Royal Mail members: Watch out for important pensions info next week
Postal, Post Office (PO) September 17 2021
Image: Dan Jardine / Shutterstock.com
From Monday morning, pensions consultation packs will start landing on Royal Mail employees’ doormats, as the final statutory step towards the establishment of the groundbreaking new scheme…
Since the Pension Schemes Act 2021 received Royal Assent back in February, the CWU and the company have been working though plans to introduce the new Royal Mail Collective Pension Plan.
And the mailouts to members represent another significant milestone in this process, the statutory 60-day consultation – which is a legal requirement before new pension schemes can be launched.
CWU deputy general secretary postal Terry Pullinger told CWU News: “This is a very positive development that means we are one step nearer delivering on our key policy of better pensions for all, which will mean that every single Royal Mail employee will be able to look forward to a decent and dignified retirement – and also have confidence that they belong to a safe and robust pension scheme.
“It’s been a long road and it was several years ago now, back in 2015/16, when we began talking about collective defined contribution (CDC) pensions. So, it’s good to see this vision getting closer to becoming a reality for all. Our members do a superb job every day – and a decent wage in retirement is what they thoroughly deserve.”
CWU assistant secretary Andy Furey, who has departmental responsibility for pensions within the union’s postal department, explains: “Following the consultation, assuming a positive response, the Collective Plan will be launched next year.
“Members who’ve been with Royal Mail for more than one year would stop building up benefits in the Royal Mail Pension Plan (RMPP) and the Royal Mail Defined Contribution Plan (RMDCP) and start building them up in the Collective Plan instead.
“And benefits they have already built up in RMPP or RMDCP will be there for them when they retire.”
The formal consultation launches on Tuesday 21st September and closes on Sunday 21st November. Consultation packs will start to land on our members’ doormats from Monday onwards.
- For further information, please see LTB 369/21
- Members can also access more details on the Royal Mail website here