In this round-up
Mistakes in communications – What happens
if you misinform your employees or members about their pension
rights?
Ill health cases – Employers and trustees
must follow procedures scrupulously
Overpayments – The Ombudsman allows
wrongful payments to be recovered from members
Mistakes in communications
Giving incorrect information to a pension scheme member about
their benefits can be a serious mistake. If the member relies on
the information to their detriment, the Pensions Ombudsman may be
prepared to require the employer and trustees to honour the
incorrect quotation. On the other hand, not all miscommunication
cases are equal. In particular, the Ombudsman will generally award
only nominal compensation where the member cannot show that s/he
has relied detrimentally on the incorrect information.