In a previous Newsletter we called on Charlie Nunn, Group Chief Executive, to undertake an immediate review of the pension cap now that inflation was spiralling out of control. The Retail Price Index (RPI) hit 14.2% in the year to October. It’s at its highest level since 1980.
A number of members of staff had tried to raise the pension cap issue with Charlie Nunn at previous Q&A sessions but, unsurprisingly, he always ducked the question. However, following our Newsletter he addressed the question directly in his last Q&A session. He said that 19% of active staff are in a defined benefit pension scheme and are subject to the cap and that “We reviewed the cap but when we looked at the trade-offs and what we are trying to do to support our colleagues we don’t think now is the right time to revisit the cap”. If the bank has carried out a review of the pension cap, then it should publish the results of that review and explain its decision fully. What factors did it take into account? What trade-offs did it consider? There are many members who believe that no such review took place and that the bank is simply going through the motions as it’s done consistently since 2014 when the cap was introduced with the support of the two in-house staff unions, Accord and Unite. Let’s see the evidence that a proper review took place and let’s be told honestly how the various arguments were decided.
It’s totally unreasonable that 19% of Lloyds and Halifax employees will never see their pensionable salary increase at a time when inflation is at a 40-year high.
Members with any questions on this newsletter should contact the Union’s Advice Team on 01234 262868 (choose Option 1).
MEMBERS SHOULD FOWARD THIS NEWSLETTER ON TO THEIR COLLEAGUES SO THEY TOO CAN BENEFIT FROM THE ONLY INDEPENDENT TRADE UNION IN LLOYDS AND HALIFAX.