The Court of Justice of the European Community gave its ruling on 25 January on the controversial proceeding promoted by 836 staff on the payroll of a British firm, whose bankruptcy in 2003 led to insolvency in relation to the pension regime applicable to former employees. The liquidation of the company’s assets created a situation whereby most of its former personnel will not be able to count on getting their full pension (calculated on their last pay cheque and financed by the firm); two former employees with a right to such a pension – who sued the British Government arguing that the legislation in force in substance permits such penalization – have even been notified that less than half of the pension to which they are entitled will be paid to them. With its sentence, the EU Court has ruled that Community legislation does not impose on member states any obligation to directly fund pension funds, further excluding the obligation for the public sector to provide the integral guarantee of its pensions. Notwithstanding, the Court in Luxembourg emphasized the social need to increase the level of protection of the rights of workers to guarantee their pension rights, for example through “an obligation for the employer to cover himself with insurance” or “the establishment of an organ of guarantee”.
