First Union’s fiduciary committee today hired William M. Mercer as its consultant, subject to the execution of final contracts, primarily to advise it on investments in its $3 billion 401(k) plan.
First Union, Charlotte, N.C., agreed to hire one of three consultants as part of a $26 million settlement agreement expected to end lawsuits filed by former and current participants in its 401(k) plan; the other two consultants are Ennis Knupp and Wilshire.
Mercer’s first task will be to review the nine all-proprietary investment options in First Union’s plan with a view to recommending non-proprietary investment choices, according to the settlement agreement. A final hearing is scheduled for June 13 in U.S. District Court in Richmond, Va.