My Ref: MRP 24/1
25th February 2021
Circular Num: NP/68/21
To All Branches, Regional Councils and Regional Offices
PUBLIC SECTOR PENSION SCHEMES – MCCLOUD AND SARGEANT COURT CASES
Further to Circular NP/012/21, 11th January 2021, as previously advised the government recently lost its appeal against a court ruling which found that some of the changes which were made to public sector pension scheme in 2015 were in fact age discriminatory. As a result the Government now have to reverse the changes which have been made so that members are no worse off.
As you will recall the Government following the MCCloud and Sergeant Court Cases were given two possible options to correct members pensions which were an “an immediate choice “or a “deferred choice underpin”. I can report that the Government on 4th February 2021 have elected for the deferred choice underpin.
In consideration your National Executive Committee on 23rd February 2021 noted and adopted the following report:
“We note that the Government have announced that they intend to use the “Deferred Member Option” to ensure that members of Public Sector Schemes who were contributing on 1st April 2012 are not disadvantaged as a result of the changes which were made to their pension schemes in 2015.
While we note that talks are still ongoing between unions and the Government to ensure that members of these schemes are protected and to also seek further improvements if possible we instruct the General Secretary to coordinate a briefing meeting with our Regional Organiser who represent our members employed by the RFA, Tyne & Wear Metro and Orkney Ferries to ensure that they fully understand the implication of these developments and to also explore how we can educate our members so they have a better understanding of their occupational pensions benefits.
Further it is noted that our pension’s lawyer has drafted a circular in respect of these developments which we would instruct the General Secretary to send to effected members.
Regional Councils and Branches to be advised.”
As mentioned in the above report please find attached with this circular the outcome document for your attention.
I will keep you advised of developments.
My Ref: MRP 24/1