Leaving on VERS 2? – The strike on May 10 applies to you

12,475 disenchanted MoD employees have applied for VERS 2.

Our union remains opposed to any redundancies in the Ministry of Defence and recognises that with workloads going through the roof and morale at rock bottom across every area in the Ministry of Defence, members have had enough and are leaving the department through every exit.

We would urge any PCS member who is leaving on VERS 2 to still take action on May 10, as the fight for fair pensions directly affects them now and in the future.

Losing a day’s reckonable service by taking strike action on May 10 will have an effect on members’ final payout when they do leave the department, but the difference in the payout will immediately be dwarfed by the loss of pension when you eventually reach your pension age.

Even those who leave in the next VERS 2 tranche and finish on 29 June will have paid three months extra pension contributions, which will be less than a day’s lost pay by taking industrial action on May 10.

The PCS pension calculator - http://www.pcs.org.uk/en/campaigns/pensions/pensionscalculator.cfm - breaks down exactly how much you stand to lose, whether you are taking VERS or are remaining in the department. More than 300,000 people have already viewed our union’s calculator.

The following example shows just how detrimental these changes will be:

Mrs X, 46, works in the MoD at Abbeywood. She currently earns £23,427 per year and has worked in the civil service for 26 years.

As a result of the government's plans, Mrs X will:

• Pay £702.81 more per year and £58.57 more per month
• Lose £19,891.66 from her current pension
• Stand to lose a huge £40,922.16 from her pension if she works until she is 66

Choose who you believe

The PCS calculator has been on our website since our campaign began and has been updated regularly as more information has become available as well as to reflect the impact of the continuing pay freeze on members.

Members will remember in November 2011 that the pensions calculator placed on the civil service website by the Cabinet Office was hurriedly removed as the calculator confirmed what we already knew - the civil servant in the example would have to work an extra four years under the new deal to get close to their previous pension. Their extra pension contributions were at least £704 a year from April 2015 onwards and the switch in indexation from RPI to CPI would cost them around £21,500 over a normal retirement.

That calculator then mysteriously disappeared from the Civil Service website. The Cabinet Office told our union that it has been taken down for “presentational reasons” and will be back up shortly.

Although you now have to jump through various hoops to get there, the Civil Service pension calculator is now online and using the same example as above – Mrs X from Abbeywood will “From April 2015 you might contribute 5.45% of pay - so around £85.12 per month after tax relief”

The civil service website calculator gives no details on

• How much extra this is from your current payment
• How much extra you are paying from April 2012, April 2013 or April 2014
• How much you will lose from your current pension
• How much you will lose if you retire at the current pension age of 65 instead of having to work till you are 68
• The continuing impact of the pay freeze on your take home pay.

The alternative

There is an alternative, as demonstrated by our union. The government should:

1. Create jobs to boost the economy
2. Invest in housing and transport
3. Collect the £120 billion in tax evaded, avoided and uncollected every year.

The Ministry of Defence should:

• Civilianise the 40,000 non-deployable military personnel.
• Remove consultants, contractors or agency staff
• Examine exorbitant PFI contracts to see whether they deliver value for money and cancel those which are ripping off the taxpayer
• Reduce external spending in our department – in September 2011, the MoD spent £770 million compared with £331 million in September 2011

Conclusion

Morale is at rock bottom across our department and many across the public sector. It is little wonder that public sector workers want to safeguard their pay, terms and conditions from Government attacks.

Our union believes the best way to get these is to put further pressure on this increasingly unpopular and isolated coalition government. Our union understands and recognises that taking strike action when you are poised to leave on VERS is a very difficult thing to do, but your future pension provision is at stake here.

Please stand with us on May 10 and please continue to support our union and the trade union movement in the remainder of your working life. You can become a member of our retired members section here: http://www.pcs.org.uk/en/about_pcs/associate_and_retired_members/index.cfm.

Paul Bemrose

PCS DSg deputy group secretary

For the latest PCS defence, please go to the following -

www.pcs.org.uk/dsg

www.defencecutscost.blogspot.com

Public Meeting Sunday 29 April – All Welcome!

Residents Action on Fylde Fracking is hosting a public meeting at St Cuthbert’s Church Hall, Lytham St Annes, on Sunday 29 April 2012 at 1.00 pm. All welcome. Further details of the programme wil be announced asap.

St Cuthberts Church, Church Road, Lytham, Lytham St Annes, Lancashire FY8 5PX. http://stopfyldefracking.org.uk/public-meeting-sunday-29-april-all-welcome/

Desk Drop Helpers Sought

I am on the hunt for desk droppers to help me on 2nd or 3rd May. Please can you let me know if you are available on either of these days and how long you could spare. It doesn’t take long (less than 30mins) to do the building if there are a few of us. It needs to be in our ‘own time’ due to the content and lunchtime seems to have been the most popular time in the past. (Please call Rachel Wallace-Dand on extension 62858 if you can help)

If you aren’t sure what the desk drop is for, please check the PCS website, on a completely different topic here’s a useful link for you ;)
http://www.pcs.org.uk/en/news_and_events/pcs_comment/index.cfm/id/A0A17653-77CF-4975-8FD72BFD6605C1A3

All In This Together? Think again.

