Merseyrail Section of The Railways Pension Scheme – 2013 Actuarial Valuation

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My Ref: MRP 1/8/58                                   3rd October 2014
 
                                            Circular Num: NP/197/14
To: The Secretary All Branches & Regional Councils

Dear Colleagues,

Merseyrail Section of The Railways Pension Scheme – 2013 Actuarial Valuation

Following the 2013 triennial actuarial valuation of the Merseyrail shared cost section of the Railways Pension Scheme (RPS), the results reveal a deficit of £7.6 million with a funding level of 94.6%.

In line with the 2010 actuarial valuation recovery plan the Joint Contribution Rate (JCR) was due to reduce from 2015. However, if contributions were to reduce it was anticipated that the shortfall in the fund would not be cleared by the end of the recovery plan.

After seeking actuarial advice management proposed to maintain the current JCR until March 2024 so that the deficit is recovered within 10 years. The proposal is:

•    To maintain the JCR at:
 
o    Member 10.96% / Employer 16.44%

•    With no benefit changes

The General Grades Committee in consideration of this proposal noted and adopted the following report on 3rd October 2014:

“We note that the employer is proposing to maintain the Joint Contribution Rate at its current level so that the deficit is recovered within 10 years.

We further note the recommendation for acceptance of this proposal from our JNF representatives and Regional Organiser.

Therefore we instruct the General Secretary to inform the company of the General Grades Committees acceptance of this proposal.

Branches and Regional Councils to be informed.”

I will keep you informed of any developments.

Yours sincerely,


 

Mick Cash
General Secretary