IBM faces unfair dismissal claims

Posted 04/08/2010

Global computing firm IBM is facing action from 250 of its former employees following alleged breaches of employment law.

Solicitors in Hampshire have brought the case against the technology giant, which is believed to have forced the claimants into early retirement due to its benefits policies.

According to the lawyers, some staff were excluded from a scheme which allowed them to stay with the firm into their 50s, which meant they had to leave early in order to avoid cuts to their defined pensions.

In response, IBM said in a statement: ‘Throughout the process of changes to IBM-defined benefit pension plans – and the introduction of a new early retirement programme – IBM has consulted with relevant employees and complied with all legal requirements.’

The coalition government recently revealed that compulsory retirement at the age of 65 is to be scrapped in 2011, allowing older employees to carry on working to receive an income.