VR but lose pension

[markis]

Hey Guys,

There's been one or two who have been offered the full 2 yrs VR package in our DO but there's a condition: If you take it you lose your pension ! You take the VR but don't get any pension even when you retire.So in truth they're paying you off with what you've already paid in to your pension.Is this happening in any other offices ?

[Thorby Bislam]

That cant be legal. Can it ?

[not me]

i would have thought the pension contribution would be seperate to any VR package

[TrueBlueTerrier]

i would have thought the pension contribution would be seperate to any VR package

Thats the way I understand it. The VR payment is different to pension payments and in fact if you wish you can use the VR payment to offset your pension and under certain circumstances you can have a lump some from your pension but it will reduce your pension when you claim it. All of this depends on the rules of the pension scheme as well.

There is a good guide though on http://www.berr.gov.uk/whatwedo/employm ... _be_offset" onclick="window.open(this.href);return false; worth a read through to anyone who has been offered or is thinking of doing something similar.

[dean41]

NOT WHAT i WAS TOLD. ITS AN OPTION THAT YOU CAN TAKE HALF YOUR LUMP SUM THAT YOU WOULD GET AT 60. ITS NOT PART OF YOUR VR MONEY

[saga]

I am a 62 year old postie who is taking VR and leave Royal Mail next month. I am getting 2 years pay PLUS my full lump sum from my pension on top.

[fmrPOSTIE]

never heard so much crap!

[kwikpost]

Hey Guys,

There's been one or two who have been offered the full 2 yrs VR package in our DO but there's a condition: If you take it you lose your pension ! You take the VR but don't get any pension even when you retire.So in truth they're paying you off with what you've already paid in to your pension.Is this happening in any other offices ?

are you sure you've got that right. those that left our office on VR got 2yrs pay and their pension less 5% for every yr they were under 60

[mailsort6]

Hey Guys,

There's been one or two who have been offered the full 2 yrs VR package in our DO but there's a condition: If you take it you lose your pension ! You take the VR but don't get any pension even when you retire.So in truth they're paying you off with what you've already paid in to your pension.Is this happening in any other offices ?

You should tell these posties to get in touch with their area delievery rep before they agree to anything, your branch should also have a legal rep. Does the union know that this VR package is being offered? Because the CWU and RM have an agreement, when it comes to working out VR packages ( Managing the Surplus Framework), I would tell these posties not to sign anything which states that they could lose their pension for 2 years pay. This package might look promising for someone that has only worked at RM for a few years. For a postie that has worked for RM for a long time this is not a good deal at all. The VR package that is being offered is not part of the MTSF. What are the ages of these posties?