FDA to consider Government’s final offer on new pension scheme

9 March 2012
For immediate release

The Government has today set out its final offer for proposed changes to the civil service pension scheme. This follows months of intensely complex and difficult negotiations and the strike action FDA members took on 30 November. The offer will be considered by the FDA's Executive Committee in the coming weeks before a full ballot of members, who will have the final say.

Dave Penman, FDA Deputy General Secretary, said:

"Whilst not ruling out the possibility of further industrial action, the FDA, together with the majority of public sector unions, agreed to suspend industrial action to allow negotiations to continue. Those negotiations have now concluded and the final offer provides a clear picture of the Government's proposals for pension reform over the longer term. The FDA will be studying the detail of the offer before balloting members and considering our response.

"The offer on longer term pension reform comes at a time when the Government is forging ahead with the imposition of a pensions levy on our members, many of whom are facing a three-year pay freeze and the prospect of this continuing for years to come. The Government has also imposed - without agreement - a change in the uprating mechanism for pensions. This change will reduce the value of pensions over the long term and the FDA continues to challenge this in the courts.

"All of these issues will be at the forefront of members' minds when they consider how to vote on the proposed new scheme. Pensions are a key component of the total reward package for FDA members. The continuing erosion of that package will mean that the pay levels for senior public servants will fall even further behind their equivalents in the private sector. The Government has committed, as part of this offer, to further talks on total reward and we will continue to press them to address this critical issue."

Notes for editors

1. The FDA is the trade union and professional body representing 18,000 of the UK's senior civil and public servants. Our members include policy advisors, senior managers, tax inspectors, economists, statisticians, accountants, special advisers, government lawyers, diplomats, crown prosecutors and NHS managers.

2. Members in HMRC are represented by the Association of Revenue and Customs (ARC), a section of the FDA.

3. The FDA (formerly the First Division Association) should be referred to simply as "The FDA" and can be described as "the senior public servants' union".

4. For further information contact:

  • Dave Penman, FDA Deputy General Secretary, tel: 020 7401 5574.
  • Kay Hender, Communications Officer, tel: 020 7401 5589.