Thursday, 22 December 2011

Gold Plated Pensions!

One of the arguments put forward by the Government as to why public sector pensions need to be reformed is that they are unaffordable and provide the recipient with a far superior pension than that afforded to workers in the private sector. The reality is somewhat more sobering.

A total of 10,978 retired public sector workers are members of the Clwyd Pension Fund, 72% or 7,948 of them receive LESS than £5,000 per annum in gross pension whilst 82.6% get less than £7,500 per annum.

What this means in effect is that 80% of retired public sector workers in the Clwyd Pension Fund get less pension than what the government decrees to be the minimum income guarantee (pension credit)of £137.35 a week.

The result of the government changes will be to pay less pensions to public sector workers but have to make it up to the minimum income guarantee by paying the individual extra Pension Credit.

The crass stupidity of this coalition government knows no bounds.

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