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Union Fails In High Court Pension Challenge

28 September 2006

A legal challenge by Unison to a government decision to stop local authority workers retiring early on full pensions has failed in the High Court.

Public sector union Unison brought the challenge over changes to the "85-year rule", which previously allowed workers who are members of the Local Government Pension Scheme to retire early on full pensions provided their age plus years of service totals 85 years (e.g. they are 60 and have 25 years service).

The union had argued that the government was putting forward the changes in order to comply with the European Union's directive on age discrimination, but had misunderstood the directive, and produced flawed figures for the costs and benefits of the change.

However, Andrew Nicol, QC, found in the government's favour. He said the 85-year rule was discriminatory on grounds of age, but even if officials had erred in their approach to the directive, the government would have made the decision to end the rule for other reasons anyway.

Unison said afterwards its campaign had always been about "getting a decent pension scheme" and it would continue to pursue every avenue, whether "legal, political or industrial".

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