Albert C. McNAB, Et Al., Plaintiffs-Appellants, v. GENERAL MOTORS CORPORATION, Defendant-Appellee

Thirteen employees at General Motors' Allison Gas Turbine division sued under ERISA after GM's managers declined to include them in a discretionary early-retirement program, arguing that inconsistent selections across the company violated the plan. The Seventh Circuit affirmed the district court's ruling against the employees, holding that ERISA permits discretionary early-retirement plans and that GM's individualized managerial judgments about its "best interests" were not arbitrary and capricious. It also rejected the employees' argument that favorable departures for other workers amended the plan or entitled them to the same benefits.