Loganair ends final salary pension scheme to existing staff
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Loganair ends final salary pension scheme to existing staff
Just read this so I hope this is current news. Is anyone's pension safe 
BA franchise partner Loganair's final salary pension scheme is to terminate. The news comes after the independent Scottish airline recently announced seven figure profits - the highest in its 43 year history.
The airlne which operates scheduled services as a British Airways' franchise partner claims it closed the final salary pension scheme to new members four years ago and the closure will affect only a minority of employees.
Pilots and staff with the airline are enraged over the company plan. Around fifty employees with Loganair plus the pilots would be affected. The British Airline Pilots' Association claims it is the first time a final salary pension scheme has closed to members in UK aviation.
A Logainair spokesman said: 'This decision has not been taken lightly, however, the final salary pension scheme had become a disproportionate concern and burden to the company, and we have a responsibility to protect the long-term welfare of all employees.'
He added that the Glasgow based airline, which employs 240, has enhanced its contribution scheme, which the affected employees can join.
A spokesman for Balpa said: 'We have written to the company asking for talks but we have met with no response. This may escalate.'
BA franchise partner Loganair's final salary pension scheme is to terminate. The news comes after the independent Scottish airline recently announced seven figure profits - the highest in its 43 year history.
The airlne which operates scheduled services as a British Airways' franchise partner claims it closed the final salary pension scheme to new members four years ago and the closure will affect only a minority of employees.
Pilots and staff with the airline are enraged over the company plan. Around fifty employees with Loganair plus the pilots would be affected. The British Airline Pilots' Association claims it is the first time a final salary pension scheme has closed to members in UK aviation.
A Logainair spokesman said: 'This decision has not been taken lightly, however, the final salary pension scheme had become a disproportionate concern and burden to the company, and we have a responsibility to protect the long-term welfare of all employees.'
He added that the Glasgow based airline, which employs 240, has enhanced its contribution scheme, which the affected employees can join.
A spokesman for Balpa said: 'We have written to the company asking for talks but we have met with no response. This may escalate.'
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Originally Posted by LTNman
The British Airline Pilots' Association claims it is the first time a final salary pension scheme has closed to members in UK aviation. A spokesman for Balpa said: 'We have written to the company asking for talks but we have met with no response. This may escalate.'
Both BA & BMI have indicated their desire to "sort the problem once and for all"
Whatever they think they need to do, they will do. I do not see BALPA being in a position to dictate to companies whether they effectively go broke or not.
Calling for strike action will not force companies to relent, they have no choice. Chancellor Brown started all this, let's let him know what we think of him when election time comes around.
moley.
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Is the pension already earned by the affected employees to be frozen?
Or are benefits to be lost or greatly reduced?
This sort of thing is the inevitable consequence of slack Government legislation in the past, particularly with regard to "Pension Scheme Holidays" by employers, complete lack of legislation in recent years as the threats of closure became reality and the disasterous effect of Chancellor Brown's massive raid on pension investment dividends.
What we'll see now is whether BALPA sticks up for all of it's members or not. The support being given to BA regarding the threat to it's employees pensions will be a good measure of the support we should expect Loganair employees to receive, should it not?
Or are benefits to be lost or greatly reduced?
This sort of thing is the inevitable consequence of slack Government legislation in the past, particularly with regard to "Pension Scheme Holidays" by employers, complete lack of legislation in recent years as the threats of closure became reality and the disasterous effect of Chancellor Brown's massive raid on pension investment dividends.
What we'll see now is whether BALPA sticks up for all of it's members or not. The support being given to BA regarding the threat to it's employees pensions will be a good measure of the support we should expect Loganair employees to receive, should it not?
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Pension scheme holidays are not what you appear to think they are. Google the text and find out what they are before using them as an attack on the companies.
Companies are charged massive marginal tax if they contribute to fully-funded pension schemes beyond that required. Although it appears wrong - for example BA - never took a holiday from NAPS. It took a holiday from APS which remains fully funded at the moment.
Low interest rates are in fact what is causing the defecits along with increased longevity beyond that ever envisaged by managers whom originally set up and promised those benefits. Dividends - though foolish to remove - have had proportionally far lower effect.
Val D'Isere - look to your company council and the reps you elected rather than envying the relative greater involvement of those elected reps on the BA company council in mustering up action.
Companies are charged massive marginal tax if they contribute to fully-funded pension schemes beyond that required. Although it appears wrong - for example BA - never took a holiday from NAPS. It took a holiday from APS which remains fully funded at the moment.
