Reference: M00056
The member transferred employment on a business sale and was told in a letter from his new employer that he would get the same benefits and pay the same contributions. His former employer's scheme rules had provided that once one had 29 years service, no member contributions were payable. The joining form that the member was sent in a pack with the letter from the employer only gave the option of joining and paying 4 per cent contributions. He returned the form saying he wanted to join but would not be paying contributions. The question arose whether he had a contractual entitlement not to pay contributions.
The employer argued that the letter was ambiguous but the joining form (which contained the member's name and NI number) was quite clear, so there was no clear offer to join the scheme on a nil contributions basis. The Ombudsman agreed and said that the most the member's amendments to the joining form amounted to was a counter offer which the employer had never accepted.
