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13:22 GMT, Tuesday, 14 July 2009 14:22 UK

Unions call for pension age talks

Workers unions in Guernsey claim they were not consulted about possible changes to the pension age.

The social security department is recommending the age at which islanders are eligible for a State Pension is increased from 65 to 67.

Ron Le Cras, Unite regional organiser, said that employee organisations were not contacted for their comments but employer organisations were.

However, the States said unions were given a chance to give their opinions.

The idea behind the proposal to increase the age of retirement is to make sure the state pension fund does not run out.

'Good answers'

According to the social security department, the fund used to pay for islanders' States pensions will run out by 2040 unless changes are made to contribution levels.

Following a public consultation, the department is recommending the age increase and that employers' contributions go up by 0.5% to 7%.

Caroline Bowker, local secretary of the teacher's union, the NASUWT, said: "All too often I hear that the government has consulted with the employer and I think it's time they learnt that actually they get good answers from employee representatives as well."

However, the minister for the social security department, Deputy Mark Dorey, said union members were given the opportunity to respond to the island-wide survey.

The proposals to increase the retirement age will go before the States at its end of July meeting.




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Related to this story:
Retirement age 'could increase' (10 Jul 09 |  Guernsey )
States pension fund 'drops £30m' (31 May 09 |  Guernsey )
Recession not evident in Guernsey (30 May 09 |  Guernsey )
Pensioners work scheme 'success' (01 Oct 08 |  Guernsey )
Pensioner's benefits could go up (07 Sep 07 |  Guernsey )

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