UNISON

ANNUAL GENERAL MEETING

This year’s Annual General Meeting is taking place at

6pm on Wednesday 7th March in the
Council Chamber, County Hall.

Please see important meeting dates for more information

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LATEST NEWS ON PENSIONS CAMPAIGN

UNISON DECIDES TO
PROCEED WITH NEGOTIATIONS OVER THE LOCAL GOVERNMENT PENSION SCHEME FOR ENGLAND AND WALES

10 January 2012 saw each of the Service Groups covered by the LGPS meeting to take a decision over whether UNISON should proceed with negotiations over the LGPS on the basis of the principles and timetable agreed with the Local Government Association (LGA) on 21 December 2011. Those Service Groups are Local Government, Higher Education, Water, Energy and Transport (WET), Community and Police and Justice.

The day began with a ‘Pensions Summit’ covering all of UNISON’s sectors for Regional Convenors, SGE Chairs and other key activists and UK and Regional staff. General Secretary Dave Prentis congratulated activists on the day of action on 30 November and the high levels of recruitment that have accompanied the dispute.

Dave highlighted the fact that UNISON remains in dispute with the Coalition over its attacks on our pensions and that the ballot is still ‘live’. We will not have to re-ballot at the end of negotiations if they fail. Any decision on final proposals in either the NHS or LGPS will be a decision for members, through an all-member ballot. If proposals are rejected, members will be asked whether they want to take further industrial action. Dave also made it clear that there will be lay member involvement in future negotiations.

Glyn Jenkins, Head of Pensions, made a presentation on Career Average (CARE)
schemes, which highlighted that CARE schemes can deliver the equivalent of
final salary schemes. The important factors in the pension are the accrual rate
and the revaluation rate.

Key points on the LGPS principles

The SGE’s met together for a briefing on the LGPS principles and timetable before
separating to discuss a common motion agreed through the Service Group Liaison
Committee. Those principles were sent out in LGPS Issue no. 9 and can be accessed at http://www.unison.org.uk/acrobat/LGPS_PoP_Campaign9.pdf

 

Heather Wakefield, Head of UNISON’s Local Government, Police and Justice Service Group made the following key points in the joint briefing:
The 30 November action had had a major impact on the outcome of the talks with the
government on the ‘big ticket’ issues and with the LGA on the principles and
timetable for specific LGPS negotiations

• UNISON’s ballot results had led to the government coming forward with the ‘Reference Scheme’ which contained full protection for those within 10 years of
  retirement, plus a further 3.5 years tapered protection
• This is additional to the protection of pension based on final salary at the date of retirement in existing schemes
• It also confirmed a 1/60 accrual rate – which has since been improved on in
  negotiations on the NHS, Teachers and Civil Service schemes
• The 30 November action had created consensus within the LGA that there should be no change in the LGPS until 2014
• It also led to agreement by the government to the LGPS unions and employers
  negotiating a ‘single solution’ to savings and the new scheme from 2014
• The action also led to an agreement by Eric Pickles, Secretary of State at the Department for Communities and Local Government (DCLG), that the formal consultation on the £900 million ‘savings’ the Coalition wants to make will be suspended while negotiations take place 
• If this had not been agreed, we would have had changes to the contribution and accrual rate from 1 April 2012 and an imposed framework for the new scheme from 2014 
• If this had not happened, we would have entered negotiations on the new scheme going forward from 2014 on the basis of higher contributions and a worse accrual rate, which would have been difficult to reverse 
• The principles are based on an agreement that there should be no contribution increases for all – or the majority of LGPS members 
• They include retention of Admitted Body Status. This is crucial since 25% of
  existing LGPS members are employed in Admitted Bodies and there will be more in future
• There is a further principle which makes it clear that the LGPS should retain its current value and its value relative to other public sector schemes
• Although linked to the State pension Age (SPA), the LGA agrees with UNISON that the early retirement factors should be improved in the new scheme from 2014 to reduce the impact of a later Normal Pension Age (NPA)

   

SERVICE GROUP EXECUTIVE DECISIONS

Each of the LGPS Service groups met after the briefing and considered the following motion from the Service Group Liaison Committee:

“This SGE applauds the action taken by UNISON members and other public service trade unions on 30 November 2011 to force the government into serious negotiations
over public sector pensions. We also note that the results of UNISON’s ballot resulted in the improved Reference scheme/offer from the government.

