Several ex-ASW workers were in Luxembourg for the case

In a two-hour hearing in Luxembourg before five judges, unions representing the men argued the UK Government failed to protect their savings.

More than 800 staff in Cardiff lost their jobs, and most of their pensions, when ASW folded in July 2002.

An decision on the case is not expected for several months.

The case has implications for thousands of people across the UK who lost pensions in a firm's bankruptcy.

Last week, a fund to assist people in a similar position was increased to �2bn by the UK Government.

We hope it's our last battle Ex-ASW worker John Benson

The delegation of Cardiff workers, Peter Jackson, 61, and Joe Monks, 48, and two colleagues from the ASW's other plant in Kent, were led by Michael Leahy, general secretary of the union, Community.

Following the hearing, Mr Monks said: "It's been a long, hard struggle, but we did say at the very beginning that we would go the whole hog to get justice and I think we are nearly there."

Mr Leahy said before the hearing: "Our members have endured four years of misery and despair since ASW went bust.

"Perhaps nothing could have been done to protect their jobs, but we believe that if successive UK governments had properly implemented the European Insolvency Directive - which should have been done by 1983 - their pensions would have been protected.

"They are now looking to the ECJ to end their ordeal and give them the security in retirement they saved for and were told was guaranteed."

Not retrospective

The case was brought jointly by the unions Community and Amicus.

The former steelworkers' plight led the UK Government to set up a �400m pensions protection fund to protect pension rights when a firm goes bust.

But when the new pensions bill was published, early in 2004, there was further disappointment. The legislation was not retrospective and did not help the Cardiff-based ASW workers.

In March this year, the parliamentary ombudsman said the UK Government's advice to the steel workers was inaccurate and she called on it to compensate those who lost pensions.

Then last month it was announced that the Financial Assistance Scheme to help people in a similar position would see its funds rise from �400 million to �2 billion.

'Justice we deserve'

Former ASW worker John Benson, who also attended the hearing at the court in Luxembourg, said: "We want compensating and we want compensating in full.

"We hope it's our last battle. I honestly believe that the pressure put on this government by the former ASW workers and others has made them put in all these financial assistance (schemes).