The
Trustees of most occupational pension
schemes (or scheme administrator for public
sector schemes) must have in place a formal complaint
procedure, known as the Internal Dispute Resolution Procedure
(IDRP). The IDRP gives "prescribed persons" the opportunity
to formalise their complaints about the Trustees and the
administration of the scheme, their membership and their retirement
benefits.
"Prescribed persons" are:
- members (i.e. active, deferred and pensioner members);
- surviving spouses and dependants of deceased members;
- employees eligible to become members at the employer's consent
or otherwise;
- employees serving a waiting period;
- people who ceased to be in any of the above categories;
and
- people claiming to be in one of the above categories.
The Trustees can put a time limit on a 'prescribed person' using
the IDRP. This can be any reasonable period. However,
for those in category 5 above, the time limit is six months from
the date they ceased to be a member or a beneficiary.
The Trustees should acknowledge receipt of your IDRP
application. At the same time, they should advise you that
TPAS is available to assist members and beneficiaries of the scheme
in connection with any difficulties.
The Trustees can choose whether to have a one- or two-stage
process.
One-stage process
The complaint must be considered by the Trustees. They
must issue a formal response within a reasonable time period,
defined by the Pensions Regulator as 4 months from the date of
receiving the application. The complainant must be notified
of the Trustees' decision within 15 working days of the decision
being made.
The Trustees must advise the complainant about the services of
TPAS and the Pensions Ombudsman in the formal
response.
Two-stage process
A 'specified person' is appointed by the Trustees to consider
the complaint at the first stage. The 'specified person' is usually
the Pensions Manager or Secretary to the Trustees but can be
anyone.
The 'specified person' must issue a formal response within a
reasonable time period, defined by the Pensions Regulator as 4
months from the date of receiving the application. The
complainant must be notified of the Trustees' decision within 15
working days of the decision being made.
The 'specified person' must advise the complainant about how to
invoke the second stage of the IDRP and also about the services
of TPAS and the Pensions Ombudsman and in the formal
response.
If the complainant is not happy with the specified person's
decision, they can invoke the second stage of the IDRP. The
Trustees will define the time limit for this. It is usually 6
months from the date of receiving the specified person's
decision.
The second stage is dealt with by the Trustees. Again, the
Trustees must issue a formal response within a reasonable time
period, defined by the Pensions Regulator as 4 months from the date
of receiving the application. The complainant must be
notified of the Trustees' decision within 15 working days of the
decision being made.
Using TPAS and the Pensions Ombudsman
You may contact us for advice at any stage during the
procedure. However, the Pensions Ombudsman cannot consider a
complaint against the Trustees until the IDRP has been
exhausted.
Exemptions
The IDRP does not apply if:
- the scheme is exempt from the requirements (i.e. there are less
than two members in the scheme or all members are trustees);
- you are not a prescribed person (as defined above);
- your dispute is not with the Trustees;
- your dispute is the subject of proceedings that have already
started in any court or tribunal; or
- a notice of appeal has been issued by you in accordance with:
- regulation H2 of the Police Pensions Regulations 1987 (appeal
to board of medical referees);
- rule H2 of Schedule 2 to the Firemen's Pension Scheme Order
1992 (appeal against opinion on a medical issue);
- rule 2 of Part 6 of Schedule 1 to the Firefighters'
Compensation Scheme (Scotland) Order 2006 (appeal to medical
referee);
- regulation 31 of the Police (Injury Benefit) Regulations 2006
(appeal to board of medical referees);
- rule 2 of Part 6 of Schedule 1 to the Firefighters'
Compensation Scheme (England) Order 2006 (appeal to medical
referee);
- regulation 72 of the Police Pensions Regulations 2006 (appeal
to board of medical referees);
- rule 4 of Part 8 of Schedule 1 to the Firefighters' Pension
Scheme (England) Order 2006 (appeals against decisions based on
medical advice);
- regulation 31 of the Police (Injury Benefit) (Scotland)
Regulations 2007 (appeal to board of medical referees);
- rule 4 of Part 8 of Schedule 1 to the Firefighters' Pension
Scheme (Scotland) Order 2007 (appeals against decisions based on
medical advice);
- regulation 72 of Part 7 of the Police Pensions (Scotland)
Regulations 2007 (appeal to board of medical referees);
- rule 4 of Part 8 of Schedule 1 to the Firefighters' Pension
Scheme (Wales) Order 2007 (appeals against decisions based on
medical advice); or
- rule 2 of Part 6 of Schedule 1 to the Firefighters'
Compensation Scheme (Wales) Order 2007 (appeal to medical
referee).
