Dismissal of the appeal by the Federal Social Insurance Office against the maintenance of supplementary benefits for a recipient of a half-disability pension

Facts

Jacqueline L., born in 1939, has been receiving a half-disability pension (AI) with a disability rate of 50% since 1962. She has also received supplementary benefits since 1979. In 1988, the Vaud Cantonal Compensation Fund reduced the amount of these supplementary benefits by taking into account a hypothetical income from gainful employment of the insured person, in accordance with Article 14a of the Ordinance on Supplementary Benefits (OPC) which entered into force on January 1, 1988.

Jacqueline L. appealed against this decision, obtaining a favorable judgment from the Insurance Court of the Canton of Vaud. The Federal Social Insurance Office (OFAS) then filed an administrative appeal with the Federal Insurance Court.

Considerations

The Federal Insurance Court dismisses the OFAS appeal. It considers that the previous case law prior to the entry into force of Article 14a OPC remains valid. Thus, for a recipient of a half-disability pension, it is necessary to examine whether they are actually able to exploit the remaining earning capacity recognized, also taking into account factors unrelated to the disability, such as age, training or personal circumstances.

The Federal Court acknowledges that the schematic regulation of Article 14a OPC aims to simplify the work of the administration, in the interest of the insured persons. However, this simplification cannot justify the abandonment of the previous case law, which allows taking into account the…