UK - IBM scheme members have decided not to appeal an ombudsman determination that rejected their claims that the computer giant had unlawfully cut their pensions.
The Association of Members of the IBM UK Pension Plan said an appeal on some of the decisions made by David Laverick would be difficult because the determination had taken an “unreasonable view” that was based on an “incorrect view of the law”.
AMIPP members had complained that the firm failed to increase pensions in payment in line with inflation, despite earlier assurances it would keep benefits competitive with industry standards.
They say the “broken promise” reduced the expected pensions of some members by up to a third.
However, Laverick found in his 67-page decision there was “no possibility of legal redress” for the companies.
AMIPP chairman Brian Marks said: “An appeal would not have given the complainants a ‘level playing field’ because a determination can only be appealed on a point of law.
“We would not have been able to raise again matters in our favour which the ombudsman chose to ignore, such as pre-1995 activity.”
AMIPP has written to MPs in a bid to prevent a similar situation occurring again.
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