UNISON Scotland's next Green Network meeting is this Saturday, Glasgow

Reminder for all UNISON members interested in climate change!

Come to our next Green Network meeting in Glasgow - this Saturday, 27 February.

Guest speaker Ric Lander, from Friends of the Earth Scotland, will be speaking mainly on pensions disinvestment campaigns, but will be referring also to fracking and other important policy areas.

We will be discussing what is needed now following the UN Paris climate deal, and looking at green workplace action as part of our Combating Austerity campaigning.

The meeting is from 1.30-3.30pm in the UNISON Scotland office. (slightly earlier than previously advertised) Email f.montgomery@unison.co.uk for more information and to sign up for Green Network email updates.

Our Facebook page is at www.facebook.com/greennetworkunisonscotland

Chancellor's mirage of 'economic recovery' does not mask real world - UNISON on Autumn Statement

Thu 5 Dec 2013

UNISON today branded the Chancellor’s Autumn Statement talking up the economic recovery as a “mirage”.  The picture he paints is not being felt by ordinary working people across most of the country, the union said.

UNISON General Secretary, Dave Prentis, said:

“The Chancellor can produce this mirage of an economic recovery and massage the figures as much as he wants, but it doesn’t mask what is being felt in the real world.  Prices have risen faster than wages for 40 out of the 41 months in the past years.  Average earnings are ?1600 lower in real terms than when they came to power.  There has been a massive explosion in the number of people forced to work part-time, on zero hours’ contracts and stuck on low pay.

“Raising the state pension age is cruel and unnecessary. It may be ok for the better off to work until they are 70 because they will have some years to enjoy their retirement.  But for millions, they will never see their pension because they will die before that age. 

“But does anyone seriously expect a 70-year old paramedic or nurse attending them in a medical emergency.  And should we expect people who sweep our streets, clean our hospitals and schools to carry on doing those jobs?

“The fact is the Chancellor is rushing into saving money for today’s Government, but putting future generations at risk.  Not all actuaries agree that we are all living longer so there should be a proper, evidence-based enquiry before any rash decisions are made.  What about the quality of  people’s life in retirement as well as the quantity?”

The union also called for the cuts juggernaut to stop,pointing out that unless people had money to spend in their local shops andbusinesses, tax cuts wouldn’t do them any good. Dave Prentis added:

“Many millions of workers have had their pay frozen for the past three years -  a pay cut of up to 15% - while those at the top still get their huge pay, perks and  bonuses.

“Local government is almost on its knees – and I know somecouncils may have to stop delivering services.  And make no mistake these services are important.”

ends

UNISON UK news release: http://www.unison.org.uk/news/autumn-statement

Pensions row protest outside Glasgow University court

 

More than 200 Glasgow University support staff held a vigorous and noisy protest outside a meeting of the University Court yesterday.

 

They were demonstrating in protest at proposals to close their pension scheme. Members of UNISON and UNITE are angry that the University proposes to offer a much worse pension scheme to the lowest paid admin, security and cleaning staff, while the professors continue to enjoy all their benefits. 

Scottish Health Secretary to speak at UNISON health conference

11 April 2013

Alex Neil, Scottish Health Secretary, is a keynote speaker at UNISON Scotland's health conference in Glasgow tomorrow (Friday 12 April).

Pay and pensions are key issues he will be quizzed on at the Glasgow event, which will also hear from UNISON's head of health Christina McAnea.

Willie Duffy, UNISON Scotland lead organiser for Health, said NHS members are feeling angry about pensions increases.

"We have raised our concerns with the Cabinet Secretary about the increase in NHS pension contributions," he said.

"The Scottish Government could make different choices and health workers will want to know from him why they should be paying more when they have effectively had pay cuts for the last couple of years. We are calling on the Scottish Government not to bring in the third year of the increase next year, and pay for this with the efficiency savings made by employers."

Tom Waterson, chair of UNISON Scotland's Health Committee, said that other key issues will be concerns about health and social care integration and a call to scrap the NHS Pay Review Body.

