Ian Fullalove, a pensioner in the Airways Pension Scheme (APS), has won a default judgement against British Airways (BA) to cover losses after the scheme downgraded inflation protection. The judgement was handed down came after the airline did not issue a defence and secure an extension on the 4 November deadline.
BA changed the inflation protection in the scheme when all civil service pensions moved to the consumer price index (CPI) from retail price index (RPI). Some 50 pensioners have each filed cases with the court looking for compensation after the APS changed its inflation protection stating that this action backtracks on an agreement reached in 1984 when pensioners refused the chance to move to the New Airways Pension Scheme (NAPS), in return for RPI protection.
The court ordered BA to pay Fullalove a sum of £1,200 to cover losses stemming after the switch to CPI increases from 2011 to date.