In the decade 2001 to 2011 the value of British housing rose by a record 84% even accounting for the depression in housing values following the financial crisis of 2008.

Therefore a house purchased in 2001 for £100,000 would on average be valued 2011 at £184,000.

However, if your property is at the upper end of the market something remarkable has happened and can be illustrated by the case of Nigella Lawson and Charles Saatchi who recently sold a property purchased conveniently in 2001.

Charles 'snapped up' his apartment in 2001 for £3.8million (two years before they were a couple).

They have just sold their apartment to a property developer, having discounted it £11 million pounds less than their original asking price yet have still made a profit of £21 million! (Yes it had been valued at £36 million!)

Therefore, despite the worst financial crisis since the great depression, the most expensive properties in this country have risen in value be over 550% in the last decade... thats about six and a half times more than 'regular' property prices.

A market so boutant can only indicate that there is a huge pool of cash at the top end of the market driving prices ever higher.

The only conclusion we can draw form this is that the rich are increasing their collective wealth exponetially... and it is only us who are paying for the crisis though job, pension and pay cuts.

Osborne will regret tax 'shock' – maybe not today, maybe not tomorrow …

The chancellor's surprise is about as convincing as Captain Renault's explanation for shutting down Rick's bar in Casablanca (says The Guardian Economic Blog)

Has George Osborne turned into Claude Rains? I only ask because the notion that the chancellor is shocked by the tax avoidance of the rich is about as convincing as Captain Renault's explanation for shutting down Rick's American bar in Casablanca.

In one of the best scenes from the film, Rains says he is "shocked, shocked" to find gambling going on in the establishment, only to be handed his winnings by a member of Humphrey Bogart's staff.

It comes as a revelation to Osborne, apparently, that wealthy people in the UK are exploiting loopholes so that they pay little or no tax at all. Some are using especially aggressive avoidance mechanisms that mean they are paying only 10% of their income in tax, half that paid by the average Briton. Incredible. Who would have imagined that people got up to such things?

Osborne is not short of a few bob himself. He has plenty of prosperous friends and is supposed to know a thing or two about the UK economy. If he is genuinely surprised by the tax arrangements of the well-heeled in the UK, he has either been living in a cave for the past 20 years or is unfit for his current post.

In truth, though, it beggars belief that the scales have fallen from his eyes since arriving at the Treasury. One of Britain's (few) areas of comparative advantage in the global economy is the ingenuity of the big accountancy firms in finding ways round the tax system. A few years back the National Endowment for Science Technology and the Arts (NESTA) even identified aggressive tax planning as one of five examples of striking innovation. Tax avoidance is big business in the UK. We do a lot of it. We market our expertise abroad.

When Francis Maude, Osborne's cabinet colleague, said at the weekend that the coalition wanted to turn the UK into a tax haven it was a political gaffe but an accurate assessment of the state of the nation.

So stunned is Osborne by the horror stories uncovered by HM Revenue and Customs that he is now pledging action. We will see whether he really is prepared to take on the massed ranks of the UK accountancy industry, to target offshore tax havens and to arouse the ire of the donors who bankroll the Conservative party.

Perhaps this is going to be the start of a beautiful friendship between a Conservative government and the taxpayer. But don't bank on a happy ending. This is not Hollywood.

Pension letters, return to sender action

Introduction

Members will have, or will be shortly receiving letters informing them of the new pension arrangements imposed from 1st April 2012. The letter includes confirmation of plans to introduce increased contributions for all public sector pension members, including those within 10 years of retirement, by an average of 3.2% of salary, phased in over three years.

The regulations bringing into law the contributions increases raise the prospect of further increases for the minister to decide, with no mention of negotiating with trade unions.

Information about how you will be affected by the increased contributions, as well as the pay freeze and cap, is available on our pension calculator. (see link below)

Action

Members across Government Departments have reacted angrily to receiving these letters that are an abuse of industrial relations processes. In many places members are returning the letters with a clear hand written message printed across the top.

DsG is urging all members to do likewise. Return your letters to:

William Hague
Executive Director, HR and Capability,
Cabinet Office,
70 Whitehall
London
SW1A 2AS

Some of the messages returned include the following:

· No thank you. Offer rejected.
· Offer rejected.
· I reject your offer- my union will be in touch.

Friday Fun:Part Deux

Spot the pasty.












(Usual rules apply - Tory related nonesense.)