He said: "The Scottish Health Committee wants a return to collective bargaining directly with the UK government on NHS pay. The PRB is a busted flush. It is certainly not independent.


"The UK Government's deplorable actions have negated its historical independent role. We will be asking the UNISON UK Health Conference taking place in Glasgow later this month to agree to negotiate NHS pay on this basis."

ENDS





Notes to editors:

1. UNISON is Scotland's largest trade union representing 160,000 members working in the public sector.

2. More than 100 delegates from around Scotland will attend tomorrow's health conference at the Marriott Hotel, Glasgow. The conference starts at 11am, with Alex Neil speaking at 11.30am.

3. UNISON Scotland's submission to the Scottish Government consultation on increasing employee contributions to NHS pensions is at www.unison-scotland.org.uk/response/NHSPSScotConsultationResponse.pdf

4. UNISON's UK Health Care Service Group Conference takes place from 22-24 April at the SECC, Glasgow.


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Workers must be central in public service reform, not treated as puppets or pawns

27 March 2013

UNISON will today (Wed) tell a committee of MSPs that redesigns of public services must not treat workers as pawns to be moved around recklessly, ignoring best practice lessons.

The public service union has warned the Scottish Parliament’s Local Government and Regeneration Committee that new ways of delivering services must operate from a proper framework to deal consistently with staffing issues.

Dave Watson, UNISON Scotland’s Head of Bargaining and Campaigns, will tell members that workforce issues are too often neglected when planning reforms such as integrating adult health and social care.

He said in advance of giving oral evidence: "Consultation papers and legislation frequently give the impression the workforce is an afterthought. So we get last minute scrambled together agreements on important issues around staff transfer, pensions, secondment and so on, with no consistency or learning from best practice.

"It is just wrong to treat staff in this way, like puppets or pawns who can be moved around with no rules for how their rights and conditions are transferred and protected.

"Given that most public services rely on people, not machines, this is an extraordinary omission."

He urged the Committee to recommend that the Scottish Government sets in place a broad staffing framework based on best practice.

This would cover a range of key issues including: staff transfer, pensions, secondment, training and development, equality duties, governance and procurement - covering the protections that should prevent setting up a two tier workforce when services are contracted out.

Dave added: "We also want the Scottish Government to take on board one of the key recommendations from the Christie Commission.

"Redesigns of services must be based on genuine engagement with staff and users from the bottom up. It should not be about expensive management consultants imposing solutions from the top down."

ENDS

　

Notes to editors:

UNISON is Scotland’s largest trade union representing 160,000 members working in the public sector in Scotland.

Our evidence to the Local Government and Regeneration Committee is online at

http://www.unison-scotland.org.uk/response/PublicSectorReform_NewWaysofDeliveringServices_ResponsetoSPLocalGovtCttee_Jan2013.pdf

　

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Innovative pensions fund plan for new social housing in Scotland

25 March 2013

 

UNISON today launched a proposal to use Scottish council pension funds to invest in much needed affordable social housing.

Preliminary discussions with housing associations have shown keen interest in the plan which could potentially unlock many millions of pounds for building new homes.

UNISON’s head of bargaining and campaigns Dave Watson will set out the innovative proposal at the Scottish Federation of Housing Association (SFHA) Development and Investment Conference in Crieff today. (Monday)

He said that at a time of tight public finances, with £11 billion of Scottish Local Government Pension Fund (LGPS) assets currently invested overseas, it makes sense to switch investment to socially useful projects like housing.

Dave added: “Scotland is crying out for new social homes. Shelter Scotland estimates we need 10,000 every year but last year only 4,295 were completed.

“The housing crisis is also set to get worse with welfare reform changes, including the bedroom tax, direct payment of housing benefit and other cuts affecting our most vulnerable families.

“The LGPS currently invests a massive 45% of its £24 billion funds in overseas equities.

“We believe that scheme members, many of whom are UNISON members, want to see money invested ethically and to benefit local communities.

“Pension funds invest in arms and tobacco companies. We are sure public sector workers would much prefer their money being used to build new homes. Many of our members find it difficult to access housing in the current property market.”

