Contact: Nick Weaver, (01962 847568) email: [email protected]

1 Summary

1.1 This report updates the Panel on progress in resolving pension claims from part-time workers in the Local Government Pension Scheme (LGPS) since the last report presented to its meeting on 17 November 2006.

2 Recommendation

That the report be noted.

3 Background

3.1 Employees working less than 30 hours per week were excluded from the LGPS until 1 April 1986. From that date, part-time workers could opt into the Scheme if they worked at least 15 hours a week and 35 weeks a year. On 1 January 1993, the requirement to work a minimum of 15 hours a week was removed, and on 1 May 1995 the need to work at least 35 weeks a year was also dropped.

3.2 In 1994, the European Court of Justice ruled that the exclusion of part-time workers from pension schemes was sexual discrimination, in contravention of the Treaty of Rome and the Equal Pay Act 1970. The House of Lords subsequently heard a number of test cases in the UK, and then sought further guidance from the European Court in May 2000. The advice from the European court was as follows:

· Claims for retrospective admission to pension schemes had to be made within six months of the termination of employment.

· Former and current part-time workers could claim retrospective admission to schemes from April 1976, the date of an earlier European Court judgement.

3.3 The House of Lords accepted these rulings.

4 Current position

4.1 At the outset of the financial year 2007/08, there were 31 claims on the Hampshire Pension Fund which were still active and 51 Teachers' Pension Scheme claims.

4.2 Following the successful outcome of a key test case and subsequent successful applications, the number of claims on the Hampshire Pension Fund has now been reduced to 18. (There remain 50 Teachers' Pension Scheme claims.)

4.3 No cost was incurred by the Hampshire Fund for the 13 cases disposed of in 2007/08.

4.4 Legal Practice anticipate that claims against the Fund are likely to be resolved successfully in the financial year 2008/09.

Section 100D - Local Government Act 1972 - background documents

The following documents discuss facts or matters on which this report, or an important part of it, is based and have been relied upon to a material extent in the preparation of this report.

NB: The list excludes:

None.