Dear Vice Chancellor, Chair of Council, Deputy Vice Chancellor and Registrar,
I am writing on behalf of the local UCU committee to express our grave concern about UoN management’s shift away from questioning USS’s valuation method toward accepting the most recent UUK proposals. We note that, if implemented, the UUK proposals would imply significant cuts to our members’ pensions including the following:
- DB (defined benefits) salary threshold reduced to £40k. Currently we receive DB for income up to about ~£60k. This would bring all but the lowest paid members into the Defined Contribution (DC) scheme, significantly reducing benefits, and constitutes a step in bringing back the DC scheme that industrial action threw out in 2018.
- Accrual rate reduced to 1/85 (from the current 1/75) cutting the value of future pension by 12%.
- Reduction in inflation proofing to 2.5%. Currently it is up to 10%. Inflation has been high in the past and could increase again. If inflation does increase, our pensions could be very quickly reduced to only a fraction of their current value.