UNISON Scotland is involved in discussions about developing one or two initial projects to test the idea with one or more local authority pension funds.

Dave said: “Housing associations have always represented a very low risk to lenders. Public finances are under pressure. Commercial borrowing is difficult.

“We believe that this is stable, long term investment with a very low risk of failure. If we have success with initial projects it could potentially lead to many millions of pounds for housing at a time when it is desperately needed.”

ENDS

Notes for editors:

1. UNISON is Scotland’s largest trade union representing 160,000 members working mainly in the public sector in Scotland and represents a range of staff delivering important services in housing.

2. The proposal is online at http://www.unison-scotland.org.uk/housing/FundingAndBuildingTheHomesScotland
Needs_Mar2013.pdf

3. The Future Homes Commission argued last year that Britain needs a revolution in the scale, quality and funding of home building, recommending a kick-start from an independent Local Housing Development Fund, financed and owned by local authority pension funds.

4. Richard Murphy, of Tax Research, said: “At a time when conventional pension fund investment policy is simply guaranteed to lose people money in the UK because of inept management, market corruption and excessive charges why aren’t pension funds being invested in things that we really need, like housing, where the payback over a period of, say, 25 years is exactly the sort of return a pension fund needs?" http://www.taxresearch.org.uk/Blog/2012/11/02/the-time-for-pension-funds-to-invest-directly-in-regeneration-and-housing-has-arrived/ 

 

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UNISON calls for new devolved powers to create a Fairer Scotland

Thu 28 Feb 2013

UNISON today launched a set of policy proposals calling for fresh powers, including pensions and income tax, to be devolved to Scotland.

The union’s ‘Fairer Scotland and devolution’ document opens up a debate which has so far focused on fiscal issues and argues that new devolved powers for the Scottish parliament are essential to create a Fairer Scotland and improve the lives of working people.

UNISON Scotland says a range of fresh powers should be devolved: public sector pensions, health and safety, labour market regulation and broadcasting – as well as stronger fiscal powers, including all of income tax revenue.

The focus for UNISON of decisions about which powers to devolve and which to leave at UK level is social change and the creation of a more equal society.

Lilian Macer, Convener of UNISON Scotland said: “Our union hasn’t made a decision about which option to back in the referendum - but we are intent on putting public services and the people who provide them at the centre of the debate.”

In common with much of the trade union movement, UNISON has not as yet taken a stance on the referendum itself. Instead the union has challenged all parties to the debate to explain how their preferred option will match UNISON’s priorities laid out in the previously published document ‘A Fairer Scotland’.

Today’s publication marks a development of longstanding UNISON principles in relation to devolving power to the lowest practical level, and includes devolution below the Scottish Parliament, with a stronger statutory footing for local authorities.

Mike Kirby, UNISON Scottish Secretary said: “We have always been strong supporters of devolution - and supporters of strong devolution. As political campaigns and parties are discussing more powers for the Parliament we want to make sure we are part of this debate.

“Our concern isn’t with constitutional mechanics. Our aim is to create a fairer and more equal Scotland. The referendum debate so far has focused on fiscal matters. These fresh new powers which we are calling for should be devolved to the Scottish Parliament and used – along with the many existing powers it already has –  to improve the lives of working people.”  

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Lies, damn lies and pension statistics

The Daily Telegraph ran a story on public service pensions yesterday that appears to be based on data provided by the Scottish Conservatives. Sadly, it is financially illiterate.

Firstly, it conflates the pension costs of cutting swathes of local government staff with normal pension costs. If overall pension costs have risen from £700m to £1.03bn and £300m of that is redundancy related - then the simple maths tells you that underlying pension costs have not risen at all. That is correct, because the standard contribution rate has actually fallen since the new scheme was introduced in 2009. Not least because pensioners have had their indexing cut from RPI to CPI. That alone will cost pensioners, but save the scheme at least 15%.

The £300m is as a direct consequence of losing 34,500 jobs in local government and other aggregate pension costs will increase because many of those are drawing pensions rather than working. This is driven by the UK ConDem cuts. In other words it is the direct consequence of Conservative policy. Money that would have been better spent on services and jobs rather than damaging the local economy.

