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Pensions, Pensions,
Pensions
I thought
the heading would draw your attention as amazingly, the issue that is one
of the most important to our members is one of the most current in our
negotiations, press, parliament and general conversation. I’m afraid, as
sad as I am, I regularly listen to LBC and the subject of public employee
pensions consistently rears its head. And it is depressing that there is
little sympathy out there for those of us who receive these pensions,
irrespective of the fact that we have paid into them for so very many
years. There is clearly a level of envy from those who have decided not
to protect their futures towards those who had little choice but to
contribute – and contribute handsomely – throughout their service.
I
remember when, in the early 70s, our pension contribution increased from
seven per cent of our salary to 11 per cent. There was much in the press,
and from the Police Federation, about this increase representing four per
cent in our contributions. I found myself screaming: “it’s not a four per
cent increase, it’s a 57 per cent increase.” And now we find that those
in service are going to pay even more and undoubtedly get even less. We
have something in common with them as we are going to get less. Let us
not under-estimate the effect of the change from RPI to CPI; it is going
to cost us dear.
It is not
our problem that the Government’s finances are in such a state – we have
done our bit and we have paid our way. We will no doubt continue to make
our contribution through higher taxes and be the victims of the cutbacks
the Government will undoubtedly need to make. Let the tax avoiders and
the fat cats who can afford more contribute more. We will need every
penny we get to ride the storm that will not go away quickly. We are
still awaiting the result of the Judicial Review regarding the way we
were short-changed last year with our index linking. The Judges heard the
case on 25 October and have reserved judgement. It will probably take
some time for them to return with their view. (See CSPA
Newsletter 80 regarding outcome)
The good
news is that we will/should receive an increase in our pensions of 5.2
per cent in April as this is the CPI figure for September 2011 on which
our indexation is now based. Whilst RPI, the historic – and in my view
contracted – figure was 5.6 per cent, there is no doubt that in the
current climate of pay freeze, pay cut and job loss, 5.2 per cent is
great news but we really must look at the bigger picture. There is
absolutely no doubt that the balance between your pension contributions
and the entitlement you received – yes, it is an entitlement – was
calculated on you being uprated on RPI.
You are being short-changed.
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Making A Difference
On a much
brighter note we now have a new Office Manager. As you will have read in
our Chairman’s column, Judy Redford was appointed in October and has
taken over the running of the office. Judith completed her full career
and, during her final years, was an elected member on the National
Committee of the Police Federation. She has particular skills in the
areas of discrimination and disability and will be an asset to us all in
her new role. I have personally known Judy for many years and can assure
you that you will receive a service from our offices that is second to
none.
*****
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