maxy101, I think we're locked in an argument over semantics regarding what "market rate" means. My final word on it; the salary plus benefits (including expected pension) was the market rate. If it wasn't, no-one would have gone for it. So I don't think that for 17 years you had worked below market rate. I can agree with the assertion, however, that a change in the expectation of your pension on retirement changes the overall equation, thus taking you below general market rates and below what you would have voluntarily worked for. So while you HAD not worked at below market rates, you may find, following possible actions from your employer, that you HAVE worked below market rates... if that makes sense. I started this sideshow on the meaning of words and apologise if I've dragged the debate into the sidings. (And yes, I do need to get out more.)
Back to the question of possible actions. I said earlier in the thread that the BA pilots have my sympathies. That said, I urged a level headed response. That's the best way to maximise the benefits for yourselves. BigBrutha, I know it's an emotive and charged issue, but you would not rather BA went under, despite what your anger may tell you. You'll be worse off. I'm not saying bend over and take what's being given without protest. I guess I am just saying that revenge is a dish best served cold.
And going back up the thread to the post by Paxboy, the government saying it's not repsonsible for corporate pension schemes. They are responsible. They removed the pension exemption on advanced corporation tax on dividends a few years ago. This means that dividend cashflows into the pension funds are now subject to tax at 20% where previously they were exempt from tax. Pension funds pay the pensioners with the dividend flows. Suddenly they're getting 20% less and the actuaries are telling them they're under funded. I think the government, master Brown in particular, are substantially responsible for the current pension mess. They should not be allowed to wash their hands of it so easily, but I guess that's a debate for another forum...
Last edited by sugden; 21st March 2006 at 13:10.