John Lewis Pension Scheme (PO-5834)

Complaint summary

Mr Dennis has complained about:

• the Trustee’s decision to alter the date on which pensions are paid and the choice of the 12th of the month as the new payment date;
• the Trustee’s stance on recovering part pension payments corresponding with periods after a member’s death.
• He asserts that the Trustee did not act within the Scheme rules when they changed the payment date and the Scheme is making unauthorised payments to the estates of some deceased pensioners.

Summary of the Ombudsman’s Determination and reasons

The complaint should not be upheld against the Trustee because:

• the Trustee has explained why they changed the payment date and the reason that the 12^th was chosen;
• Mr Dennis may disagree with the Trustee’s decision but the change was made following a valid exercise of discretion;
• the estates of deceased members are not entitled to retain pension payments corresponding to the part of the month after the member died;
• the decision to change the pension payment date took effect on 30 May 2013 at which time the Trustee had express power under the rules to effect the change;
• the Trustee has a policy of recoupment in situations where the risk arises that a payment is unauthorised and there is no evidence of payments being unauthorised.