The package of devastating pension cuts imposed on university staff last year are on track to be revoked, with benefits restored 'in full', said employers and UCU.
UCU has said the comprehensive restoration of stolen benefits will see UCU members recognised as 'history makers' of the trade union movement.
In April 2022, employers imposed a series of pension cuts which would see the average scheme member lose 35% from their guaranteed future retirement income. Employers, led by Universities UK (UUK), did this by dramatically reducing the rate at which staff would accrue benefits and the salary threshold at which defined benefits would build up. UUK also brought in an inflation protection cap, meaning, from the next valuation, benefits would only be protected against inflation up to 2.5%.
However, in a new joint statement, UUK and UCU confirmed that, pending a successful 2023 valuation and the green light from ordinary scheme members, the accrual rate and salary threshold at which defined benefits build up will both be returned to pre-cut levels. The statement also confirmed that the pre-April 2022 inflation protection will continue unchanged, rather than being reduced at the next valuation, as originally intended.
