Saturday, July 02, 2011

Local Government Pension Scheme: Don't Opt Out!

A campaign is being relaunched by Local Government employers. "Don't opt out of the Local Government
Pension Scheme".

Employers are as concerned as the unions that if the Government gets away with massive rises in pension
contributions then staff will just leave their schemes.

Who can afford to pay a 50% plus increase at a time of rising inflation, VAT increases and years of no pay rises? So many people could leave that this will just mean that the schemes do become unsustainable and will eventually collapse.

The full cost of looking after these pensioners will then fall on the taxpayer. This is just crazy economics.

Well done to the West Midlands Pension fund for producing these posters. I believe they have been running this campaign for a while, since already some staff "op out" since they think that they cannot afford to join - even at current contribution levels. 

If these new proposed increases go ahead then staff will just leave in droves. 
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