Continental Tire North America Inc.

A class action lawsuit has been filed against the tire company regarding retiree medial benefits. The suit was filed in the US District Court in Ohio after Continental announced it was shifting a large part of the cost of retiree medical coverage from the company to the retirees and surviving spouses. Retirees previously received free unlimited health care, but the company plans to impose a $3,000 annual cap on benefits. Former employees allege Continental breached agreements promising lifetime health insurance coverage after the shift announcement. The retirees claim the rights to receive medical benefits were earned and vested over decades of service at Continental Tire. More than 1,000 retirees at several Continental plants may be affected.