Friday, June 29, 2012

UNISON to ballot on Local Government Pension Scheme

Key Facts About LGPS 2014 Proposals and LGPS Members

·                     90% of members will pay the same contributions as now

·                       Nearly All part-time workers and those earning between £15,801 and £21,000 will pay less in LGPS 2014

·                     Over 55% of local government workers work part-time

·                     Only those earning over £43,001 will pay more

·                     They make up just 4% of LGPS members

·                     95.6% members earn less than £43,000 - the point at which contributions increase

·                     The LGPS 2014 will deliver a better pension than LGPS 2008 for members until 20 – 25 years of membership

·                     But the average length of membership in the scheme is just 7 years, so most members will do better in LGPS 2014
·                     From 1 April 2014 the Normal Pension Age (NPA) will be linked to the State Pension Age – which is set to rise to 68 between 2044 and 2046

·                     But many members retire before 62, the increase in NPA will not stop this.

·                     Those who have to work longer will get a bigger pension because they will be paying contributions – and benefitting from employer contributions for longer

·                     Because all earnings will be pensionable – including non-contractual overtime and additional hours for part-time workers – members will have bigger pensions than now
·                      Most UNISON members not in the LGPS give cost and low pay as the reason.  The “50/50 option” will help them to join.

Recruit and Organise - You will soon receive a recruitment leaflet based on the LGPS 2014 proposals.  PLEASE USE IT!  Many low-paid and part-time members will be able to join the LGPS for the first time because of UNISON’s negotiations – and most members will pay no more for the same – or better pension.

This is a big achievement in the face of a hostile government which wanted to end defined benefit pensions, increase contributions and worsen benefits.

Let non-members know what UNISON has done and will continue to do for our members.

(based on UNISON LGPS Campaign news 20 which I have updated a little)

Consultation is taking place until July 11 - the ballot  starts 31 July and finish 24 August.

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