Friday Fun: Spot the Pasty

Put your cross where you think the pasty is.

(The quick witted wil have realised of course that there never was a pasty!)

Moron brings country to a standstill...nearly

If you couldn't get any petrol on the way to work this morning... thank Francis "Moron" Maude.

If you cannot get away this Easter because there is no fuel left... thank Francis "Moron" Maude.

If your neighbours garage unexpectedly bursts into flames... then blame Francis "Moron" Maude.

Mind you, Francis "Moron" Maude probably thinks it was just "a bit of a nonsense"!

Moron.

Thousands of teachers strike in pensions dispute

Thousands of teachers and lecturers are staging a 24-hour strike today in the continuing bitter dispute over the Government's controversial public sector pension reforms.

Read more here: http://www.telegraph.co.uk/education/educationnews/9170849/Thousands-of-teachers-strike-in-pensions-dispute.html

Guess who's coming to dinner?

David Cameron has been forced to admit that 15 donors who between them gave the Conservative Party £25million enjoyed secret dinners and lunches with him at Chequers and in Downing Street.

Those who dined with the Prime Minister without civil servants present to take notes were some of the richest men and women in the country. At least one had openly called on ministers to scrap the 50p rate of income tax, the abolition of which was announced in last week’s Budget.

Among the new revelations in the donation row yesterday:

• Michael Spencer, one of the major Tory donors entertained by Mr Cameron at both Downing Street and Chequers boasted that he had been told by key figures in the Government that a proposed financial transaction tax would be vetoed by ministers
• Donor Ian Taylor, whose oil firm was given Government help to set up a controversial supply deal in Libya, was a private dinner guest of Mr Cameron at Downing Street in November.
• 29 donors were disclosed to have given more than £250,000 to the Conservatives – the 'Premier League’ level described by Mr Cruddas – since Mr Cameron was elected leader in 2005, on a total of 76 occasions.

It was revealed that the donors who dined in Downing Street – many with their wives – between July 2010 and November 2012 were: Anthony Bamford of the JCB construction empire; Michael Hintze, a hedge fund executive; Lord Sainsbury of Preston Candover of the supermarket dynasty, Paul Ruddock, a hedge fund executive and V&A chairman; Michael Farmer, a commodities trader; Michael and Clara Freeman, philanthropists; and Michael Spencer, a spread-betting tycoon.

The supporters hosted at Chequers between August 2010 and February 2011 were: David Rowland, a property developer; Lord Ashcroft, a former Tory treasurer; Howard Leigh, a corporate financier and party fundraiser; and Mr Spencer. Lord Fink, who has replaced Mr Cruddas as party treasurer was also a guest at the Prime Minister’s Buckinghamshire country estate last year, records show.

In total, the 15 have donated almost £25 million to the Conservatives, the vast majority since Mr Cameron became party leader in December 2005.

Read more here:http://www.telegraph.co.uk/news/politics/david-cameron/9168388/Cash-for-access-David-Camerons-private-dinners-for-donors-revealed.html

Unite and PCS unions plan talks over increased co-operation

PCS leader Mark Serwotka says May conference will deepen unions' relationship, but dispels rumours of imminent merger.


The Unite and PCS trade unions are to step up talks over co-operation in a move that will bring the UK's largest private sector union closer to the country's largest civil service union.

Mark Serwotka, general secretary of the PCS, said the organisation's annual conference in May will debate a motion on "deepening" the relationship with Unite. However, Serwotka said full-blown merger talks will not take place for the foreseeable future, dampening speculation that the creation of a super-union with 1.8 million members is imminent.

"We will continue close working with Unite, extend it in to other parts of the union and explore the possibility of deepening our relationship," said Serwotka. He added there is a strong case for eliminating the traditional division between public and private sector unions. "There's a motion from our executive about our closer working relationship with Unite and that will give us an indication about how to take it forward. It shows that the old view that unions come either from the private or public sector needs to be challenged."

Unite has around 1.5m members, including strong representation in the car, finance and transport industries, while the PCS has 280,000 members including employees at the DVLA and Border Agency. Serwotka indicated in an interview with the Guardian that a merger, if it happens, will be a long-term project. "Where it goes depends on how it is seen to have gone on the ground and that is not a matter of weeks and months, that is a matter of some years," he said. Both unions signed a co-operation agreement last year.

Trade union membership in the UK has slipped from its heyday of 13 million in 1979 to around 6.5 million in 2012.

Reported from todays Guardian. http://www.guardian.co.uk/politics/2012/mar/25/unite-pcs-unions-talks-increased-cooperation

http://www.independent.co.uk/incoming/article7584962.ece/ALTERNATES/w940/cartoon-20120326.jpg

Queens cousin sells access to government for £250,000

'Call Me Dave' will host a dinner for you, with the fragrant Sam alongside, for the quite reasonable price of quarter of a million pounds. For that you get to eat in their Downing Street flat and any concerns you might have, say, about the higher rates of income tax, will be heard and taken back to inform the Policy Unit!

