Judge Grants Preliminary Approval to $60.5 Million in Settlements in Aerospace Antitrust Class Action led by SGT Client

January 3, 2025

A Connecticut federal judge has granted preliminary approval to settlements totaling $60.5 million, resolving claims that RTX Corp.’s Pratt & Whitney division and several aerospace contractors conspired to curb competition by agreeing not to hire one another’s engineers. U.S. District Judge Sarala V. Nagala, in an order released Friday, called the proposed settlements “fair, reasonable, and adequate.” A final fairness hearing is scheduled for May 7 in Hartford, Connecticut.

The settlements include $34 million from defendant Pratt & Whitney, and an additional $26.5 million from five other contractor defendants: Agilis Engineering Inc., Belcan Engineering Group LLC, Cyient Inc., Parametric Solutions Inc., and Quest Global Services NA Inc. or their subsidiaries. Judge Nagala also certified a class of employees from these companies dating from Jan. 1, 2011, through Jan. 3, 2025. A.B. Data Ltd. will serve as the claims administrator, with Huntington Bank holding the settlement funds in escrow.

Silver Golub & Teitell LLP (SGT) partner Ian W. Sloss serves as counsel for lead plaintiff Zoe Borozny, who was instrumental in building the case. Ms. Borozny provided initial cooperation to both the U.S. Department of Defense and U.S. Department of Justice, contributing critical information that launched a robust investigation into practices that allegedly suppressed wages and limited career mobility for aerospace engineers.

The civil lawsuit grew out of the criminal investigation after indictments were filed against top executives at Pratt & Whitney and five of its contractor partners for alleged antitrust violations. Prosecutors claimed these companies orchestrated a scheme to suppress wages by agreeing not to hire one another’s aerospace engineers. Although the criminal case was eventually dismissed mid-trial, plaintiffs, including lead plaintiff Zoe Borozny, pressed forward with a civil class action to seek compensation for the engineers impacted by these alleged hiring restrictions. Should final approval be granted at the upcoming hearing, this $60.5 million resolution will mark a significant victory for workers whose career mobility has been impacted by no-poach agreements, especially those within the aerospace industry.