Labour Court backs Siemens Healthcare pension proposal in Unite dispute

The Labour Court recommended that Siemens Healthcare implement its proposal to replace the non-contributory defined benefit pension scheme with a defined contribution scheme. It also recommended a joint review after four years of operation. The recommendation was signed on 16 December 2010. Unite the Union said the pension scheme had been a condition of employment and sought changes to the funding arrangement. The company said accrued benefits would be preserved in a frozen scheme and that the changes were in workers’ interests. The Court said it could not assess the union’s proposed funding ratio because its history and practical effect were unclear; most affected employees had already joined the new scheme.