The Queen must so proud that one of her scions is selling England by pounds.

All in this together? We think not.

Dave himself said the following before getting into power: ‘It’s an issue that crosses party lines and has tainted our politics for too long... an issue that exposes the far-too-cosy relationship between politics, government, business and money. I’m talking about lobbying — and we all know how it works. The lunches, the hospitality, the quiet word in your ear, the ex-ministers and ex-advisors for hire, helping big business find the right way to get its way. In this party, we believe in competition, not cronyism. We believe in market economics, not crony capitalism. So we must be the party that sorts all this out.’

http://www.telegraph.co.uk/comment/columnists/iainmartin/9166545/Cash-for-access-is-toxic-for-the-Tories.html

A cheesy budget? Full of Swiss loop-holes.

Whilst 'The Boy' George, (aka Gideon) was delivering his budget yesterday, and announcing the reduction of the 50p rate to 45p, inconspicuous by his abcense was Dave Hartnett, Permanent Secretary for Tax, HM Revenue & Customs.

On Tuesday he was not in Whitehall helping with The Budget. He was in Switzerland, signing an agreement with Mr Osborne's approval.

The agreement will allow Swiss Banks to collect tax from UK citizens who have accounts there. It is pretty complicated, but as we understand it, if a company or person puts income in a Swiss bank account and declares it to HMRC, they no longer have an obligation to pay tax on it here.

Instead The Swiss Banks will tax it at Swiss tax rates which is 13.2% for earnings over 166k euros, and then pass the revenue to HMRC(hopefully). Now you might say, "Well at least they are declaring it" but apparently citizens by law have to declare Swiss Bank accounts so those who don't are criminals already.

But this is a clear tax dodge for those rich enough to exploit it and many are doing so, with major British companies having set up 'headquarters' in small flats in Switzerland. Now we know why!

All in this together? Give us a break.

It is interesting to note that Swiss income tax rates for 2012 are:


Tax Bracket (yearly earnings)
Tax Rate (%)
€0 - €13,600 0.00%
€13,600 - €29,800 0.77%
€29,800 - €39,000 0.88%
€39,000 - €52,000 2.64%
€52,000 - €68,300 2.97%
€68,300 - €73,600 5.94%
€73,600 - €97,700 6.60%
€97,700 - €127,100 8.80%
€127,100 - €166,200 11.00%
€166,200 and up 13.20%

(More) Friday Fun: Spot the binge drinkers

Friday Fun: Spot the higher rate tax payers

Scrapping Trident nuclear missiles 'would save £83.5bn'

Savings could be spread over years until 2062 and jobs created on other defence projects, study finds

Scrapping the nuclear missile system would save £83.5bn and many of the jobs at risk could be transferred to alternative defence projects, according to an authoritative study published on Wednesday.

An average annual saving of £1.86bn would be made until 2062, it says. The study, commissioned by senior figures from all three main parties, points out that the savings would not be available immediately because cancellation and decommissioning costs would have to be taken into account.

The report by Professor Keith Hartley, a leading defence economist, is published by a commission set up by the British American Security Information Council. The Trident commission is jointly chaired by the former Conservative and Labour defence secretaries Sir Malcolm Rifkind and Lord Browne and the former Liberal Democrat leader and foreign and defence spokesman, Sir Menzies Campbell.

Read more here:

http://www.guardian.co.uk/uk/2012/mar/21/trident-nuclear-missiles-savings

Scrapping Trident nuclear missiles 'would save £83.5bn'

Savings could be spread over years until 2062 and jobs created on other defence projects, study finds

Scrapping the nuclear missile system would save £83.5bn and many of the jobs at risk could be transferred to alternative defence projects, according to an authoritative study published on Wednesday.

An average annual saving of £1.86bn would be made until 2062, it says. The study, commissioned by senior figures from all three main parties, points out that the savings would not be available immediately because cancellation and decommissioning costs would have to be taken into account.

The report by Professor Keith Hartley, a leading defence economist, is published by a commission set up by the British American Security Information Council. The Trident commission is jointly chaired by the former Conservative and Labour defence secretaries Sir Malcolm Rifkind and Lord Browne and the former Liberal Democrat leader and foreign and defence spokesman, Sir Menzies Campbell.

Read more here:

http://www.guardian.co.uk/uk/2012/mar/21/trident-nuclear-missiles-savings

FRACKING Information and Discussion

Thursday 22nd March
at 07:30pm at the
United Reform Church Hall
St Georges Road
St Annes

Speakers to include:

Tony Bosworth, Energy Campaigner Friends of the Earth

Members of Residents Action on Fylde Fracking - RAFF

Ribble Estuary Against Fracking - REAF