Courier Newsflash - Pension

[Sergeant Blast]

Anyone seen the Courier Newsflash? Your Pension Proposal: Meaningful Improvement. Are the new proposals likely to be accepted by the union?

[TrueBlueTerrier]

Not seen it so can't comment but if they have really changed their proposal , even if only a little, then thats quite a move by them and possibly shows how much they want to avoid a strike. It could be a game changer or a damp squid - my votes on the

[Sergeant Blast]

If you haven't seen it, it effectively says terms will remain unchanged until the next review is due in 2018. So the current contribution rate of RM and members will be unchanged.

[TrueBlueTerrier]

If you haven't seen it, it effectively says terms will remain unchanged until the next review is due in 2018. So the current contribution rate of RM and members will be unchanged.

Thats not a change then as far as I can see - http://www.royalmailchat.co.uk/communit ... 27&t=53775" onclick="window.open(this.href);return false; the changes they proposed were on the link to final salary and RPI - any mention of that.

[Sergeant Blast]

Our New Offer:

For the overwhelming majority of CWU grade Plan members, promotions and increments would continue to flow through into your Final Salary pensionable pay as they do now.

For example, if you are a postman now and you become a professional driver, your pensionable pay will become that of a professional driver.

This would continue for promotions and increments you receive prior to the conclusion of the next periodic revier in 2018. It applies whilst you are in your current CWU postal or engineering grading structure.

This would also apply to your Career Salary Defined Benefit (CSDB) pensionable pay.

Summary of our proposal for the next five years:

The Company would maintain its current rate of contributions.

The Plan would remain open (ie members can continue to earn pension benefits each year).

No change to members' accrual rates or normal retirement age.

The basic pay element of members' pensionable pay under the Plan would increase by RPI (up to 5%) regardless of whether their actual pay goes up by more or less.

[johno47]

Does not say if they are going to still dip into our £3 billion of pension assets to subsidise their pension contribution's to the pension which is a big factor in CWU negotiations.

[fishtank]

https://www.myroyalmail.com/sites/defau ... SH_CWU.pdf" onclick="window.open(this.href);return false;

[Martin Walsh]

Very few people now upgrade to different CWU pay rates. In the past when the PHG grade was around significant numbers did. But now how many people do you know who now become professional drivers? Yes they have made a move but remember the fact that all your service prior to 2008 will now not be counted on your final salary at the point of retirement and will be based on RPI with a cap of 5% which basically means that if wage rises are above inflation or if inflation is above 5% you will be worse off.

No further changes until 2018 but that is not guaranteed if a new owner is in place. Royal Mails move will create 2.5 billion surplus in the pension fund which won't be used to help us.

[Glenno]

Very few people now upgrade to different CWU pay rates. In the past when the PHG grade was around significant numbers did. But now how many people do you know who now become professional drivers? Yes they have made a move but remember the fact that all your service prior to 2008 will now not be counted on your final salary at the point of retirement and will be based on RPI with a cap of 5% which basically means that if wage rises are above inflation or if inflation is above 5% you will be worse off.

No further changes until 2018 but that is not guaranteed if a new owner is in place. Royal Mails move will create 2.5 billion surplus in the pension fund which won't be used to help us.

Confused to what has/has not changed?? I was under the impression that the Final salary Link from 2008-retirement is what RM wanted to rob us of, the £2.2 billion that was set aside specifically for this when Govt took over the historic deficit in 2012 capped and replaced at RPI 5%

[Martin Walsh]

The Government when they took on the deficit and the assets left the money to fund the pension scheme based on RPI plus 1% . Royal Mails proposal to only up rate pensions by RPI with a cap of 5% creates a surplus of 2.2 billion which can fund Royal Mails pension contributions going forward or a new owners.