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Pensions

Motion A628 was carried

NEC attitude: support

Conference condemns the Prime Minister’s public announcement on 31 March 2009 about the Civil Service Compensation Scheme (CSCS) which has created a climate of fear amongst members. This has not only helped those politically hostile to the civil service, but also undermined the negotiating process. The commitment to finding £500m savings has made clear that this is yet another political attack on the pay and conditions of civil servants. This is a hostile act particularly at a time when members’ jobs are at risk and designed to “sack members on the cheap”.

Conference further notes the threat to proceed administratively despite the protracted negotiations seeking to reach a negotiated settlement. Conference agrees that the NEC should still seek a negotiated settlement that protects in overall terms the existing entitlements and service of members facing a potential redundancy situation.

Conference notes that, following a meeting with the Head of the Civil Service on 11 May 2009, agreement has been reached for further intensive negotiations to take place following Conference.

However, given the hostile signals received from the Government and senior civil service management, we believe the Union should prepare for the eventuality that an acceptable agreement cannot be reached.

Conference, therefore, instructs the NEC –

1. to prepare for a national campaign – if possible in conjunction with other unions - highlighting the negative impact management proposals will have.

2. to consult the members on the options for further campaigning, including industrial action, if it proves necessary

3. that any campaign and/or membership consultation should link up, if possible, with our national pay campaign.

4. in conjunction with other unions, to instruct solicitors to prepare a case for legal action; including the possibility of Judicial Review.

5. to provide guidance to members to ensure that their legal rights are protected.

Conference instructs the NEC to ballot members on any proposed new Civil Service Compensation Scheme.

(E marked motions associated with led motion E61, E375-377)

Motion A62 was carried

NEC Attitude: support

There is a distinct possibility that the Conservatives will be elected to Government in the next election. They have flagged up their intention to end defined benefit pensions schemes in the public sector and replace them with defined contribution schemes. Under defined contribution schemes the final payout is not determined by length of service or accrual rate but rather by the state of the stock market when a person retires and the monies contributed to the pension are invested in that market to buy an annual income.

This conference notes that over 5 million people work in the public sector and are in defined benefit pensions schemes; when dependants, relatives and friends of these public sector workers are added in then there is potentially a huge block of people who could be rallied to defend the present pension schemes.

This conference states its implacable opposition to the ending of defined benefit pensions schemes and resolves on the following actions:

  • That as soon as possible after PCS Annual Delegate Conference that all political parties likely to stand in the next general election, with the exception of the BNP or similar parties, be asked to state whether they favour the retention of defined benefit pensions schemes in the public sector; the results of these answers to be relayed back to the members;
  • For those parties that want to end defined benefit pensions that they be lobbied in any appropriate manner, as determined by the NEC, to get them to change their stance;
  • That the Union seek through the TUC, or if necessary by one to one talks with other public sector Unions, that there be a public sector wide campaign to defend defined benefit pensions and that these Unions lobby those parties who wish to end defined benefit pensions to change their mind and to make the retention of defined benefit pensions a key electoral/political issue; this campaign to be started as soon as possible and to run up to the next election and after it;
  • That the retention of defined benefit pension schemes be a major, if not the major issue in the "Make Your Vote Count" campaign.

Motion A63 was lost

NEC Attitude: oppose

Conference notes circular BB2/07 describing the outcome of discussions on pensions as a breakthrough, and further notes the outcome of the membership ballot endorsing a new scheme.

Conference welcomes measures aimed at improving the pension provisions for the lowest paid, and particularly welcomes elements of a pension scheme that have the potential to improve pension provision for those with shorter service, which includes those members who have taken career breaks as well as those who work or who have worked part time. Nevertheless Conference expresses concern at the possible reduction in pension entitlement inherent in a career average scheme for particular groups of members. Whilst those who have been able to achieve promotion early in their working lives may be advantaged, those who were promoted much more slowly could be disadvantaged. In this regard, Conference recognises that appraisal and Promotion systems are not always fair.

Conference notes the potential benefits of the accrual rate of the new scheme, which may have the potential to overcome such difficulties. However, Conference recognises that the ballot on the new scheme was hurriedly undertaken. Whilst Conference appreciates the reasons for this, it would be advantageous for members, Branches, and Conference to see additional detailed worked examples as to how the new pension scheme would work in practise. Conference therefore instructs the NEC to provide a range of such examples, including for those referred to in this motion.

Conference also believes that there should be a clear option to retire at age 60 without actuarial reduction. Whilst recognising that in the current climate this may have a cost, Conference believes it is essential that this option be made available to members. In setting out a position in favour of this option,

Conference rejects completely the view of government, media, and the millionaire class that decent pensions for working people are unaffordable.
Conference recognises that the food and industrial resources needed by society can be produced by progressively smaller numbers of people owing to enhanced technology, and that the benefits of this should accrue to working people as enhanced leisure time, including through earlier, not later, retirement.

Conference rejects outright the "work till you drop" principle of the millionaire class, noting that such people generally ensure both early retirement and luxury pension provision for themselves. Conference therefore congratulates the NEC for the Agreement reached, but instructs the NEC to (a) publish several worked examples as listed above, (b) give detailed consideration to a retirement at 60 option in the new scheme, and to report back to members and Branches in good time for Conference 2010 i.e. preferably by mid-December 2009 with the NEC's findings.

Conference similarly directs the NEC to follow the same principles when considering pension schemes affecting members in the private sector, and to continue, including via the TUC efforts to restore pension provision stolen from members arising out of privatisation processes, and/or of the failure of such privatisation.

Motion A64 was carried

NEC Attitude: support with statement

That this Conference instructs the NEC to aim to have the unpaid period of maternity leave regarded as continuous for pension purposes by the Civil Service employers and to seek across all departments for contributions to be made to the pension scheme as if the member were still engaged at work.

Guillotined: A65