 

This SGE notes that the action has given rise to the potential for detailed LGPS
negotiations directly between the unions and the Local Government Association
(LGA) which recognise the unique features of the LGPS and its membership.

We also note that those negotiations would take place on the basis of no change until 2014 and suspension of the formal DCLG consultation over employee contribution
increases and accrual rates, the outcome of which will otherwise be implemented
on 1 April 2012.

This SGE recognises that UNISON is still in dispute with the government and employers and that our ballot results are still ‘live’.

This SGE agrees:

 

1. To enter into detailed negotiations with the LGA to further pursue our campaign objectives
2. To reserve our position on the detail of the LGPS principles and timetable until firm proposals emerge from the negotiations
3. To ensure lay member involvement directly in those negotiations

 

1. To establish a cross-Service Group lay member liaison group to support the negotiations comprised of Chairs and Vice Chairs or their nominees
2. To ensure that regular consultation and communication take place throughout the negotiations with this SGE, other SGEs covered by the LGPS, Regions, branches and members

 

1. To continue and intensify our campaigning activity to strengthen our hand in the negotiations, including informed and widespread lobbying of MPs and councillors and activities to highlight the impact of any changes to the LGPS on the standard of living of our members
2. To hold an all-member ballot of our members on any final package of proposals on the ‘Big Ticket’ items that would make up the design of the new scheme

 

1. That industrial action remains an option if negotiations fail”

   

SGE’s vote ‘yes’

Each of the LGPS Service Groups overwhelmingly agreed the proposed motion. The Highe Education SGE made two amendments relating to the State Pension Age and CARE which will be reflected in the negotiations.

 What happens next?

Negotiations now start in earnest! There will be weekly talks with the LGA until April.
Chris Tansley, Chair of the Local Government SGE will be involved in the
negotiations and there will be a lay member group comprised of representatives
of each of the LGPS Service Groups to support and advise the negotiators.

There is ample time built into the timetable for negotiations to consult members on
progress. There will be regular communication with members and pension contacts
through SGE’s and sector committees, this newsletter, the web site and regional
forums and committees. It is important that activists and pension contacts talk to members – and non-members – about
the negotiations and continue to recruit to UNISON.

 

Information on the framework for negotiations

The negotiations will follow an agreed plan and timetable. The documents outlining
this framework will be public documents and will be posted on the LGA’s LGPS
website and on UNISON’s websites in the near future.

Carry on organising!

Although we have a positive framework for the negotiations, they are just beginning and we need to show the government and the LGA that we are still angry, are still in
dispute and expect a positive outcome for our members. We will be asking
sympathetic MP’s and councillors to keep up the pressure in Parliament and
within the LGA.

We will be producing model letters to make our position clear to councillors and MP’s, who tell us that they have received very little correspondence on the LGPS during the dispute. We will be asking Regions, branches and activists to organise letter-writing sessions to get as many members as possible to make UNISON’s position clear during the negotiations.

We will also be making links between our pay and cuts campaigns and the LGPS. Less pay means less ability to pay for pensions and fewer jobs means reduced costs for
employers, so there is a clear link.

There is still a massive opportunity to organise and recruit members and stewards to UNISON. We need more and more members to show the employers that we have got the industrial strength to resist attacks on pensions, pay, jobs and conditions. So carry on organising!

Getting the views of members not in the LGPS

We are soon intending to carry out a short, on-line survey of members not in the LGPS to see why they haven’t joined and what would make them join. Keeping membership high will be crucial to our ability to retain the scheme and keep members’ contributions as low as possible in the long-term. We will let you know when the survey is ready. Please encourage non-LGPS members to complete it.

