Court Deals Pensions Blow To Older IBM Workers - 08/09/06

By Doug Cunningham

Older workers at IBM trying to defend their full earned pensions have been dealt a blow by an Illinois federal district court. The court has sided with IBM, finding that the company did not break age discrimination laws when it changed its pensions to cash balance plans in the ‘90’s, slashing benefits for older workers. Linda Guyer, president of the CWA affiliated Alliance At IBM says this case demonstrates why workers need pension benefits spelled out in union contracts. Kathi Cooper, the 55 year old IBM worker who started the class-action lawsuit says she’s already being encouraged by IBM workers to keep fighting all the way to the Supreme Court.