MyGlasgow News

The University of Glasgow's Director of Human Resources, Christine Barr, has written to staff clarifying proposed changes to the USS pension scheme.

When a ballot of University and College Union members closed on Monday 20 October, UCU had secured a mandate for industrial action in relation to USS changes. 77.8% of respondents supported strike action: 86.7% supported action short of strike. The turnout was 45%.

The University is planning drop-in sessions for staff over the next month or so to assist and provide USS members with the opportunity to raise questions.

Universities Superannuation Scheme - Proposed Benefit Changes. Message from Christine Barr 

You may have been made aware that, due to a large deficit within the Universities Superannuation Scheme (USS), a range of proposals have been put forward, regarding potential changes to the benefits structure of the scheme to ensure that it remains sustainable, attractive and affordable for both current and future members.  I am therefore writing to you to ensure that you are fully aware of what these changes may be and the impact that they may have on your future pension provision.  Please find attached two documents prepared by Universities UK (the formal representative of all USS participating employers on funding and investment issues) to inform members of the proposed benefit changes. These include:-

• Closure of the final salary section of the scheme;
• Protection of existing benefits calculated on pensionable salary and service up to the date of the change;
• Existing Defined Benefits (DB) protected up to a salary threshold of £50,000;
• New Defined Contribution (DC) section for earnings above this salary threshold;
• Option to pay an additional 1% of salary into the DC section and matched by the employers

These are aimed at addressing the deficit, protecting accrued benefits and ensuring the future sustainability of the scheme.   I would kindly ask that you take time to read the information provided in the document labelled 'USS Employers’ proposals for reform - summary for members’ which outlines the proposals in summary format.  The supplementary document provides what the changes might mean for you in fuller detail.

Many of you will be aware that members of the University and College Union (UCU) have voted in favour of industrial action over potential changes to the USS.

Please know that the University will ensure that you are fully informed with regards to the proposed changes.  I appreciate that you may have questions about the implications of these changes for you personally.  I would however remind you that no changes have yet been agreed with the Trustees of USS.  The University therefore may not be able to provide definitive answers to members' queries at this point in time.   However, we will continue to provide information on proposed scheme changes and what they may mean when these become available.  A number of drop-in sessions will be scheduled to take place over the next month or so to assist and provide members with the opportunity to raise questions.

These will be publicised through the USS website at:

www.gla.ac.uk/services/finance/payandpensions/USS/ 

In addition, you may submit any specific questions that you may have to hr-directors-office@glasgow.ac.uk

In the interim, I will ensure that you are appraised of any future developments accordingly.  Should you have any urgent enquiries can I suggest that you refer these to your local HR team who will endeavour to respond in the first instance or escalate these accordingly.

Kind regards

Christine Barr, Director of Human Resources

---

First published: 23 October 2014