Want to be a pensions contact or steward?

If you would like to be a UNISON pension contact or steward, please let Indira Patel, i.patel@unison.co.uk have your name and details, including membership no. so that we can add you to our mailing list

Pass this newsletter far and wide!

Finally, please share this newsletter with as many members as possible to let them know how UNISON is still fighting and negotiating to protect the LGPS…..

 

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A BIG THANK YOU

 TO ALL THOSE MEMBERS WHO SUPPORTED THE DAY
OF ACTION ON 30^TH  NOVEMBER AND HELPED MAKE IT A SUCCESS

If anyone took pictures on the day please could you let us have them so we can put them on our website.

Our show of strength and unity had the effect that was intended on the ministers and has made them engage in serious negotiations on public service pensions.

The negotiations are continuing and will carry on right up to Christmas and beyond.

Events can change rapidly in these talks, so keep checking the national website www.unison.org.uk for up-to date information on how they are progressing.

Also a reminder that those of you who took strike action can buy back the pension contribution for the day you missed.  There is a form on the ECC Intranet under Working Here/Strike Action Guide.  If you cannot access the Intranet you will need to ask your HR department.

 Babs Whitfiled

Branch Secretary

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UNISON branch rejects ECC’s

 view on the Pensions Dispute.

Your employer says reform is the best way forward and it’s a widely held view - UNISON asks by whom.  Perhaps by the bankers who want us to pay for their mess? How does taking £900 million from the LGPS amount to reform!  Please read information provided on this page and decide for yourself.  Your employer also asks you to consider the consequences for vulnerable customers.  Coming from a council that is making 1000′s of staff redundant and doing away with front line services this is a bit rich! None the less during a strike UNISON will negotiate exemptions if there is any threat to vulnerable people – your employer knows this and  it is disingenuous to claim otherwise. 

So vote YES! VOTE to protect your pension

 

Vote ‘YES’ national advertising

Adverts will be appearing in the national papers and a package of regional press this week.

The adverts will carry a message of “vote „YES‟ to protect your pension”, and will start appearing on Thursday 20 October.

Previous pensions bulletins

If you have been having problems accessing links in previous pensions bulletins, you can find the documents in the Communications/InsideOut TeamSite.

To access the bulletins, follow this link:

http://teams.unison.org.uk/departments/Communications/InsideOut/Forms/By%20Category.aspx.

 THERE COMES A TIME WHEN ENOUGH IS ENOUGH

The UNISON NJC Committee have asked branches to consult members on the basis of the following claim:

• A substantial increase on all pay points which recognises the hardship being suffered by local government workers – in particular the lowest paid.
• An end to attacks on terms and conditions

The Committee considered a wide range of factors when considering the content of the claim, some of which are listed below.

NJC workers are still losing out in comparison with other public sector workers

There are still large pay differentials between NJC and other public sector workers, especially those in the NHS eg a Nursery Nurse in the NHS earns 10.27% more and a Domestic Support Worker 15.21% more.

£250 compensation was not paid

Despite the Chancellor’s promise that local authorities pay £250 to the lowest paid workers earning less than £21,000, only four local authorities have done so – Essex County Council is not one of them.

Pay is not keeping up with rising inflation

Compared to 2008/9 the 2010/11 local government gross pay bill saw a 5.2% dive when inflation is accounted for and a survey by the Office of National Statistics showed that the average worker is £750 worse off due to the rising cost of living.

It would take an 11% increase to compensate.

NJC workers are doing more for less

With the ever shrinking workforce, NJC workers are set to become even more short-changed.  Mainstream local government has declined by 15,000 FTE since 2008 but the level of unpaid work carried out by public sector workers increased by 4% on last year and 26.3% of local government public sector staff regularly put in more than seven hours of unpaid overtime each week.

Where are we at with negotiations on the LGPS?

