Employment Tribunal issues updated pensions guidance
Nick Jones, Head of Employment at Gregg Latchams’ Bristol office and specialising as an employment solicitor, reports on the employment tribunals’ decision to issue updated guidance on calculating claims for pension loss in employment tribunal claims.
Claims for pension loss often form a substantial amount of the overall compensation awarded in tribunal claims, especially where the Claimant, following the loss of employment, is no longer a member of a final salary or defined benefit pension scheme.
Calculating pension loss is often difficult, with several ways to approach the issue, and for several years the tribunal service has sought to provide guidance to both claimants and employers on the approach that should be adopted when calculating the loss. The intention is to save time and costs during claims and provide parties with a clear and readily understood method of approaching the calculation.
The tribunal’s guidance was last updated in 2004, but was then withdrawn in 2015 following a Court of Appeal decision that criticised that version and suggested that revised and updated guidance be produced. Following a period of uncertainty, and as a result of work by a group of Employment Judges, we have now been presented with updated guidance. This provides detailed methods of calculating the various types of pension loss, and provides clarity for those representing parties in the employment tribunals.
Here at Gregg Latchams we welcome this development, as it provides much desired clarity for those involved in employment disputes. If you have any questions regarding claims for pension loss, or on employment tribunal claims, please contact our specialist employment solicitors, Nick Jones or Cecily Donoghue.