Civil service pensions review

seven-day-weekend

NAR wrote: »

Please provide the proof for this outrageous statement!

My pay increase 2006 2%, 2007 2%, 2008 2% 2009 £270 lump sum (tax and NI to be deducted); 2010 expected NIL; 2011 expected NIL, because of pay freeze. I'm middle management civil servant.

Neither my deferred Local Government Pension , nor my husband's Teachers' pension, had a rise last year and were we stll working we would not have had one either AFAIK.

My job in Town Planning that I retired from in 2004 is being made redundant. The current post holder will be on the dole if he cannot be redeployed.

There are swingeing cuts taking place in Local Government.

Old_Slaphead

seven-day-weekend wrote: »

Neither my deferred Local Government Pension , nor my husband's Teachers' pension, had a rise last year and were we stll working we would not have had one either AFAIK.

Pension increases were related to RPI which, for the period under review were negative (hence no increase).

For the previous year I believe the increase was 5%.

Teachers pay was increased by 2.3% in Sept 2009 and 2.3% in Sept 2010

Just_landed

B.E.N wrote: »

Indeed.


How would you feel if you had worked somewhere for 20 years, been offered a good pension, thought ahead and planned for your retirement with the calculations in mind, then retire only to find out your pension has been cut by 2/3rds because someone suddenly has 'decided' that the pension you have been contributing to is 'too generous'?

QUOTE]

Thats just what I think, about what Tony Brown did to my private pension when they raided my pension fund, down by many many thousands up to date. Billions a year. :mad:

Old_Slaphead

Just_landed wrote: »

Thats just what I think, about what Tony Brown did to my private pension when they raided my pension fund, down by many many thousands up to date. Billions a year. :mad:

Tony Brown ? Didn't he play for West Brom.

I think you mean Gordon Blair!

FWIW I concur with your observation - my pension fund returns not only fell after the great tax grab of 1997 but also Labour's decade of profligacy have meant b***** all yield for the private pension 'investor'. So much for a fairer society!

Definitely a 2 tier society in terms of pension provision

Peelerfart

NAR wrote: »

My pay increase 2006 2%, 2007 2%, 2008 2% 2009 £270 lump sum (tax and NI to be deducted); 2010 expected NIL; 2011 expected NIL, because of pay freeze. I'm middle management civil servant.

My pay increase 2006 3%, 2007 nil, 2008 nil, 2009 nil; 2010 expected NIL; 2011 expected redundancy, I'm technical - Private Sector.

Now who's better off ?

It's a tough world (well the real one is anyway) and no-one has a god given right to automatic pay awards.

wheretheresawill

to be honest the way they work me- 13hr shifts in a locked unit where in winter months I see no day light, looking after 30 acutely unwell mentally ill offenders, with a 45 min break if i'm lucky.....then I wont be seeing my pension and that will be the same for a lot of people...all for 20k a year....since working there my bp is through the roof, so you whingers in the private sector - i'm coming after YOUR job if they change the pension and you can have MINE, lets see how you get on.......

May I add I get screamed at, spat on, physically assaulted and am subjected to vile abuse daily - in the public sector we can't choose who we work with

NAR

Peelerfart wrote: »

My pay increase 2006 3%, 2007 nil, 2008 nil, 2009 nil; 2010 expected NIL; 2011 expected redundancy, I'm technical - Private Sector.

Now who's better off ?

It's a tough world (well the real one is anyway) and no-one has a god given right to automatic pay awards.

I had asked Old Slaphead to justify his remarks on many receiving big salary increases and quoted mine purely as an example of where he was wrong. I'm well aware it is a tough world - my wife is private sector.

real1314

Just_landed wrote: »

B.E.N wrote: »

Indeed.


How would you feel if you had worked somewhere for 20 years, been offered a good pension, thought ahead and planned for your retirement with the calculations in mind, then retire only to find out your pension has been cut by 2/3rds because someone suddenly has 'decided' that the pension you have been contributing to is 'too generous'?

QUOTE]

Thats just what I think, about what Tony Brown did to my private pension when they raided my pension fund, down by many many thousands up to date. Billions a year. :mad:

Who was that with then? was it an invested fund, and if so, how much of the reduction was due to the investment falling rather than anything else? All pension investments carry a degree of risk, and can of course go back up again.
If they go up will private sector pension fund holders be campaigning for the public sector to be given better pensions or will they be saying "we took the risks, so we get the rewards, you didn't take the risk..."

Also, numerous employers pensions took pension contribution holidays, which was a significant cause of the collapse of many of their final salary schemes (blame the tories for loosening the rules); added to which is the unpredictable nature of final salary schemes vs defined contribution schemes.

Old_Slaphead

real1314 wrote: »

Just_landed wrote: »

Who was that with then? was it an invested fund, and if so, how much of the reduction was due to the investment falling rather than anything else? All pension investments carry a degree of risk, and can of course go back up again.
If they go up will private sector pension fund holders be campaigning for the public sector to be given better pensions or will they be saying "we took the risks, so we get the rewards, you didn't take the risk..."

Also, numerous employers pensions took pension contribution holidays, which was a significant cause of the collapse of many of their final salary schemes (blame the tories for loosening the rules); added to which is the unpredictable nature of final salary schemes vs defined contribution schemes.

GB's tax grab wasn't the only reason for the demise of private pensions but it was a significant contributor
http://news.bbc.co.uk/1/hi/uk_politics/6521305.stm
Invested funds were penalisesd by withdrawal of tax credit on dividend income. Growth funds would have been less affected than income funds but overall, it was a significant cost to the private pensioner.

Pension funds will have to go up significantly to recoup the underperformance of the last decade. To get anywhere near the lavish returns guaranteed on public schemes, the stockmarket would have to go into orbit. Therefore no I wouldn't be campaigning for a better return for the public sector pensioner as he/she is already benefiting from an 80% taxpayer subsidy.

Employers took pension contributions holidays as the Tories introduced penal tax charges on pensions which were more than 105% funded (which many were at the time). Labour did nothing to repeal those rules.

evergreen

Thanks NowWhat - I had almost forgotton what my original question was!

By the way I am interested to see what happens to my expected 'gold platted' pension in 2 years of £9000 after 23 years in civil service (will be in 2012). As far as pay, I had an 8 year break from full time employment when my kids were small. I had been in the private sector until 1981 and on going back to work in the civil service in 1989 I was earning over £2000 less than I had been earning 8 years earlier. Don't get me wrong I am not moaning - it had benefits, pension plus flexi-time, great for a working mum in those days, but I did consider the whole package before taking the public service job.