UNISONActive is an unofficial blog produced by UNISON activists for UNISON activists. Bringing news, briefings and events from a progressive left perspective.

Tuesday, 20 December 2011

LGPS – ‘Deficit Tax’ Increased Contributions Averted

In October the DCLG commenced a formal consultation on increased employee contributions for LGPS scheme members in England and Wales - proposing increased contributions for all scheme members in posts with FTE salaries over £15,000 - rising from 1.5% for those earning under £21,000 to a maximum of 6% for ‘high earners’. Negotiations on the LGPS have successfully averted the DCLG’s proposed increases – which were due to be phased in between April 2012 and April 2014. http://www.communities.gov.uk/publications/localgovernment/pensionconsultation

Yesterday, UNISON published a briefing on the framework agreement for future negotiations on LGPS reforms. The agreement with the Local Government employers is expected to be reported to Parliament today, including confirmation that the formal consultation on contribution increases will be scrapped and the LGPS status quo will be maintained until April 2014.

A major achievement for the local government unions, which will now be the subject of consultation through UNISON’s democratic lay structures involving five service group executive's which will meet on 10 January 2012: