NAPs changes, how much it will cost you?
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The first package, which requires paying more, features:
· A normal retirement age of 60 for a contribution rate of 10 per cent
· An accrual rate of 1/60th
· The option to buy a faster accrual of 1/56th or 1/52nd for a further 3.6 per cent or 7.2 per cent respectively
· A cap on pension growth in retirement of 2.5 per cent or keeping the current five per cent for a further 3.9 per cent contribution.
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So it appears to keep NRD, 1/56 accrual and five per cent in retirement will just mean staff contributions changing from 5.25% to 17.8%, just a 12.55% increase in payments!!!
I suggest all staff work out what take home pay will look like with an extra 12.55% being paid into pensions!!!
The good news is apart from the above, any time BA can show people live longer, staff will take ongoing hits to reduce pension even more, plus any pay rise in future for pension will be be limited to inflation at that point in time, lots of scope to cut pension costs with some clever pay deals!!!
I suggest all unions get with BALPA on this one ASAP!!!!!!!!!!!!!!!
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The above was from an engineering web site, appears the numbers quoted for pilots and cabin crew are even stronger? looks like the show will start soon, good luck to all the BA staff.