On 20 July, Eric Pickles, Secretary of State for Communities and Local Government, wrote to Sir Merrick Cockell, new Leader of the Local Government Group/LGG (once the Local Government Association /LGA), “inviting the Local Government Group to conduct discussions with the local government trade unions to establish a package of measures to secure the short term savings by 2014/15”. This followed negotiations on the broad outcomes of the Hutton Report led by Dave Prentis via the TUC with the Chief Secretary to the Treasury, Danny Alexander and Francis Maude, Cabinet Office Minister.

A group consisting of political group Leaders from the LGG, the Local Government Employers/LGE, a representative of CLG and the three NJC Joint Secretaries and their technical advisors has now been established to take these discussions forward. At the same time, the Policy Review Group, established after the last dispute to ensure the sustainability of the LGPS, also continues to meet. It includes CLG civil servants, actuaries, employer representatives from within and outside local government, LGPS fund managers, the three NJC unions and Aspect.

‘LGPS – Protect our Pensions’ readers will know by now that the Government has set a figure of £900 million – that would require an average contribution increase from members of 3.2% – by 2014/15 to get that level of saving. These ‘savings’ will not be ploughed back into the LGPS. Instead, they will be used to keep council tax down for the whole community up to 1 April 2015.

We have argued it is unfair that ‘savings’ to Council Tax should come from members who are trying to save for their retirement in the LGPS. The LGPS is currently ‘cash rich’ – it takes in more from contributions than it pays out in pensions – and is likely to remain so for the next 20 years. In the longer term, increasing life expectancy will place new strains on the scheme, but we have argued that these could be dealt with in other, more ‘sustainable’ ways, than a short term ‘smash and grab’ raid on LGPS members which will not benefit the scheme and may lead to many members opting out, even the government says it does not want that!

UNISON has also demonstrated that the LGPS is unique – it is a funded scheme and generates income and its membership are lower paid than those in other public sector schemes. Over 70% earn less than £21,000. Any contribution increase could therefore have a significant and detrimental impact on membership of the LGPS, which in turn could cause problems for the cash balance of some funds.

Employee contributions increase – Government’s timetable

A timetable has been put in place by the Treasury – which is the driving force in the move to increase contributions – to deal with these negotiations as follows. In UNISON’s view, this is an unrealistic and unnecessarily short timetable. It also splits off negotiations on the short-term ‘savings’ from those which have to take place on the new scheme based on the Hutton report, which the Government has asked to start in October:

• 9 September deadline – Local Government Group (LGG) and trade unions invited to propose ways to achieve £900 million savings from the LGPS from 1 April 2012 as proposed by the Chancellor
• Government considers the basis for statutory consultation on the proposals
• End of September – 12-week statutory consultation begins
• Consultation completed by end December
• October – cost ceiling for the LGPS is set (the limit on how much the ‘new scheme’ will cost)
• Based on the cost ceiling by end of October complete the main scheme design for the new LGPS
• (Career Average or Final Salary, normal  retirement age?)
• By end of the 2011 complete discussions on the detail of the new scheme
• January 2012 – Consultation responses considered and Ministers’ approval for next steps sought
• February 2012 – Parliamentary stages for  amending Regulations
• March 2012 – Amending Regulations introduced
• 1 April 2012 – Amending regulations and new contribution rates
• April 2014 target date for regulations being laid setting out new scheme
• April 2015 current target date for new scheme starting

What has happened so far?

So far, there have been two meetings of the group involving LGG political leaders and others. The Policy Review Group also met on 15 August. These meetings have been purely exploratory, with both groups looking at all possible ways in which the savings could be made with minimal impact on members or damage to the scheme. UNISON and the other unions continue to argue that changes made to the LGPS in 2008, coupled with the Government’s unilateral shift to CPI indexing, redundancies and other scheme trends such as the decline in ill-health retirements are likely to amount to significant savings which should be set against the Government’s £900 million ‘savings’ target. The Government has said that savings from the shift to CPI have already been ‘banked’ and cannot be set against the £900 million ‘savings’ target.

