POST BOSSES OUT TO SAVE THEIR PENSIONS

[TrueBlueTerrier]

http://www.express.co.uk/money/view/102 ... r-pensions" onclick="window.open(this.href);return false;

The generous final-salary pension scheme of Royal Mail’s senior executives is set to be ring-fenced from a major change to be imposed on the pension fund of rank-and-file employees.

The Government is planning to take control of the £20 billion scheme for Royal Mail’s staff in order to free the postal operator from servicing its £6.8 billion pension deficit.

Last year the Royal Mail paid £823 million into the scheme, of which £290 million was a deficit top-up. The onerous payments mean less money is available to spend on much-needed modernisation of the postal group.

However, taking the scheme under Government control would mean the current pension trustees no longer had a say over finances and benefits.
Experts say this raises the prospect that benefits could be changed at some future point.

The Financial Sunday Express understands that the Royal Mail Senior Executive Pension Plan will not be part of the Government’s pensions asset grab.
This means Royal Mail bosses will still be in charge of their scheme. According to Royal Mail’s latest annual report and accounts, chief executive Adam Crozier has a £1.2 million pension pot.

The change in control of the Royal Mail’s scheme is to be finalised after the Postal Bill clears Parliament, possibly in June.

When it gets the scheme under its control, the Government could sell on its assets including shares and property as it strives to reduce the national debt.

The Mail’s pensions deficit more than doubled last year to £6.8 billion according to the annual results, as the credit crunch hit its investments.

The next triennial actuarial valuation out later this year will likely put the deficit even higher.

Business secretary Lord Mandelson wants to part- privatise the postal service in a bid to speed modernisation. His new Postal Bill allows for up to 49 per cent of Royal Mail to be sold to a company.

Dutch postal operator TNT is favourite after other bidders withdrew but is believed to be setting down tough conditions, putting the privatisation in some doubt.

The Bill cleared the House of Lords last week and has begun what promises to be a stormy passage through the Commons in the face of a backbench rebellion.

To date 180 MPs, the majority Labour, have signed up to a Commons motion demanding that the Mail remain in public ownership.

Last week, it emerged that the Royal Mail made £321 million in the year to April despite the recession, after it axed more than 5,000 jobs.

[Pat Ostman]

:cfo

[pinstripe]

I can't use the exact words that I would usually use to describe this, but these come close
:cfo :mfo :mfo :cfo :mfo
Come on now guys, how many of you are surprised?

The last line
"Last week, it emerged that the Royal Mail made £321 million in the year to April despite the recession, after it axed more than 5,000 jobs."
Should that not have read, "after it axed ANOTHER 5,000 jobs, so only another 45,000 to go. This year."

[norbert]

http://www.express.co.uk/posts/view/102 ... r-pensions" onclick="window.open(this.href);return false;

http://www.no2eu.com/" onclick="window.open(this.href);return false;

Be careful here , :lfo had a very underhand , & self publicizing habit of having controversial things leaked to the rival Sieg Heil on Sunday , and / or RM would use that paper to rubbish the Union on controversial discipline cases .

RM's senior management have had their arses smacked and there will be some huge but very fragile egos ( traits of a bully ) affected by scathing criticism by the Hooper Report and New Labour .
I think this has been deliberately leaked to stir up trouble with the Union so RM can deflect some of that fierce criticism that they've had to take . We can all rest assured that :cfo 's £1.2 million pension pot will be safe from Gordon Clown & :mfo

You have to win the wars not just the battles