Secondly, we have the fatuous claim that the ratio of pension costs to Council Tax income is rising. That is true of any spending because there has been a Council Tax freeze. This is the worst type of statistical manipulation for political purposes.

The facts are that the Scottish Local Government Pension Scheme was renegotiated in 2009. It included a cost sharing agreement that reacts to underlying increases in the cost of pensions. That would be working now had it not been for the intervention of the UK government through their Public Service Pensions Bill. That means we have to start all over again and renegotiate the scheme with no benefit to scheme members or the taxpayer. If the total cost of pensions is increasing, that is almost entirely down to Conservative polices.

RE-INTRODUCE DAILY MEAT CUTTING INSPECTIONS NOW - UNISON

8 Feb 2013

UNISON has today called for the immediate re-introduction of daily independent inspections of meat cutting premises.

With new developments in the meat scandal coming thick and fast, the UK’s largest union said that both the Food Standards Agency and DEFRA had failed in their duty to ensure the safety of the food on people’s plates.

In a move of ‘astonishing insensitivity’, the FSA has this week written to all meat inspectors across the UK to tell them their pay and pensions are to be cut. UNISON called the move ‘poorly timed in the extreme’, as meat inspectors have never been more needed.

Ben Priestley, UNISON national officer said:“The latest developments in the unfolding meat scandal have shone a harsh, but necessary light on the meat processing industry, and it’s time for the question to be asked: how can we stop fraudulent and unlawful practices in the meat industry?

“Consumers have the right to know what is in the food they and their families are eating, and that their food is what it says it is, is safe and free from contamination.

“So far, most of the mislabelled horse meat has been found in ‘budget’ food, targeted at the poorest members of our society. It is a scandal that the safety of people, whose choice is limited by their income, has come second to the private profit.

“We demand the government tells us the full extent of the meat scandal, and until then, one thing is clear - these companies have put profits before the safety of the consumer – and is time for DEFRA and the FSA to act and start putting things right.

“In addition, he attack on food inspectors’ pay, at a time when their work has never been more needed, is poorly timed in the extreme and astonishingly insensitive.”

The meat inspection workforce managed by the Food Standards agency has shrunk from a high point of 1700 – during the BSE and e-Coli crises in the 1990s – to around 800 today.

This has been a direct consequence of the deregulatory policies of both the European Commission and UK Government to hand over more and more meat inspection duties to the meat industry and dispense with proper independent inspection.

In addition to a comprehensive investigation into the contents and quality of processed food, UNISON is calling for the following changes to meat inspection to stop this, the latest in a long line of UK meat scandals, from happening again:

·     The immediate re-introduction of daily, independent inspections of meat cutting premises,
·     The FSA to oversee the independent inspection of food manufacturing premises  –where government cuts have compromised the ability of local trading standards services to do so,
·     The FSA to ensure that all horses killed in the UK for human consumption are tested for the drug “BUTE” and that any horse carcases tested should not be released for human consumption until the test has returned a negative result.

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Pension investment

The Herald is running a story today about investments in the Scottish local government pension scheme (LGPS). They say:

"SCOTLAND'S public-sector workers are unwittingly pouring hundreds of millions of pounds through their pensions into funding cigarette manufacturers and companies dealing in arms. More than £220 million is tied up in tobacco firms – including those behind Marlboro, Benson & Hedges and Lucky Strike – despite guidelines that recommend ethical and social factors must be taken into account by councils administering the funds. The Scottish Government requires the Local Government Pension Scheme (LGPS) to "take ethical and social considerations into account when making investment decisions".

The Herald's Leader column asks: "How will they feel about the report in The Herald today revealing that they are unwittingly investing more than £220m in tobacco firms?"

The answer is not impressed but not entirely surprised. Governance of the Scottish LGPS is probably the worst of any funded pension scheme in Scotland. While there has been some improvement in recent years there is only limited scheme member representation. Decisions are taken almost entirely by councillors. There is also no provision in the legislation that members serving on these committees have to make investment decisions in the best interests of beneficiaries or address potential conflict of interests with the councils that make up the fund. UNISON believes that the current arrangements sit outside the requirements of European law, particularly Directive 2003/41/EC, known as the IORP Directive. I covered these issues in more detail in a blog post last year.

