BBC pensions: staff protests win improved offer
1 October 2010
BECTU, the NUJ and Unite, the unions which represent the
majority of BBC staff, have confirmed that strikes planned for 5
and 6 October have been called off after management tabled an
improved offer on pensions earlier today.
After further consultation with the BBC next week, the unions
will make plans to run consultative ballots amongst their members
to decide whether the improved offer is sufficient to resolve the
long running dispute.
Plans for the strikes scheduled on 19 and 20 October will be
reviewed once members have voted.
Emergency talks this week, which culminated in a further meeting
with BBC management this morning, have resulted in the following
key improvements in reply to the unions demands:
- Reduce employee contributions in CAB 2011 [proposed new career
average pension scheme] from 7 per cent to 6 per cent;
- The lower of CPI and 4 per cent for pensions in payment in CAB
2011;
- The lower of CPI and 4 per cent for revaluation in CAB
2011;
- In periods of high inflation and subject to affordability and
the Scheme's investments performing in line with
expectations, joint discretion between the BBC and the
Trustees to award a higher percentage for revaluation purposes,
with an arbitration process (details to be confirmed) in the event
agreement cannot be reached;
- An AVC matching facility in the new DC scheme for
non-pensionable overtime and UPA allowances, subject to a maximum
amount to be determined following further analysis of cost which
will be subject to a maximum of £5 million per annum. This
option would be open to all recipients of overtime pay and
UPA allowances in old/new benefits sections (who opt to move
over to CAB 2011), the current CAB scheme, CAB 2011 and the new DC
scheme;
- A commitment to revisit elements of the pension reform
proposals in the event the pension deficit in the April 2010
valuation (to be finalised and communicated no later than 30 June
2011) falls and stays below £1 billion (before pension reform
changes are factored in).
The new proposals also include important new measures to provide
staff facing compulsory redundancy with time to identify
alternative employment in the BBC.
On the 2010/11 pay review, the proposals restate the earlier
offer – a £475 flat rate increase applicable to all staff
earning up to £37,726 – and confirm the intention to backdate
payment to 1 August 2010.
The unions negotiators commented on today’s breakthrough: Gerry
Morrissey, general secretary, BECTU: “The union side has worked
very hard over three long months to arrive at this point. We
believe that the current proposals are certainly the best that can
be achieved without industrial action and on this basis we will be
consulting our members further. We have secured these improvements
because of the willingness of all union members to make a stand
against attacks on pensions; staff should be proud of their
resolve."
Jeremy Dear, general secretary, NUJ: “Given the outrage the
BBC’s pensions proposals have caused, which staff have consistently
viewed as a pensions robbery, we’re obviously pleased that the BBC
have seen fit to table an improved offer, rather than face strike
action. Clearly, the determination of staff at the BBC to fight to
defend their pensions has forced a rethink on the part of the BBC’s
management.
“Though we still have a number of reservations about the new
offer, we remain committed to clarifying the BBC’s proposals
through negotiation over the next couple of weeks and are hopeful
that an acceptable offer, protecting benefits already accrued and
not limiting future pensions accrual through the imposition of a
punitive cap can be agreed.”
Peter Skyte, national officer, Unite: "The BBC has made some
attempt to bridge the gap between us in order to resolve this
dispute.
“Members are looking for the BBC to stand as a beacon of
excellence in pay and pensions as much as it does in broadcasting,
and not join a race to the bottom by irresponsible employers in
shedding all risk and drastically shrinking incomes in retirement.
Our members will now be asked whether the BBC offer meets this
test."
The three unions will be seeking further clarification from the
BBC on the AVC matching facility referred to above and following
this will organise consultative ballots amongst their
memberships.
ENDS
For further information contact Sharon Elliott, communications
officer (BECTU) on 020 7346 0900 or 07770 971427 or by email to
selliott@bectu.org.uk;
Rod Alexander (NUJ) head of campaigns and communications on
020 7843 6380 or 07921 700 110 or Shaun Noble (Unite) on 020 7420
8951 or 07768 693940
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