EU court says UK pension buffer system is 'inadequate' |
|
|
|
Published
:
Thu, 25 Jan 2007 12:30
|
BRUSSELS (AFX) - The European Court of Justice has ruled that the UK's pension buffer system is 'inadequate' but stopped short of saying the government should top up any shortfall.'The member states are not required to finance rights to old-age benefits under supplementary pension schemes themselves in the event of the employer's insolvency,' the court said.'Nevertheless, a level of protection of those rights such as that afforded by the UK system is inadequate,' it said.The court was ruling on a case taken by former employees of ASW Holdings PLC, which went into liquidation in April 2003, over their pensions.The pension schemes were terminated in July 2002 and are in the process of being wound up.Under UK legislation, the two claimants will receive only 20 pct and 49 pct respectively of those benefits.The court said EU law leaves member states with some latitude as to how they ensure pension protection for workers. Equally, it does not demand a full guarantee of pension rights, the court said.victoria.main@afxnews.comvm/harCOPYRIGHTCopyright AFX News Limited 2006. All rights reserved.The copying, republication or redistribution of AFX News Content, including by framing or similar means, is expressly prohibited without the prior written consent of AFX News.AFX News and AFX Financial News Logo are registered trademarks of AFX News Limited
|
|
|
|
|
|
|
| Stock
Quotes * |
|
NASDAQ
|
|
2792.28 |
22.57 (
0.81 %)
|
| SYMBOL (
2012-01-19 ) |
| LAST |
CHANGE
|
|
CARNIVAL
(
11:35am )
|
|
2017.00 |
46.00 (
2.42 %)
|
|
WHITBREAD
(
11:35am )
|
|
1662.99 |
33.99 (
2.09 %)
|
| SYMBOL (
2012-01-19 )
|
| LAST |
CHANGE
|
|
IBM
(
12:34pm ) |
|
181.50 |
0.43 (
0.24 %)
|
| SYMBOL (
2012-01-19 )
|
| LAST |
CHANGE
|
|
|
Print this Story
Pension woes are not as bad as reported, says new study 