The Scottish LGPS will be the subject of significant renegotiation in the coming months as a consequence of the UK Public Service Pensions Bill. One of the recommendations in the Hutton Report on public service pensions that UNISON Scotland welcomed, was the call for stronger member involvement in the governance of pensions. This is something high on our list of priorities to resolve in the current review.

Barnardo's staff shocked by pension scheme closure - UNISON

Wed 16 Jan 2013
Staff at Barnardo’s are shocked and angry at reports that the charity is to close its career average staff pension and replace it with a vastly inferior scheme.  UNISON, the union representing workers at the charity, called the decision  “premature and a bitter disappointment to staff who are only now being consulted after the event”
Simon Watson, UNISON National Officer for the Third Sector, went on to say:

“Staff working for Barnardo’s are fully committed to helping children throughout the UK and do a fantastic job.  They do not get big pay packets or bonuses, so their pension and saving for security in their retirement, means a lot to them and taking that away is a real betrayal.

“Barnardo’s should have consulted fully with UNISON and at least provided more detailed financial information.  The financial information that UNISON has obtained simply does not point to an urgent financial need for this drastic decision.   Management need to think again about their mission which must include caring for its staff in their retirement.”

Barnardo’s are obliged to undertake a formal consultation by the pension regulator. UNISON will use this period to seek alternatives to closing the scheme.


Ends


UNISON UK News Release:
http://www.unison.org.uk/asppresspack/pressrelease_view.asp?id=2934

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Pension reform: £144 still well below poverty line - UNISON

Mon 14 Jan 2013
UNISON warned today that many workers will still face poverty in retirement, despite the government’s claims that its proposed overhaul of the state pension system will improve pensions.

Millions of workers will also be clobbered with higher national insurance payments under the plans.

As the government today issues its long-awaited white paper on state pension reform, UNISON said that radical action was needed to halt the decline in pension provision in the UK, which stands to leave many people in financial misery in retirement.

Many employers that sponsor defined benefit pension schemes are facing an increase in national insurance contributions – which from April 2017 could be as high as 3.4%. The union said it feared this would have a knock-on effect that passed cuts onto employees, including the low paid.

Commenting on the paper, Karen Jennings, UNISON assistant general secretary said:
“These changes are being lauded as a good deal for pensioners, but it is worth remembering that £144 is still well below the poverty line, and more will need to be done to prevent workers finding themselves desperately poor in retirement.

“Who will be worse or better off following these changes will depend on salary growth, which remains stagnant for many workers, including millions in the public sector, and inflation, which continues to eat at the income of low earners.

“What is clear is that the real winner is likely to be the Treasury, who will receive a national insurance boost from pension scheme members and employers. This windfall must go back to employers otherwise there is a real risk that many will look to dumb down their current pension offerings even further.

“The government must not hide behind this as a ‘good news story’: It is their duty to guarantee that workers – and in particular the lowest paid – are not left worse off as a result of these proposals either now, or in their retirement.”
 
While the union welcomed the intention to simplify the confusing existing pensions system, it said it would be looking at the implications of the proposals in the white paper in detail, and would respond to the consultation in full.

The new flat-rate is designed to combine the basic state pension with the second state pension. The union pointed out that this will not affect those who already receive, or will begin receiving their state pension before the next Parliament.

ENDS
    


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Delivering vital public services through the Christmas period - a message from Mike Kirby, Scottish Secretary, UNISON

Mon 24 Dec 2012

At this time of year, when people take time off for holidays and family time and festivities, thousands of UNISON members will be working and on call – caring for people at all stages of life in the NHS; in local councils from social work to the roads department to home care services, libraries and leisure centres; in public utilities like gas, electricity and water; in the police and fire services and many more.

As a union, we are proud of our members and the vital work they do throughout the year to provide decent public services for our communities. People rely on the public services especially at this time of year and come to recognise their importance.

