(if you cannot access any of these documents please e-mail
Web Manager for alternative
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Ballot Paper
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in case you have not received your
voting paper or you have a non-unison member colleague who would like to
join and take part in the vote
Scottish Pensions Bulletin 11
Scottish Pensions Bulletin 10
Draft Agreement
Powerpoint
Presentation
Scottish Pensions
Bulletin 9
Scottish Pensions Bulletin
8
Scottish Pensions Bulletin 7
Scottish Pensions Bulletin 6
(apols for poor quality)
Scottish Pensions Bulletin 5
LGPS Scot Governance
CoSLA Pension statement
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REVISED SCOTTISH LOCAL GOVERNMENT PENSION SCHEME
Negotiations have been continuing between the trade unions, COSLA and the
Scottish Public Pensions Agency over the changes to the pension scheme which
will apply from 1st April 2009. The local government pension
scheme does not just cover those employed by Highland Council but many other
bodies who have agreed to abide by the terms of the scheme. They include
fire and Rescue Service, Careers, Inverness Leisure, the colleges and many
others.
UNISON is committed to holding a ballot of all its members when the final
regulations of the scheme are laid before the Scottish Parliament. This is
likely to be early in 2008 and advice on the impact of the scheme will be
given.
The scheme will continue to be a final salary scheme but will used 1/60
instead of 1/80 to determine what benefits people are entitled. This will be
an improvement but a key change will be that people when retiring will need
to decide how much of their pension they wish to take as a lump sum instead
of additional annual pension. There will be no maximum service so anyone who
decides to work on with the employer’s agreement will be able to continue to
pay into the scheme and gain benefits.
The outstanding issues which the Scottish Government is leaving to COSLA to
resolve with the trade unions are
It
has already been agreed that contributions will be amended and the
employer will pay approximately twice what an employee pays. The trade
unions are arguing for a sliding scheme but there is resistance from the
employers. The scheme proposed would be based on the principles applying
to income tax i.e. the first level would have so much paid by employees
and above that would be a different rate. Examples of different banding
structures will be put on the website. The key for individuals to remember
is that the current 6% (except for a very few long serving manual workers
who pay 5%) is that the after tax effect is 4.8% for all except higher
rate taxpayers where it is 3.6%.
The period
between reviews is likely to be 6 years but this has not yet been
finalised.
Changes to
entitlements for people unable to work on to normal retirement age due to
ill health are still to be finalised. There will two options definitely –
one for those who have no reasonable prospect of working before the normal
scheme retirement age and another for those who are likely to undertake
gainful employment before age 65 within a reasonable period. There may
also be a third tier for those who are likely to be capable of undertaking
gainful employment within a short period. If this is agreed it is likely
to be covered by an employers grant.
Partners
pensions have been agreed but the notification requirements for those who
are in a long term relationship but have not gone through a marriage or
civil ceremony need to be resolve.
Transitional arrangements will need to be agreed which could be either the
current value is converted to the equivalent in the new scheme and when
people retire they are paid on this basis. This is the employers preferred
option but for presentational reasons and simplicity for members it may be
that existing scheme members will have two calculations when they retire –
one under the current rules and the other under the new scheme.
Agreement
on how much say employees will have in the running of the scheme including
investment policy has still to be agreed.
further information is available from Munro Ross, Branch Convener.