Pensions reform fears

Proposed pension reforms would undermine the security of final salary pensions in corporate failures and buyouts. The pensions minister, Rosie Winterton, is consulting about loosening “Section 75” regulations that compel employers to cover their pension liabilities in restructurings or demergers, paving the way for shareholders interests to win out over pension scheme members. Brendan Barber, TUC general secretary, said unions would be “extremely concerned” at any attempts to allow employers to abandon pension obligations.