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NUT respond to Danny Alexander's speech on pensions

17 June 2011

Commenting on the outline given by Chief Secretary to the Treasury Danny Alexander of the Government's position on public sector pensions, Christine Blower, General Secretary of the National Union of Teachers, the largest teachers' union, said;

“Danny Alexander's statement confirms what the NUT has been saying all along. The Government is not, and never was, taking our pensions negotiations seriously.

“This is the 'offer' that the Government is making to teachers: pay 50% more for your pension, and then when you retire at 68, your pension will be indexed only to the lower CPI measure of inflation.

“In other words, there is no shift at all from the Government's original position – we must pay more, work longer and get less.

“The Teachers' Pension Scheme is viable, a fact the Government is completely ignoring. The agreement reached in 2007 meant teachers pay more for their pensions, the normal pension age has been raised to 65 for new entrants and employer contributions have been capped.

“The Government has failed to carry out any valuations of the public sector schemes, which we believe will confirm the National Audit Office view that their costs are falling because of reforms already in place.

“The proposed unjustified increases in pension contributions will result in many teachers simply opting out of a scheme they can no longer afford. This will have disastrous consequences for both the individual and society. Fewer people will have any interest in going into an extremely demanding profession should these reforms go ahead.

“The Government has already broken its promise to protect accrued rights, despite what Danny Alexander has said today, by changing pensions indexation and cutting payments to those already retired and about to retire.

“The Government believes it can railroad over our negotiations and over the facts. It is for this reason the NUT had no option but to ballot for strike action. We cannot stand back and see these unnecessary attacks on public sector pensions happen.

“It is not a case of insulating the public sector but defending what is right and fair.”



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National Union of Teachers

National Union of Teachers

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