Will there be Pension apartheid?

cloud_dog

I'm not a member of a public sector scheme, and I don't have a problem with those who benefit from them.

dunstonh

Ceme3000 said:

Dare I say, I imagine that a lot of the rather defensive replies to the OP in this thread are from those that are benefiting from being a member of a public sector pension scheme.  

Not at all. The OP is akin to a Daily Mail reader who obtains opinion by only reading the headline.

Bravepants

I pay 7.3% or so into my pension, and my employer contributes about 22%. The 22% contribution is part of my salary package, and my take-home is lower than the private sector because of that. I know plenty in the private sector who drive new cars, own big houses, even fly planes but have little or no pension provision or emergency savings. I know people who run companies and have a lavish lifestyle while also contributing the absolute minimum into employees pension schemes and run zero hour contracts; it's THIS that needs to be redressed. If you work in the private sector, you are working for "The Man" and sometimes "The Man" sucks, but people still end up working for him because they are happy with what "The Man" provides, including their job or level of pay. Until somewhere down the line they realise that they are being hard done by, or have been prioritizing spending over saving, or have actually been screwed by "The Man"!

ratechaser

Bravepants said:

I pay 7.3% or so into my pension, and my employer contributes about 22%. The 22% contribution is part of my salary package, and my take-home is lower than the private sector because of that. I know plenty in the private sector who drive new cars, own big houses, even fly planes but have little or no pension provision or emergency savings. I know people who run companies and have a lavish lifestyle while also contributing the absolute minimum into employees pension schemes and run zero hour contracts; it's THIS that needs to be redressed. If you work in the private sector, you are working for "The Man" and sometimes "The Man" sucks, but people still end up working for him because they are happy with what "The Man" provides, including their job or level of pay. Until somewhere down the line they realise that they are being hard done by, or have been prioritizing spending over saving, or have actually been screwed by "The Man"!

I've worked for "The Man" all my working life, and whilst I've been very happy taking his dime, my trust in him was eroded early on and has taken further hits along the way. I'm one of those that sees this as a transactional relationship and a means to an end. I have a comfortable but not lavish lifestyle - although I appreciate those terms will always be subjective, the reality is that I live very modestly compared with many of my industry peers.

So consequently my mortgage is paid off, my kids have good financial provision to get them started with a house, uni fees etc, and I've squirrelled away enough into pensions and investments that I can give it all up tomorrow if I wanted (Mrs RC wouldn't be impressed, but I can't solve for everything!)

Point being, I have limited sympathy for those that complain about public sector pensions being better than private sector, because broadly speaking, over the course of your working life the private sector will pay enough extra for you to be able to make your own additional provisions. If you just spend merrily what you earn and don't plan for the future then that's on you, and not on society...

Of course this is all moot to the OP because as was pointed out elsewhere, they appear to be benefitting from a DB pension themselves. Troll all day long...

crv1963

OP- what exactly is the point of your original post? 

Yes I'm PS employee. I have retired today from NHS. I'm returning Saturday to NHS same role, same pay, same hours, taking the required 24 hour break in service as per my pension scheme rules. I have paid all the required percentage of my salary as per scheme rules throughout my NHS employment, I paid AVC for a few years, I had almost a decade of no pay rises.

Reducing my pension will not increase yours.

Do as Mrs CRV is and increase your savings rate into pension/ rainy day savings/ make informed choices for employment and plan accordingly.  She too decided PS work was not for her, she too knew that she was taking increased salary in exchange for reduced pension provision. She too realised that she needed to save more into pension, she too accepted that this has meant reduced personal spending while working age to provide for self post working age. It is all about personal choice, personal responsibility, bemoaning what others have has not entered her head.

Bravepants

I think this thread should be a sticky for future reference to others who fancy a whinge.

Bravepants

You can see "The Man" in action in news stories about non-payment of refunds to holiday makers, reneging on insurance payouts, refusal to pay for stock, failure of companies to make up the last 20% of a furlough payout etc. 

Ceme3000

Paul_Herring said:

coyrls said:

What sort of pension are you getting at the Daily Mail?

Don't think it's the Daily Mail.

The DM uses paragraphs...

And the words 'gold plated' are not used at every opportunity. 

coyrls

Ceme3000 said:

Dare I say, I imagine that a lot of the rather defensive replies to the OP in this thread are from those that are benefiting from being a member of a public sector pension scheme.  

In my case your imagination would be wrong.  I am retired from the private sector with no DB pension.

[Deleted User]

Bravepants said:

I pay 7.3% or so into my pension, and my employer contributes about 22%. The 22% contribution is part of my salary package, and my take-home is lower than the private sector because of that. I know plenty in the private sector who drive new cars, own big houses, even fly planes but have little or no pension provision or emergency savings. I know people who run companies and have a lavish lifestyle while also contributing the absolute minimum into employees pension schemes and run zero hour contracts; it's THIS that needs to be redressed. If you work in the private sector, you are working for "The Man" and sometimes "The Man" sucks, but people still end up working for him because they are happy with what "The Man" provides, including their job or level of pay. Until somewhere down the line they realise that they are being hard done by, or have been prioritizing spending over saving, or have actually been screwed by "The Man"!

In reality, public sector gets paid more than the private sector (including pension contributions). Reference: https://www.ons.gov.uk/employmentandlabourmarket/peopleinwork/earningsandworkinghours/articles/analysisoffactorsaffectingearningsusingannualsurveyofhoursandearnings/2017
And it is the man from the private sector who pays the public sector guy’s salary in the first place. And picks up 100% of the risk for the public sector guy’s pension guarantees. 

It’s unfair, thats all.