Re: Company run pension status on dismissal

Hello all,

> >Without going into the details, a friend of mine has been pressured to >resign from a large financial organisation he works for, otherwise >face dismissal. He has been told by one of the managers in this >company that if he is dismissed the company can freeze and reclaim his >pension (a sizeable sum as he has worked there 6 years) so resigning >will be the best option for all. > >The pension fund in question is run by the company who have made >contributions on his behalf as part of a benefits scheme. It is under >the company name and looked after by a department within the company >but is not part of the company's core business (it is a bank, not a >pension/investment house). It is also registered as a separate entity >under the appropriate authorities. > >Withholding a pension that has been built during a number of years of >good service sounds morally dubious at best. We believe this is an >empty threat to steer him to leave with minimum fuss and the company >has no legal way to interfere with his pension. Is this correct? > >Many thanks, > >Jason.

uk.finance added for the pension threat bit.

There is actually a lot of protection afforded to employees, which most employees don't realise until they're involved in something like this. There are set disciplinary procedures which must be observed. I was also lucky in that my cheap household contents policy had full legal cover, so get him to check all his insurance policies.

The helplines and links here should get him started -

He should keep a record of all communication.

I hope he gets fair treatment.

Daytona

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Daytona
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They have to follow disciplinary procedures, but assuming they have then they may be able to strip him of his pension. Its fairly common in the public sector for people who are dismissed to lose pension rights. They get a return of contributions less tax instead.

Nebulous

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Nebulous

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