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Pension transfer due to "Outsourcing"
Peepo_2
Posts: 1 Newbie
I face being outsourced to a Private Sector employer after 15 years in Local Government IT and membership of the Local government Pension Scheme (LGPS). The contract with the new employer is for 10 years and in principle, my terms and conditions (salary, etc) is protected for the term of the contract.
The Private Company offers a ‘comparable’ Pension scheme (based on final salary) certified by the government Actuary. The new employers’ scheme is currently in a healthy financial state.
In case you did not know, major changes are proposed to the LGPS which could result in loss of benefits but, again in principle, transfer to the new employer should mean that my current pension (LGPS) conditions will apply unchanged on retirement. However, despite assurances, this is a private company which is subject to market forces and nothing is guaranteed in life.
Can fellow moneysavers give me the benefit of their experience in similar situations?
Would they join the comparable scheme?
Would they transfer their accrued benefits into the private scheme or leave it frozen in the LGPS?
Have colleagues any other issues they think I need to consider?
The Private Company offers a ‘comparable’ Pension scheme (based on final salary) certified by the government Actuary. The new employers’ scheme is currently in a healthy financial state.
In case you did not know, major changes are proposed to the LGPS which could result in loss of benefits but, again in principle, transfer to the new employer should mean that my current pension (LGPS) conditions will apply unchanged on retirement. However, despite assurances, this is a private company which is subject to market forces and nothing is guaranteed in life.
Can fellow moneysavers give me the benefit of their experience in similar situations?
Would they join the comparable scheme?
Would they transfer their accrued benefits into the private scheme or leave it frozen in the LGPS?
Have colleagues any other issues they think I need to consider?
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