues the fund had high fees and weak performance over time. It also claims these issues increased the chance of deeper future losses.
The filing says this violated duties under ERISA. Those duties require plan decision makers to act prudently for participants.
The case is framed as a proposed class action. It targets decisions about what investment options were offered to workers.
Why the Case Could Matter Beyond One Employer
The claim is notable because it puts climate-related financial risk at the center. It could influence how retirement plans evaluate long-term risks.
The filing contrasts this theory with earlier disputes over ESG approaches. Those prior cases raised different arguments about political motivations.
The complaint also states the firm managed climate risk in its corporate operations. It argues that approach was not mirrored in the retirement plan.
Fidelity Named, but Role Disputed
Fidelity Investments is named as record keeper and trustee in the filing. The excerpt provided says Fidelity did not choose plan investment options.
The case was filed in federal court in Washington state. Further proceedings will determine whether it moves forward as a class action.