Danny Alexander Outlines Significant Concessions On Public Sector Pensions Ahead Of Planned Strikes - But Unions 'Firmly Committed' To Strikes

Danny Alexander

Huffington Post UK   Dina Rickman First Posted: 02/11/11 14:03 GMT Updated: 02/11/11 20:30 GMT

Unions have slapped down Danny Alexander's 'take it or leave it' deal on public sector pensions. Despite the chief secretary to the Treasury announcing significant concessions ahead of planned strikes at the end of this month, in a statement TUC chief Brendan Barber said unions were still "firmly committed" to strikes.

"Unless and until further real progress is made and acceptable offers are made within those negotiations, unions remain firmly committed to continuing their preparations for the planned day of action on November 30", said Barber.

Earlier on Wednesday Alexander outlined an 8% increase on the government's previous public sector pension settlement, adding that no worker within 10 years of retirement will need to worry.

Negotiations on changes to public sector pensions have been going on since February 2011. The government has always insisted that the meetings with union leaders have been 'productive' but the unions themselves have consistently said that ministers have failed to give any ground on their demands.

"No public sector worker needs to have anything to fear at all for any of the entitlements they have already built up," Alexander said.

"No one within 10 years of retirement will see any change in when they can retire or any decrease in how much they can receive."

He challenged the trade unions to "grasp the opportunity" of the new offers.

"We've listened to the concerns of public sector workers and come up with a deal that is fair and affordable."

"I hope that on the basis of this offer, the Trade Unions will devote their energy to reaching agreement not on unnecessary and damaging strike action.

"That way this offer can inform the scheme by scheme talks that will continue until the end of the year. Of course, if agreement cannot be reached we may need to re-visit our proposals, and consider whether those enhancements remain appropriate."

The GMB's Brian Strutton also said they would continue to hold ballots, saying in a statement on Wednesday: "My view is that we would want to explore the effect of the improved offer whilst still seeking answers on the outstanding matters. We will not be able to resolve these issues quickly or easily so our industrial action ballot continues as will negotiations."

Public and Commercial Services union general secretary Mark Serwotka said: "Any new offer is always welcome but the latest concessions are only marginal and would still force public servants to pay more in and work longer for less in retirement.

"Effectively ministers are saying they will only raid pensions by slightly less than they were planning to. The money raised will still go straight to the Treasury to pay off the deficit, not into pension schemes that have been shown to be affordable now and in future.

"It is not true that people close to retirement age will be protected, because they will still be forced to pay up to three times as much for a pension already devalued by up to 20% by the imposed switch in indexation which we have challenged in the High Court.

"It should be remembered that this latest offer was only wrung out of ministers by the threat of mass industrial action on 30 November, and following our successful strike with other unions in June.

"We will look at the details to see how they affect our members, but we continue our plans to make 30 November the biggest strike we have ever seen.

"It remains to be seen if ministers are prepared to stop tinkering around the edges and start talking to us about the core issues of concern for millions of public sector workers."

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Unions have slapped down Danny Alexander's 'take it or leave it' deal on public sector pensions. Despite the chief secretary to the Treasury announcing significant concessions ahead of planned strike...
Unions have slapped down Danny Alexander's 'take it or leave it' deal on public sector pensions. Despite the chief secretary to the Treasury announcing significant concessions ahead of planned strike...
 
 
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HUFFPOST SUPER USER
mrld20
05:51 AM on 11/05/2011
If you look at unions in America we're not going to shut down an entire country over pensions... We'll stick to the negotiating table until a deal is hashed up... Strikes are only for when all options are exhausted...

I would like to add while pensions in Europe are sacred... Most Americans don't have a pension... We have 401K's that are controlled by the free market... And what do you know our retirement savings are all drained away

So gripe and complain all you like about your precious pensions... AT least you'll still have them... You'll get no sympathy from the states... Europeans are greedy....
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HUFFPOST SUPER USER
Daviejohn
All the world's a stage,
09:49 AM on 11/03/2011
Well done to the Public Service, would that I could have had support like yours when the Government stole my Pension fund in turn from Thatcher to Brown. Spend it wisely and please don't kick sand in the faces of those of us who actually earned ours in the Private sector.
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HUFFPOST SUPER USER
Daviejohn
All the world's a stage,
09:43 AM on 11/03/2011
I thought only the Lib Dems used the colour yellow, not so, Cameron has made the colour his own.
The Public Services will have Gold plated pensions on the backs of the rest of us who were robbed of OUR pensions by successive Governments since Margaret Thatcher. Shame on you all, giving it to the Bureaucrats for sitting on their thumbs all day.
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HUFFPOST BLOGGER
Lawyer13
retired Lawyer, General and Psychiatric Nurse, wit
06:01 PM on 11/02/2011
The new offer seems very good to me and I would not turn it down, the Unions are wrong to threaten strike action on 30 November 2011.
This comment has been removed.
05:46 PM on 11/02/2011
I have seen many of them pacing aimlessly in the streets and in every street in every city of the nation. Those who are taken with a rare sort of apoplexy, those who are planet-str­uck or else rendered insensible and stupefied beyond any amazement or fear. Those whose brains are now benumbed and stunned resulting in a certain form of hysterical self-impor­tance. I urge you. Only look out a window or a door and you will see them there. Look into their vacant eyes and read their ghastly signs. They trod and they stagger in their trance-lik­e swoons, in their diseased state of the mind which lends them, if nothing else, the dull affect of the dead. Oh, where is their island? Where is their peace?”
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03:37 PM on 11/02/2011
"... would still force public servants to pay more in and work longer for less in retirement....".


Perhaps MPs could make a gesture by agreeing to the same conditions ......

(And doing away with their 'payoff' -- sorry, I meant resettlement allowance -- when they leave parliament.)
03:12 PM on 11/02/2011
This is Britain's equivalent of the Greek problem. Everyone knows that Public Sector Pensions are unaffordable, even Labour, but those affected don't want to recognise this or want the taxpayers to bail them out.

Perhaps the response to a strike is to call a referendum on Public Sector Pensions.
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MarxEngelsLeninTrotsky
Einstein: Socialism is the way forward.
12:27 AM on 11/03/2011
Unaffordable? Yet wars in Iraq, Afghanistan, the nuclear program at a cost of £34billion, you know those bombs that can wipe out the whole of civilization, the stupid money spent of defense including the Eurofighter Typhoon project which spiraled from £3billion to £37billion, that same aircraft that got "shot" down three times by Pakistani F-16s (few month ago) which are about 30year old, even the RAF pilots basically said "this is sh**" and it's supposed to be "state of the art". Not just costly but downright embarrassing. So yeah public sector pensions are unaffordable. Dream on.