Our thoughts are now turning to the next day of action, on Friday 5 April, when members will be asked to walk out at 1.00pm. We know that branches already have some innovative ideas to make that a visible, noisy and colourful show of defiance and solidarity.
But Budget Day unfortunately also showed us again why we cannot let up our pressure to force the government back to the negotiating table, as they still aren’t listening.
Public sector pay freeze extended again
Despite all the evidence that austerity, and in particular pay freezes, were having a disastrous effect on our economy, George Osborne announced that the pay freeze would be extended for a fifth year, with average pay settlements again capped at 1% for 2015/16. He also announced further attacks on progression pay for those public sector bodies still paying progression. (Military staff however will continue to receive progression payments).
Negotiations are about to start in our department for pay 2013/14, when the MoD enters the first year of the 1% pay cap. Our pay claim, for 5% or an underpinning £1,200 increase, has already been circulated to members.
Further pensions changes
Osborne also announced that the introduction of a single state pension was being brought forward to 2016. This will mean that those in public sector pension schemes will pay 1.4% extra in National Insurance contributions. For the average civil servant, this will mean more than £300 in additional National Insurance payments every year.
In addition, the next round of additional pension contributions will kick in from next month:
Salary range (Full-time equivalent) Classic members Premium, Classic plus and Nuvos members
Under £15,000 1.5% 3.5%
£15,001 - £21,000 2.7% 4.7%
£21,001 - £30,000 3.88% 5.88%
£30,001 - £50,000 4.67% 6.67%
£50,001 - £60,000 5.46% 7.46%
Over £60,000 6.25% 8.25%
These increases, averaging 1.28%, amount to a further pay cut for hard working members and will be followed by further increases in 2014/15, when a new pension scheme will be imposed on all staff.
Under £15,000 1.5% 3.5%
£15,001 - £21,000 2.7% 4.7%
£21,001 - £30,000 3.88% 5.88%
£30,001 - £50,000 4.67% 6.67%
£50,001 - £60,000 5.46% 7.46%
Over £60,000 6.25% 8.25%
These increases, averaging 1.28%, amount to a further pay cut for hard working members and will be followed by further increases in 2014/15, when a new pension scheme will be imposed on all staff.
We demand a Fair Deal
Government proposals are in danger of creating a three-tier workforce in the defence sector. Our reports from picket lines show that those who did turn up for work on 20 March were the thousands of consultants and contractors, employed at enormous expense to do our jobs, and our military colleagues who are increasingly taking over the jobs of civilians (despite the department’s lip service towards civilianisation).
Contractors and consultants get paid handsomely, seemingly without reference to outputs or performance. They are clearly at the top of the MoD money tree.
Our military colleagues have had their progression payments protected throughout the pay freeze and are also not expected to pay additional pension contributions.
Then at the bottom of the tree come the increasingly poor civil servants. Our pay is in permafreeze and being eroded by inflation; our pensions are raided and are costing us more each year and now our terms and conditions are under attack like never before.
It’s not good enough; and it’s time to fight back. We want a Fair Deal in Defence and as they won’t listen, we must act.
WALK OUT ON 5 APRIL AT 1300 – MAKE YOUR VOICE HEARD
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