Q & A's
Since 1997, the Pensions Act 1995 has required occupational
pension scheme Trustees and scheme authorities to make and
implement arrangements for resolving disputes between themselves
and 'prescribed persons' (as defined above).
The IDRP is for complaints against the Trustees by 'prescribed
persons'. A prescribed person is:
- a member (active member, someone with deferred benefits, a
pensioner);
- a surviving spouse and dependant of a deceased member;
- an employee eligible to become a member at the employer's
consent or otherwise;
- an employee serving a waiting period;
- a person who ceased to be in any of the above categories within
6 months before applying for a decision; and
- a person claiming to be in one of the above categories.
You can obtain a copy of the IDRP from your scheme administrator
or the Trustees. The procedure will tell you who you need to
write to. You might be required to complete a form or to submit
your complaint in a specified format.
You can invoke the IDRP yourself or, if you would prefer, act
through a nominated representative (e.g. a friend or a union
official). Personal representatives may act on behalf of a
complainant who dies. A family member or other suitable person can
act for a child or other person incapable of acting for
himself.
The IDRP can be a one- or two- stage process.
Under each stage, you will be required to submit a formal
written complaint to the appropriate person (either a specified
person or the Trustees). You should receive a decision on
your case within a reasonable period, normally no more than four
months.
You will be given instructions on what to do next. If it
is a two-stage process, you will be given a time limit on invoking
the second stage. You will also be advised about the services
of TPAS and the Pensions Ombudsman.
No, the IDRP does not apply if:
- the scheme is exempt from the requirements (i.e. there are less
than two members in the scheme or all members are trustees);
- you are not a prescribed person (as defined above);
- your dispute is not with the Trustees;
- your dispute is the subject of proceedings that have already
started in any court or tribunal; or
- a notice of appeal has been issued by you in accordance with:
- regulation H2 of the Police Pensions Regulations 1987 (appeal
to board of medical referees);
- rule H2 of Schedule 2 to the Firemen's Pension Scheme Order
1992 (appeal against opinion on a medical issue);
- rule 2 of Part 6 of Schedule 1 to the Firefighters'
Compensation Scheme (Scotland) Order 2006 (appeal to medical
referee);
- regulation 31 of the Police (Injury Benefit) Regulations 2006
(appeal to board of medical referees);
- rule 2 of Part 6 of Schedule 1 to the Firefighters'
Compensation Scheme (England) Order 2006 (appeal to medical
referee);
- regulation 72 of the Police Pensions Regulations 2006 (appeal
to board of medical referees);
- rule 4 of Part 8 of Schedule 1 to the Firefighters' Pension
Scheme (England) Order 2006 (appeals against decisions based on
medical advice);
- regulation 31 of the Police (Injury Benefit) (Scotland)
Regulations 2007 (appeal to board of medical referees);
- rule 4 of Part 8 of Schedule 1 to the Firefighters' Pension
Scheme (Scotland) Order 2007 (appeals against decisions based on
medical advice);
- regulation 72 of Part 7 of the Police Pensions (Scotland)
Regulations 2007 (appeal to board of medical referees);
- rule 4 of Part 8 of Schedule 1 to the Firefighters' Pension
Scheme (Wales) Order 2007 (appeals against decisions based on
medical advice); or
- rule 2 of Part 6 of Schedule 1 to the Firefighters'
Compensation Scheme (Wales) Order 2007 (appeal to medical
referee).
You may contact the Pensions Advisory Service for advice at any
stage during the procedure. Our only requirement is that you have
raised your dispute in writing with the Trustees before writing to
us. Our adviser will assist you through and, if necessary, beyond
the process. Ultimately you will have the right to refer the matter
to the Pensions Ombudsman.
