Unions meet to ward off pension reforms
Leaders of the UK’s main trade unions will be meeting later today in an attempt to decide on a united response to the Government’s attempts to reform public sector pensions.
On Thursday the Government presented its plans for reform – which it argues are necessary to modernise the civil service’s pension arrangements, ensuring the financial sustainability of it and other public service schemes.
Under the proposals, which if approved would apply to new entrants from April 6th 2006, and to existing staff as of April 1st 2013, the pension age for civil servants would be increased to 65.
The current scheme, in which people’s pensions are based on their final year’s salary, will be replaced with a “pay as you go” scheme, in which a proportion of salary is put towards the pension each year.
Ministers though suggest that the new arrangements could be beneficial for lower earning workers and those who take time out of their careers.
Union leaders are predictably outraged by the move and the TUC public service liaison committee will be meeting on Monday to discuss their response.
Speaking before the meeting, general secretary of UNISON, Dave Prentis, said: “Our aim is to get talks going with the Government at the highest level to protect public sector pension schemes. But make no mistake – we will not sit back and allow them to tear our members’ pensions to shreds.
“Today’s meeting will decide on a united response. I know that UNISON local government members are angry about plans to rush through the changes by next April. There is no time to waste and we will start consulting our 850,000 members in local government about the possibility of industrial action next year.
“Our pensions are not gold-plated – the average pension for a local government worker is only £3,800.”
