The lawsuit claims that Abbott Laboratories violated Section 510 of the Employee Retirement Income Security Act of 1974 (ERISA). When the company terminated employees of its Hospital Products Division (HPD) and related businesses during a spin-off into a new company, Hospira, Inc., plaintiffs allege that Abbott Labs did this to prevent these employees from receiving employment benefits. Plaintiffs also allege that Abbott Labs and Hospira adopted no-hire policies. This prevented employees from transferring between the two companies for at least two years. These policies, according to the complaint, also interfere with the rights of HPD employees to receive employment benefits and, therefore, violate Section 510 of ERISA.
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