BDiONU said:
I find it presumptious of us to attempt to decide the pay and conditions for people who have not yet joined the company and who will be joining with their own eyes open. Provided sufficient guarantess can be given (and proven) that our pensions are ringfenced then newcomers should join on different terms.
A pension is a long term investment and has to see through both good times and bad. A good company should make provision to pay what is due through thick and thin.
The UK is not in good shape now but 5,10,20,50 years it will be a different story (one way or another).
If 'newcomers' join a new scheme then funding to our scheme effectively reduces from the day it is 'voted' in... As time goes by more staff retire so the scheme has more liabilities. The level of funding into the scheme is in ever decreasing circles. In 20 years time most of the current staff have retired but there are still some people paying into the 'old' scheme. There is no surplus - in fact there is no money left in the scheme whatsoever as some shortsighted staff voted the 'old' scheme out. 'Newcomers' are ok as they are funding the 'new' scheme.
Tell me -BDiONU - where exactly does the money come from to pay for your younger colleagues pension - maybe you helped to vote the scheme out but if there is no money the pensions cannot be paid. FORTY years of loyal service do receive c*ck all back.....
A healthy pension scheme must always have money coming into it -
example -
every member of your family pays money into a bank account each month to pay for medicine for older family members. Each month the interest and a small % of the capital is taken out to pay for said medication. A family argument errupts and people stop paying into the account. Medication still must be paid for but each month the interest and an increasing % of the capital is removed. At some stage the medicine will cost more than is in the account. How does your elderly relative get his medication? The younger members don't care as they have their own problems????
To change the funding of OUR scheme will impact on your colleagues in a big way.
The scheme is still in surplus yet the company has taken payment holidays and I believe they do not pay the maximum in each month. They should be delighted that they are part of such a well run scheme. We are not staring into a big black hole - pay back what was saved during 'holiday' season (+ interest), pay in what should be paid. (They can afford it as management do like to brag about how much money our 'not for profit' making company makes each year.
Stop paying shareholders such big dividends and
look after your staff. They are the single most important asset you have.
My single most important asset is my future pension and I will not allow that to be taken from me.