Domini Social Investments will present a shareholder resolution at AT&T Corp.'s annual meeting Wednesday, seeking to restore certain pension benefits to longtime employees. The resolution asks AT&T's board of directors to offer affected employees a choice between the firm's previous defined benefit plan and its current $18.4 billion cash balance plan. "Domini is not challenging AT&T's decision to convert to a cash balance plan, but argues that the company's conversion method was selected at the expense of its long-serving employees," according to a Domini statement.
Domini, co-sponsoring the resolution with NorthStar Asset Management and members of United for a Fair Economy, holds more than 1 million shares of AT&T stock.
Dan Lawler, AT&T spokesman said when the cash balance plan was adopted, the company added special benefits that improved pensions of longtime employees an average of 25%.
