Former employees of Gillette Caribbean Ltd. scored a major victory yesterday when the Court of Appeal ruled that the $42 million surplus in the pension fund must be shared equally between Gillette and all contributors to the fund.

The pension scheme which was administered by Life of Jamaica was discontinued in December 2001.The Supreme Court was asked to determine how the surplus should be distributed.

surplus for all

Justice Brooks ruled that the surplus should go to all the employees at the time of the discontinuance and those who were entitled to receive pension benefits. The judge said those who received their benefits and left before the discontinuance of the scheme were not entitled to the surplus.

Attorney-at-law Wentworth Charles, who represent two employees who were employed to the company at the time the scheme was discontinued, said those employees would be taking the case to the United Kingdom Privy Council. Mr. Charles had argued that those who took their contributions and left before the scheme was discontinued were not entitled to the surplus.

Lord Anthony Gifford, Q.C., and attorney-at-law John Graham, who represented the employees who were not employed to the company at the time the pension scheme was discontinued, had argued that all contributors were entitled to the surplus.

The Court of Appeal, comprising Justice Paul Harrison, (retired President of the Court of Appeal) Justice Karl Harrison and Justice Horace Marsh (acting), agreed with their submissions. The court ruled that the surplus should be apportioned 50 per cent to the company and 50 per cent to all contributors based on Rule 12 of the Pension Fund.