Tag Archive: pension

Reform of the German Occupational Pension Act (“Betriebsrentengesetz”)

Effective January 1, 2018, the German Occupational Pension Act will be reformed by the Act to Strengthen Occupational Pensions (“Betriebsrentenstärkungsgesetz“), adopted by the German Parliament on 1 June 2017. In 2002, the German legislator issued a difficult challenge to the area of occupational pension provision with the introduction of the so-called “Riester Reform”. Together with …

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Occupational Pensions: Free bus ticket for wife to be considered as pension

By judgment of 23.06.2017 (6 Sa 173/17) the Regional Labour Court of Düsseldorf has ruled that with regard to the period from which the employee receives a pension, a free bus ticket provided by the employer to the employee’s wife is to be considered to be an occupational pension and therefore cannot be revoked. The …

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Are workers in minor employment entitled to occupational pensions?

In an interesting appeal to the Federal Labour Court (docket number 3 AZR 83/16) the services trade union ver.di had been called upon by a female employee – who had originally been employed by the union Deutsche Postgewerkschaft since 1991 and had been working for the defendant since its merger with ver.di in 2001 – …

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No cake for company pensioner

The Labour Court Cologne (Arbeitsgericht, ArbG, Köln, November 24, 2016 – 11 Ca 3589/16) has dismissed the claim of several company pensioners against their former employer, a local food producer. The pensioners claimed a Christmas allowance in the amount of € 105 and a marzipan cake. The pensioners alleged that all company pensioners received those benefits …

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Interpretation of invalid works agreements as “individual pension grants with collective nature”

The German Federal Labour Court has ruled that a legally invalid works agreement on pensions can be interpreted as ” individual pension grants with collective nature” (“Gesamtzusage”). This is in accordance with sec. 140 of the German Civil Code (German Federal Labour Court – Bundesarbeitsgericht, 23 February 2016,  ref.no. 3 AZR 960/13). The court had to decide …

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A company’s early retirement scheme does not constitute discrimination under the Equal Treatment Act

The Federal Labour Court (BAG) ruled in March (docket no.: 8 AZR 677/14) that a company’s early retirement pension scheme does not violate the German Equal Treatment Act if the employee is free in his decision to accept the offer. In this case the employer offered within early retirement scheme which provided that the employee …

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“Late marriage” clause in pension schemes is an age discrimination

A “late marriage” clause that requires for payment of the survivor’s pension that the employee, entitled to pension benefits, was getting married before reaching the age of 60 is invalid according sec. 7 para. 2 of the General Equal Treatment Act (AGG). This was decided by the Federal Labour Court (Bundesarbeitsgericht, BAG) on 4 August …

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Good news for company lawyers

On 1 January 2016, the law on reforming the rights of company lawyers (Syndikusrechtsanwälte) came into force. The reform will enable company lawyers to remain in the lawyer’s occupational pension insurance (Versorgungswerk), ie entitle them to be exempted from the statutory pension scheme. By this law, the legislator has corrected the decision of the Federal …

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Pension Indexations and Intra-Group Transfer Price Agreements

An employer who is in a favorable economic position must adjust ongoing pensions despite the fact that he is tied to a transfer price agreement within the group which is partially the source of his profits. This was decided by the Federal Labour Court (Bundesarbeitsgericht, BAG) on 10 February 2015 (ref.no. 3 AZR 37/14). The …

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Replacement of Individual Pension Grant by Works Agreement Containing New Pension Plan

The  Federal Labour Court (Bundesarbeitsgericht, BAG) ruled on 10 March 2015 (ref. no. 3 AZR 56/14) that even individual pension promises are subject to modification by a works agreement as long as they contain some element of collective nature. The parties disputed if the replacement of a pension plan initially stemming from the year 1976 …

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