End Discrimination in State Reciprocal Pension Arrangements

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Conference
2019 National Black Members' Conference
Date
11 September 2018
Decision
Carried

Conference is seriously concerned that Black workers face a triple whammy of discrimination in the labour market, disadvantage in getting decent and well paid jobs and destitution in retirement caused by low pay, an ethnic and racial pay gap and lack of access to good occupational pensions. The impact of these policies means that in retirement, Black workers among others face a freeze on having their British State pensions increased annually depending in which country they chose to reside in retirement.

Conference believes that the annual increase in state pensions should not be based on the country where a British person chose to reside when they retire but on the fact that they have paid National Insurance contributions to the British State. Conference further believes that the Reciprocal Pensions Arrangements is discriminatory, consigns retired members to poverty and living in lower living standards by being denied their annual increase on their state pensions. Conference calls for an end to this

Indeed, British citizens retiring in 16 countries outside of the European Economic Area (EEA) receive the yearly state pensions increase.

Conference believes that the Reciprocal Pension Arrangements impacts disproportionately against people who are Black retiring and from predominantly Commonwealth countries. The UK State pension is already a pittance compared to other developed countries and there should be no discrimination against people who work in Britain, paid into the National Insurance Scheme and the country in which they chose to reside. Entitlement to the annual increase in state pension should be paid on the basis of pension contributions and not on the country where you chose to retire.

Citizens of 30 EEA countries, Gibraltar and Switzerland will keep their entitlement if they move between those countries. This means that if you live in the EEA countries, Gibraltar and Switzerland and you receive a state pension – you will get an increase in your state pension every year. But if you live in any of the 47 Commonwealth countries (except Barbados, Bermuda, Jamaica and Mauritius) your pension will be frozen at the rate and date of your retirement if you live outside the EU or EEA countries.

Conference calls on the National Black Members Committee to:

1)Work with the Retired Members Committee and the UNISON Pensions Unit to prepare and action plan to raise awareness of this issue

2)Lobby to end this discriminatory application of the state pensions increases between people choosing to retire in the EU, EEA and Commonwealth countries

3)Produce a campaign and training pack on this issue.