Low interest rates are in fact what is causing the defecits along with increased longevity beyond that ever envisaged by managers whom originally set up and promised those benefits. Dividends - though foolish to remove - have had proportionally far lower effect.
Val D'Isere - look to your company council and the reps you elected rather than envying the relative greater involvement of those elected reps on the BA company council in mustering up action.
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Blame "Robber Brown"
Millions of you folks voted for a socialist government in 1997, falling for all the lies and half truths. Millions then voted them in again not once, but twice!
Sorry but I have no sympathy for you! "Robber Brown", from over the border, has misused tax payers money, he sold your gold reserves to support the "mickey Mouse currency" the Euro when gold was at its LOWEST value in history, he has stolen from pensioners and continues to do so and he is presiding over a potential "Black Hole" in tax funding that can only be filled by either higher taxes or lower public spending - and we all know which way he will flop!
If you don't like it then don't vote LABOUR!
Sorry but I have no sympathy for you! "Robber Brown", from over the border, has misused tax payers money, he sold your gold reserves to support the "mickey Mouse currency" the Euro when gold was at its LOWEST value in history, he has stolen from pensioners and continues to do so and he is presiding over a potential "Black Hole" in tax funding that can only be filled by either higher taxes or lower public spending - and we all know which way he will flop!
If you don't like it then don't vote LABOUR!
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The Labour govt were voted in first time, because the incumbents were so BAD! Second time it was because the opposition was so bad.
Next time? Who knows?
Either way you can't win, the two main parties are both bad. 18% interest rates with the conservatives, do you really want to return to that?
If you have no sympathy you are foolishly mislead. Be sympathetic to the fact that there is no one in the house of commons fit to lead us. Until that changes, we will have good things taken away. Today it is pensions, tomorrow our freedom (in order to catch terrorists of course....), the day after that, something else.....
Next time? Who knows?
Either way you can't win, the two main parties are both bad. 18% interest rates with the conservatives, do you really want to return to that?
If you have no sympathy you are foolishly mislead. Be sympathetic to the fact that there is no one in the house of commons fit to lead us. Until that changes, we will have good things taken away. Today it is pensions, tomorrow our freedom (in order to catch terrorists of course....), the day after that, something else.....
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Pension scheme holidays are not what you appear to think they are. Google the text and find out what they are before using them as an attack on the companies.
Companies are charged massive marginal tax if they contribute to fully-funded pension schemes beyond that required.
Companies are charged massive marginal tax if they contribute to fully-funded pension schemes beyond that required.
For those as slow to understand, I said, quite clearly, that this sort of thing is the inevitable consequence of slack Government legislation in the past, particularly with regard to "Pension Scheme Holidays" by employers.
Why don't you do a Google, Re-Heat. Find out who's responsible for tax legislation in the UK. Then have a think. I'll listen for the penny dropping.
Dividends - though foolish to remove - have had proportionally far lower effect.
Your comment re BA reveals much about you and your interests and loyalties. I'll ignore it.
In fact, I'll ignore any further posts from you.
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Pension holidays are there for a very good reason under legislation. They have little or nothing to do with many of the funds in defecit now - they prevent companies evading UK corporation tax on schemes that are fully funded at the moment. Many of the schemes that are in defecit now had little or no holidays taken and have problems far more attributable to actuarial incompetence and backwardness for reason such as longevity, asset valuation etc that I mention above.
The fact that the figure of the defecits combined across the UK is the same as what Brown has taken in additional taxes is something I find hard to believe, as there is no such single figure compiled to my knowledge by anyone (I would suspect that any published by the PPF probably relate only to FTSE listed at the moment, which would understate the national defecit), and that figure fluctuates wildly for the reasons given above while Gordon's take is fixed.
My comment about BALPA was to point out that you have to kick start such processes yourself within such organisations.
I hold no loyalties to anyone.
The moral responsibilty that employers have to maintain their promises, and positive efforts to ensure prevention of further erosion, are quite different from my correcting you and others as to why those defecits are there at the moment.
The fact that the figure of the defecits combined across the UK is the same as what Brown has taken in additional taxes is something I find hard to believe, as there is no such single figure compiled to my knowledge by anyone (I would suspect that any published by the PPF probably relate only to FTSE listed at the moment, which would understate the national defecit), and that figure fluctuates wildly for the reasons given above while Gordon's take is fixed.
My comment about BALPA was to point out that you have to kick start such processes yourself within such organisations.
I hold no loyalties to anyone.
The moral responsibilty that employers have to maintain their promises, and positive efforts to ensure prevention of further erosion, are quite different from my correcting you and others as to why those defecits are there at the moment.
