Tuesday, October 2, 2007
The WorkplaceProfBlog updates us on a case involving Age Discrimination and Pension Plans in the upcoming Supreme Court term. It states,
The Supreme Court . . . granted certiorari in an interesting public pension plan case involving claims of age discrimination. In Kentucky Retirement v. EEOC, 06-1307:
[the] Petition involves a public employee retirement plan that includes normal and disability retirement benefits. A member who is eligible for normal retirement benefits based on attained age plus a minimum service requirement, or based on service alone, is not eligible for disability retirement benefits. Because age may be a factor in determining eligibility for normal retirement, it is an indirect factor in determining eligibility for disability retirement. Moreover, the calculation of disability retirement benefits is based upon actual years of service plus the number of years remaining before the member reaches retirement age or eligibility based on years of service alone; age may thereby be an indirect factor in determining the amount of disability retirement
The question presented is:
Whether any use of age as a factor in a retirement plan is "arbitrary" and thus renders the plan facially discriminatory in violation of the Age Discrimination in Employment Act?