IBM Corp. Appeal Granted

In 1999, IBM decided to switch its pension coverage to a cash-balance plan which called for all employees to receive the same pay credit of 5% and interest credit each year regardless of their age. An age discrimination class action lawsuit was filed on behalf of 140,000 older IBM employees claiming the computer company's pension plans favored young workers. In 2003, a federal judge ruled in the favor of the plaintiffs. IBM simultaneously filed an appeal with the 7th US Circuit Court of Appeals. The federal appeals court has ruled in favor of IBM. (Aug-08-06) [THE JOURNAL NEWS]