Join the Socialist Party Join us today!

Printable version Printable version

Facebook   Twitter

Link to this page: https://www.socialistparty.org.uk/issue/960/26052

From The Socialist newspaper, 30 August 2017

BT attack on pension benefits

Public sector workers striking against pension cuts, 30 November 2011, photo Senan

Public sector workers striking against pension cuts, 30 November 2011, photo Senan   (Click to enlarge)

Clive Walder, CWU member (personal capacity)

For the second time in nine years BT is seeking to attack the pension benefits of its workers. In 2008 the BT unions 'sold' their members a 1% increase in contributions and an increase in the pension age to 65 to protect the long-term interests of BT pensioners.

An expected increase in the deficit by nearly 4 billion was leaked to the press in advance of this year's triennial review of the scheme's finances. It is very likely that this was a deliberate act on behalf of shareholders who are fed up with continually making contributions to reduce the deficit.

One of the reasons BT is claiming this is necessary is that the old final salary scheme is composed of a dwindling number of contributing members and an ever-increasing number of people drawing pensions.

The cost to the pension fund of financing mass redundancies is also a considerable factor in this situation. But BT decided to close this scheme to new entrants in 2001 helping to create this problem!

Pension fund trustees take advantage of workers' lack of understanding of pension finances by using large numbers to frighten them into accepting reduced benefits. The deficit quoted by BT is what it would be if every member drew their lifetime's pensions at once.

This is clearly something that is never going to happen but such propaganda will frighten workers. In fact BT has completely failed to demonstrate it is unable to afford to continue to finance the deficit.

It is encouraging that the Communication Workers' Unon (CWU) has said that it will ballot for industrial action if BT stops further benefit accrual of workers still in the final salary scheme.

The current pensions time bomb demonstrates that capitalism can't guarantee a comfortable retirement. There is an urgent need not just to kick the Tories out of government but also the pension robbers out of the boardrooms and replace them with workers' control of a publicly owned economy which will use the enormous wealth currently enjoyed exclusively by the rich for the benefit of all.

Why not click here to join the Socialist Party, or click here to donate to the Socialist Party.


In The Socialist 30 August 2017:


Socialist Party news and analysis

McStrike against low pay

School spend is behind eastern Europe

May's lies about foreign students exposed

Landlord licensing under threat - fight back

Corbyn confirms 1bn for the arts


What we think

Reject Starmer's Single Market u-turn


Workplace news and analysis

Barts health workers' strike: pay up Serco!

Ford workers vote for action - the fight is on

BT attack on pension benefits

Bron Afon housing workers step up strike

Unite takes legal action against Argos


International socialist news and analysis

China: debt crisis, state repression and the prospects for workers' struggle

Hong Kong: mass demonstration against repression

Where is Scotland going?


Socialist Party reports and campaigns

Chatsworth workers and patients fight to save ward

Campaigners fight second Yorkshire Women's Aid closure in two years

Community and artists campaign to save Todmorden College

Orgreave campaign calls Halloween rally


Socialist readers' comments and reviews

Should you be furious about 'furious cycling'?

Catchy folk rock with a socialist edge

The Socialist inbox


 

Home   |   The Socialist 30 August 2017   |   Join the Socialist Party

Subscribe   |   Donate   |   Audio  |   PDF  |   ebook






Related links:

BT:

triangleBT pensions review - oppose the attacks on the pension schemes

triangleBosses' pensions robbery

triangleWorkplace news in brief

triangleNHS SOS round-up

triangleThe Socialist inbox

Pension:

triangleUniversity workers' walkout for decent pensions

triangleLecturers vote for strikes against pension cuts

triangleUCU members balloting for action on pension cuts

triangleThe Socialist inbox

Benefits:

triangleMajority of kids poor in some areas

triangleUniversal credit: set up to fail

triangleTory prescription for mental illness: stress and bureaucracy

Pensions:

triangleUni strike: coordinate public sector fightback

triangleRoyal Mail forced back under threat of action

CWU:

triangleRoyal Mail bosses block strike - back postal workers

Pensioners:

trianglePowerful picture of the Port Talbot steel workers' struggle

Reports and campaigns

Reports and campaigns

20/2/18

Manchester

After 80 strike days Mears workers achieve victory

19/2/18

Walthamstow

Building the campaign against clearances of the working class

16/2/18

Haringey

No fudge with the right wing

15/2/18

TUSC

TUSC statement on sentencing of Derby TUSC agent

14/2/18

Haringey

Haringey protests HDV - but Labour fails to kill it off completely

14/2/18

UCU

Uni strike: coordinate public sector fightback

14/2/18

Cardiff

Enjoyable and successful Cardiff Refugee Rights gig

14/2/18

Carlisle

Carlisle debate - socialism or social democracy?

14/2/18

Firefighters

Staines fire services saved

14/2/18

Surrey

Threat of action defeats pay cut at Surrey council

14/2/18

Woolwich

Woolwich Crossrail walkouts to demand promised bonuses

14/2/18

London

Sadiq Khan's bus drivers' London licence doesn't go far enough

14/2/18

Mansfield

Stop press: victory - campaign saves NHS rehab ward

8/2/18

Newham

Teachers strike again as anti-academy pressure mounts

7/2/18

Unison

Unison national women's conference

triangleMore Reports and campaigns articles...


Join the Socialist Party
Subscribe to Socialist Party publications
Donate to the Socialist Party
Socialist Party Facebook page
Socialist Party on Twitter
Visit us on Youtube

LATEST POSTS

CONTACT US

Phone our national office on 020 8988 8777

Email: info@socialistparty.org.uk

Locate your nearest Socialist Party branch Text your name and postcode to 07761 818 206

Regional Socialist Party organisers:

Eastern: 0798 202 1969

East Mids: 0773 797 8057

London: 020 8988 8786

North East: 0191 421 6230

North West 07769 611 320

South East: 020 8988 8777

South West: 07759 796 478

Southern: 07833 681910

Wales: 07935 391 947

West Mids: 02476 555 620

Yorkshire: 0114 264 6551

ABOUT US

ARCHIVE

Alphabetical listing


February 2018

January 2018

2017

2016

2015

2014

2013

2012

2011

2010

2009

2008

2007

2006

2005

2004

2003

2002

2001

2000

1999