The position is new. She will join Northern Trust on Aug. 24, according to an internal Northern Trust memorandum obtained by Pensions & Investments.
Ms. Bailey's departure from Mercer and her hiring at Northern Trust were confirmed Tuesday by Alayna Francis, a spokeswoman for Mercer.
Ms. Francis said Mercer plans to replace Ms. Bailey but a timetable hasn't been set. In the interim, her duties will be covered by members of Mercer's defined contribution team.
Ms. Bailey will lead Northern Trust's DC solutions team, said the memo, adding that Jim Danaher, managing director for DC solutions, had left the company.
Northern Trust spokesman John O'Connell said in an interview that the DC solutions team has been reporting to Jason Tyler, global head of client solutions. Now, it will report to Ms. Bailey, who will report to Mr. Tyler.
Mr. O'Connell added that Mr. Danaher left the company earlier this month, but he declined to comment further. Neither Mr. Danaher nor Ms. Bailey could be reached for comment.