The Christmas break can be a time of stress. Of course we always face the impact of cold and severe weather. And in the current cold political climate, more stress and strain is being caused by economic conditions.

Many thousands of our members have suffered three years of wage freeze. The real wages of public service workers have dived far below the freezing point and many are being frozen out from real pay rises for up to ten years into the future. The pensions tax of 3% which faces many of our members adds an extra burden. All this is as a result of the unfair and unnecessary austerity measures being visited upon us through all levels of government.

Our pledge at this time is to fight for our vital public services and the jobs, pay and pensions of those who deliver them – this Christmas, and all year, every year.

UNISON Scotland wishes everyone who provides our public services and all who benefit from them all the best for a safe and happy festive period - whether on holiday or at work – over Christmas and the New Year.

Mike Kirby, Scottish Secretary, UNISON

24 December 2012

ends

Web: www.unison-scotland.org.uk

Blog: www.unison-scotland.blogspot.com

Twitter: www.twitter.com/unisonscot

Facebook: www.facebook.com/unisonscot

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UNISON condemns ‘Swinney Tax’ on NHS workers

Thu 20 Dec 2012

 

UNISON Scotland condemned the “Swinney Tax” on NHS workers today, as the Scottish Government published consultation proposals to increase employee pensions contributions for the second year - with a further increase to come in 2014.

This Swinney tax means employee pension contributions would rise on average by 3.2 % of salary over that 3 year period.

Tom Waterson, chair of UNISON Scotland Health Committee said:

“The SNP government had a clear opportunity to avoid passing on this swingeing financial burden to workers in NHS Scotland. UNISON made constructive proposals to avoid this UK Treasury levy being passed on and keep Danny Alexander’s long fingers out of the pay packets of our members.

“Unfortunately, the Scottish Government has chosen to adopt this measure – it is now the ‘Swinney Tax.’”

The NHS Superannuation Scheme has historically operated in surplus and there is no ‘black hole’ to plug. Monies collected from this pensions levy will not go into the NHS pension pot, and members of the scheme will see no additional benefits to them of these added costs. Instead, the levy will go directly to the Treasury as part of austerity measures to address a financial crisis - one which was not caused by NHS workers, but by casino bankers.

Wille Duffy, lead UNISON official for Health said:

“All our Scottish health branches will meet early in the new year to discuss how we respond to this latest wave of pay cuts for health workers. UNISON Scotland ran industrial action in 2012 in response to the first year of these increased charges and we will discuss our 2013 response in February.”

ends

Notes for editors:

1. UNISON is Scotland’s largest trade union and represents around 50,000 members across all sections of the Scottish NHS workforce (except doctors).

2. The UK Treasury announced as part of the 2010 Spending Review to raise £6 billion by 2015 (£0.5 billion in Scotland) from increased contributions across ‘pay as you go’ public sector pensions schemes (NHS, civil service, teachers, etc). This equates to 3.2% average for individuals over period 2012-5.

3. 2011 saw agreement in England & Wales to a ’new’ pensions agreement in the NHS ,including increased contributions. Negotiations have taken place without success in Scotland throughout 2012 with the Scottish Government  to seek to find a Scottish solution. UNISON took industrial action across the UK in November 2011 on this issue and selective action in spring 2012 in NHS Scotland Boards (Greater Glasgow and Clyde; Lothian; Lanarkshire; Ayrshire and Arran).

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Scottish public service pensions should be managed in Scotland - UNISON

Wed 28 November 2012

UNISON Scotland today warned the governments in Westminster and Holyrood not to play politics with Scottish public service pensions.

Scotland’s main public services union was responding to Finance Secretary John Swinney’s announcement in the Scottish Parliament today (Wednesday 28 Nov) on the Public Service Pensions Bill going through the Westminster Parliament.

Dave Watson, UNISON Scotland Head of Bargaining and Campaigns said:

“Public service pensions are too important to play politics with. Over a million Scots are relying on these pensions – which are hard-earned savings for income in retirement. At present Scottish public service pensions are designed and run in Scotland – and that is the way they should stay.

