09 March 2007
Local government trade unions have agreed to hold off further industrial action in their long-running dispute over pensions as they believe they are close to a deal, Public Finance has learnt.
Unison claims it has already won a major concession from local government employers, as plans to introduce a new, 'two-tier' pension scheme in 2008 have been scrapped.
Instead, an improved accrual rate and other benefits will be introduced to the current Local Government Pension Scheme.
Heather Wakefield, Unison's head of local government, said: 'This has been a long and difficult negotiation, but these improvements are attributable to delivering effective industrial action, the hard work and highly successful campaigning.'
Negotiations are continuing over the protection arrangements relating to the ending of the '85-year rule', under which scheme members could claim unreduced benefits at 60, provided their age plus years in service equalled 85 or more.
But a Unison source told PF that behind-the-scenes discussions were proving positive. The union is now 'hopeful' that protection from the rule change will last until 2020, rather than 2013, the year currently specified by the government.
This led a special Unison conference on March 6 to empower union officials to continue negotiations rather than launch industrial action.
If negotiations deteriorate, members will still be balloted for 'substantial and escalating industrial action,' the union said.
PFmar2007