Unlike in the unfunded NHS and Civil Service pension schemes, no proposals on contribution increases have so far been made, with detailed work being undertaken to look at options for change.

One of UNISON’s key concerns is that an increase in contribution rates could trigger opt-outs from the LGPS. Membership is already low within some employers and it is recognised that it needs to be maintained – and increased – to maintain a viable scheme.

What happens next?

The LGG Group will meet again on 31 August to continue discussions. In the meantime, research is being carried out on aspects of the LGPS to inform those discussions. While the Government has asked for the trade unions and employers to make joint proposals to generate the £900 million ‘savings’, it is by no means clear yet whether we will be able to achieve a joint position.

The Government has also not yet made any announcement about the ‘cost ceiling’ – the  percentage of the LGPS pay bill – that should be ‘spent’ on the scheme. This will be crucial in determining the type of scheme that will be available for the future.

Reports of future discussions will be given as soon as possible after the meetings.

What can you do?

We believe that the Government’s timetable for short-term savings is unrealistic and unnecessary. We also believe that it would make far greater sense for discussions about the ‘new’ scheme for the future to take place alongside those on the ‘savings’.

We would like all Pension Contacts and Champions – as well as branches – to write to your MP’s, council leaders and councillors, seeking a sensible timetable for talks which would allow us time to properly consider all the issues and for further research to be carried out into the workings and costings of the LGPS.

Who is my MP?

If you don’t know, don’t fret! All you need to do is click on http://www.writetothem.com and put in your postcode. The name of your MP will appear!

Please write to your MP, council leader and councillors using the attached letter and ask them to put pressure on Danny Alexander, Chief Secretary to the Treasury and Francis Maude, Cabinet Office Minister to allow talks adequate time to look in depth at possible changes.

What has happened to the consultation on Fair Pensions?

The deadline has passed for the consultation on Fair Pensions – which allows contracted-out public sector workers to transfer to the LGPS under ‘admitted body’ arrangements. UNISON has argued and campaigned strongly for Fair Pensions provisions to be retained. We see no reason why those providing public services through private companies or voluntary sector organisations should not have the same access to decent pensions. We are concerned that the Government will use abolition of Fair Pensions and the Two Tier Code to push pay and conditions even further down to statutory, bargain basement levels. We will keep you updated.

Preparing for a ballot….and UNISON Pensions Summit

In the meantime, UNISON and the other LGPS unions are preparing to ballot members if it becomes clear that proposals for making the £900 million ‘savings’ or the longer term future of the LGPS are not acceptable. There will be a UNISON Pensions ‘Summit’ for leading activists and paid officials involved in the negotiations on 22 September to consider any progress and the next steps for UNISON.

Update your membership details

We need to make sure that we have your correct UNISON membership details so that we can keep you updated on LGPS – and other – UNISON issues.

You can now update your details on-line by going to UNISON website at http://www.unison.org.uk/membership/update.asp

If you have never used the ‘my details’ option before, you will need to register at https://registration.unison.org.uk/unisonb280ee89ff4c27a19dfaba5ecaa2ca26/unison1/ and will need your membership number to register.

Once you have registered, if you then wish to update anything else, you can go straight in and use your membership number and the password you created on the registration page https://my.unison.org.uk/unisonb280ee89ff4b27a1f2e32879/unison0/unison_mwu_live.php/interface/SessionLogin/

Your union needs you!

We want to have a Pension Contact in every workplace who can pass round information to colleagues and provide a link with your branch and the UNISON campaign. If you aren’t one already – volunteer now! Just contact your branch secretary or e-mail your details to protectourpensions@unison.co.uk and we will add you to our mailing list.

Model letters

• Model Letter to Council Leaders
• Model Letter to MPs
• Councillors

Contact details

For technical advice.
Email: Pensions
Write to: Pensions unit
UNISON Centre,
130 Euston Road,
London NW1 2AY

Your pictures

Photo: Steve Forrest (Insight Visual)

Members send in their strike pics from around the country