“It is very clear that the Bill going through the Westminster Parliament is effectively a Treasury power grab over public service pensions in Scotland which is totally unjustified.

“From a Scottish point of view the Public Service Pensions Bill will impact mainly on the design and effectiveness of the Scottish Local Government Pensions Schemes (LGPS). We have argued that MPs should not agree to this legislation unless it is amended to retain the independence of these excellent schemes.“

UNISON has called on the Scottish Government to demand a Legislative Consent Motion (Sewell Motion) to allow the independence of Scottish pension schemes to be retained. We have also called on MPs to amend the Bill at Westminster to achieve the same ends.

Dave Watson added:

“The UK Government's approach also impacts on other Scottish pensions schemes including health. Workers in these schemes are still subject to the UK government’s unfair and punitive pensions tax and Treasury veto. We believe the Scottish government could still do more to minimise that damage here in Scotland and we have tabled detailed proposals with them about this."

Dave Watson concluded:

“If these two governments can manage to come to an agreement over a referendum on Scottish independence in 2014, they can surely come to a working arrangement which will retain the independence of well-designed and well-managed Scottish pension schemes on which over a million people are depending.”

ENDS

 

Notes for editors

1. UNISON is Scotland’s largest trade union representing over 160,000 members working mainly in the public sector in Scotland.

2. The UK Government's Public Service Pensions Bill sets out how new public service schemes are created and prescribes the key elements of all schemes including governance and benefits.

There are very significant implications for Scotland because primary pension legislation is a reserved issue. At present our schemes are covered by the UK Superannuation Act 1972. This is largely enabling legislation that allows the Scottish Parliament to design schemes that meet our requirements. In practice the NHS scheme closely follows England because changes to the scheme require Treasury approval. No such approval is required for the LGPS and that remains unchanged in this Bill.

However, the Bill, for the first time, prescribes key elements of all schemes and that will apply to the LGPS. It is therefore LGPS members who will be most significantly impacted by the Bill.

The main prescriptions include:

·                     A career average, not a final salary scheme. Revaluation percentages as specified by the Treasury.

·                     Retirement age linked to the state pension retirement age.

·                     A cost cap as defined by Treasury.

·                     Rules for governance and fund valuation.

All of these matters are currently decided in Scotland and therefore the Bill significantly undermines the current LGPS agreement. If the Bill goes through unamended the Scottish Parliament will be required to bring the LGPS into line on these points by April 2015. This will require an intensive period of negotiation on these points. None of these issues impacts directly on employee contributions, other than indirectly through the cost capping provisions.

Scottish Government officials have advised ministers that they must implement the UK legislation. However, UNISON has taken legal advice that this legislation requires the approval of the Scottish Parliament through a Legislative Consent Motion (Sewell convention).

We have written to John Swinney MSP, the Cabinet Secretary for Finance urging him to take this course of action. We have argued that Parliament should not agree to this legislation unless it is amended to retain the independence of the Scottish LGPS.

2. Our latest pensions bulletins deal with the Public Service Pensions Bill in more detail.

Scottish pensions Bulletin No 33 - Nov 2012 

http://www.unison-scotland.org.uk/pensions/scotpensionsbulletin33_nov12.pdf

Scottish pensions Bulletin No 32 - Oct 2012 

http://www.unison-scotland.org.uk/pensions/scotpensionsbulletin32_oct12.pdf

For further information on UNISON Scotland pension campaigns please visit www.unison-scotland.org.uk/pensions

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Pension costs falling

Projections contained in today's Office for Budget Responsibility report show total gross spending on public service pensions peaking at around 2.3 per cent of GDP during the five-year forecast period, before falling to 1.3 per cent of GDP by 2061-62. These figures show a steeper fall than their 2011 projections. This chart illustrates how, far from costs running out of control, as some claim, they are in fact falling sharply.

Somewhat different from the nonsense the Tax Dodgers Alliance put out this week!

