THE government has been castigated for an ‘unfair and unlawful’ response in the case of a retired firefighter left out-of-pocket when his pension entitlement was undervalued.
In a damning report, the States of Jersey Complaints Panel has criticised the failure of the Treasury Department, as well as the group responsible for administering government employees’ pension scheme, for an ‘increasing failure’ to co-operate with the panel and ignoring its recommendations.
The report considered the case of firefighter Stuart Newman, who had requested a valuation of his pension in early 2018 as he planned for early retirement after 28 years’ service.
Mr Newman’s request for a re-evaluation of his entitlement under the Public Employees Contributory Retirement Scheme was rejected by the committee responsible for managing the scheme, the report highlighted, leading to him receiving a pension that was between 10% and 20% lower than it would have been.
Panel chairman Stuart Catchpole said that the case should have been straightforward, but the committee ‘chose to dig its heels in’ and refused to re-assess Mr Newman’s case and pay him the additional amount he was due.
The committee had maintained its stance, Mr Catchpole added, that there was no documentary proof of Mr Newman’s re-evaluation request being made, even though it had accepted verbal confirmation in the case of another staff member whose line manager was a member of the committee.
Mr Catchpole concluded: ‘That is a prime example of “it’s not what you know, but who you know”
‘It is inappropriate in modern administration or policy-making and is obviously unfair and unlawful – it only serves to underline the arbitrary and unjust manner in which Mr Newman’s case has been handled.’
The panel’s report includes a series of recommendations about how the complaints process should be strengthened in future, as well as calling on the government to makeup Mr Newman’s financial loss for the ‘manifest injustice’ to which he was subjected.
Responding to the panel’s report, Treasury Minister Ian Gorst said their findings would be considered as a ‘matter of urgency’.
He added: ‘My officers in the Treasury and committee of management work hard and in good faith to administer the pensions schemes in accordance governing legislation agreed by the States Assembly.
‘I take these matters, and our responsibilities, seriously and this Council of Ministers will deliver a public services ombudsman by statute and with powers to direct.
‘I have also asked for the acceleration of proposals already being developed for the Financial Service Ombudsman to become the final level of appeal for matters reflecting to the administration of the public employees pension schemes.
‘This should replace the current, unsatisfactory system with which no-one is happy.’
Full report in Friday’s JEP.