Tories to look at pensions.

[Al R]

Dallas makes some good points. The RAF has more people serving for longer who leave a lot nearer natural retirement age. I don't suppose the average Tom who does 5 years in the infantry cares too much about things like pensions.

MGD,

Its not ‘just’ the reliable salary that is attractive – its the overall package. Consider being a Sergeant in High Pay Band, Level 7 Pay, on a 6-month Operational Tour.

Salary:

£35,219.00 (not all that shabby in itself?)

(Some) benefits:

Operational Allowance:£13.08 per day for 180 days = £2,354.40
Longer Separation Allowance (LSA)£14.52 per day for 180 days = £2,613.60
Gym = £240.00
Medical Care: (eye, prescriptions dentist etc) Which might be estimated to be = £270.00
Standard Learning Credit: Up to a value of £175.00 pa
Enhanced Learning Credits:Up to a value pa (for a max of 3 years) of £2,000.00
Subsidised Accommodation Families Quarter, Type C:£1,775.72

Total so far.. £44,647.72

Plus pension Benefit (annual MoD contribution) the value of which might be estimated at = £6,832.49

Total (including pension): £51,480.21

Would an engineer be paid that much, or get those benefits? I know that the BAe pension fund requires an employee contribution of 4%. Also, a lot of that added 'hidden' value is fixed, so an SAC gets the same benefit, making his/her salary (pro rata) disproportionately advantaged. Would he/she be as inclined to leave?

The pension scheme is going to evolve, there's no point in wondering about that - it might be that the scheme changes for new members, as have many Final Salary Schemes. But, in making its decision, the MoD will consider how many recruits found their way to a MoD recruiting website, having Googled 'Great workplace pensions'? Not many..?