- 2011 Water, Environment & Transport Service Group
- 20 April 2011
“Conference notes that the publication on 5 April 2011 of the Government Consultation Document – “A State pension for the 21st Century” will have significant implications for members of all occupational pension schemes in the Water, Environment and Transport Service Group. The increased National Insurance costs to employers and employees inherent in the Government’s proposals will lead employers to seek reductions in pension scheme benefits or decide to close/replace their Defined Benefit pension schemes.
Members in the Water Environment and Transport Service Group are already facing attacks on their pensions including bus and water companies seeking to index pensions by reference to the CPI rather than RPI, water companies, like Cambridge Water, closing final salary schemes to existing members or introducing Career Average schemes e.g. British Waterways and Portsmouth Water. Environment Agency, PTE and Scottish Water members of the two Local Government Pension Schemes face a multiple assault on their pensions.
This Service Group is concerned that there is a high risk that members will finds their occupational schemes unaffordable and opts out. This will have consequences for the viability of schemes and undermine employers’ ability to recruit and retain staff in sectors where there are skill shortages and an ageing workforce.
Conference therefore calls on the Executive to work with branches regions and the appropriate national structures of the union to ensure that any adverse impact of the new state pension on pension schemes in the Water, Environment and Transport Service Group is minimised.”