UNISON response to Taxpayers' Alliance pensions nonsense

Wed 11 July 2012

“Financially illiterate drivel aimed at advancing a political agenda to make pensioners poorer” says public services union    

     

UNISON, Scotland largest union in Scotland’s public services, is today calling on the so-called Taxpayers' Alliance (TPA), to get its facts straight after the shady right-wing, low-tax pressure group attacked local government pensions. Again.

Payments into the Local Government Pension Scheme in Scotland last year were £299.944 million MORE than being paid out to pensioners. This inconvenient fact is ignored by the self styled think tank  - who likewise seem not to have noticed a connection between  the cuts in council workforce that that they have been urging and decline in local government workers paying in to the pension schemes  

The tax dodgers' alliance report points out the LGPS like is maturing with an increasing number of pensioners. What they fail to mention is that this is the case with almost all pension funds in the UK.

 Similarly unmentioned are;

·         That the pension funds enjoy an enormous income from investment – and so aren’t entirely reliant on contributions from members and employers

·         That a recent (2011) actuarial valuation of the Local Government Pension Scheme Scotland was very positive

·         The LGPS Scotland is currently taking in almost £300 million per year more than it is paying out.

·         Even in the event that the scheme was felt to be under pressure - a cost sharing agreement is in place.

·         Just 5p in every £1 paid in council tax goes towards pensions. Councils get only 25% of their revenue from council tax, 75% comes from other sources, including business rates and local government grants.

·         The numbers in the tax Dodgers Alliance report would only begin to make sense if everyone in local government decided to retire on the same day - a social, political and actuarial absurdity.

       

Mike Kirby, UNISON Scottish Secretary, said:

       

"This right-wing pressure group never lets facts get in the way of attacking public services and the people that deliver them. This is financially illiterate drivel. The TPA are simply out of touch with reality.

Pensions for local government are an affordable way of people saving for their retirement - and the results of that are modest enough  the average pensions for council workers in Scotland  is just £4,000 a year, dropping to just £2,800 for women.

       

We need to bring private sector pensions up to a decent level, not pull public sector pensions down - two thirds of employees do not get a single penny in contributions from their employers towards their pensions. The government's plans for auto-enrolment will not go far enough to keep people off means tested benefits.”

ENDS

Notes to editors

 

On Pension fund suprpluses in Scotland see

http://www.unison-scotland.org.uk/news/2011/novdec/2711.htm

UNISON Scotland pensions pages

http://www.unison-scotland.org.uk/pensions/index.html

Enough is enough - the battle for decent pensions for women

#undc12 Local Government delegates heard that women are at greater risk than men of pensioner poverty with around half of all women unable to make adequate pension provision for their future. For full report see http://www.unison-scotland.org.uk/conf2012/lgstory1.htm

Why Scotland can’t vote on English pensions

#undc12 The pensions debate at Local Govt Conference today is a bargaining issue affecting only members in England and Wales. No dates have been set for discussions on long term reform in the Scottish local government pension scheme and the 2008 provisions remain in place. That means there are no current changes and no negotiations.

Negotiations in England and Wales have resulted in proposals for a new England and Wales pension scheme from 2014. That is the issue in this afternoon’s debate and it will not change the Scottish pension scheme.

There are two common issues however. The move from RPI to CPI in terms of uprating and the issue of retirement age. The RPI/CPI is a political issue rather than a bargaining issue and the unions lost the case in court.

On the retirement age, the Scottish scheme retirement age remains at 65. The new proposals for the England and Wales scheme link the scheme’s retirement age to the state retirement age but there is no such proposal (as yet) in Scotland.

So, in short, Scotland can’t vote because the vote is on a bargaining issue relating to a scheme that only applies to members in England and Wales.

See more pensions news at http://www.unison-scotland.org.uk/pensions/index.html

Pensions: NHS talks start but action not ruled out

#STUC12 UNISON's Lilian Macer told the STUC that NHS workers in Scotland were starting talks on pensions but warned, "We will talk - basing our case on decency and farness but as Mike Kirby said yesterday - if the force of argument fails we will use the argument of force". http://www.unison-scotland.org.uk/stuc2012/10.html