Improved DC scheme to DBCB scheme for under 5 yrs service

[postiewhite]

Hi. This topic I have brought up with my rep but to be honest he doesn't know the answer.

Iam currently in the DC scheme and I fall short by 4 months to enroll into the DBCB lump sum scheme ( you need 5 years service). Obviously this scheme seems better than the new DC scheme but my question is, when I have done 5 years i August will I then be able to enroll in this scheme maybe next April or is it a case of now or never?. Nothing in the info that was sent to me highlights this.

[rehabron]

Hi. This topic I have brought up with my rep but to be honest he doesn't know the answer.

Iam currently in the DC scheme and I fall short by 4 months to enroll into the DBCB lump sum scheme ( you need 5 years service). Obviously this scheme seems better than the new DC scheme but my question is, when I have done 5 years i August will I then be able to enroll in this scheme maybe next April or is it a case of now or never?. Nothing in the info that was sent to me highlights this.

I am not an expert on this and Robert T would be best in answering this but for what it's worth the CWU wants all to be eventually in the same scheme and transitional arrangements are supposed to be in place until the new pension scheme is up and running and is now a matter for the secondary legislation to be approved so to answer your question I am of the opinion that once you have exceeded the 5 years service you will be given the oportunity to enrol into the DCCB pension scheme.

[rogersh]

Sorry don't know the answer to your question. However I would point out that the examples sent to us comparing the two schemes shows the difference is negligible in what is being paid in weekly.

working 39 hour week on £480 total contributions DBCB £80 - DC £77
Working 25 hour week on £300 total contributions DBCB £50 - DC £48

Take into consideration the intention is to transfer everyone into the new CDC/DBLSS automatically anyway.
RM cannot confirm if any contributions can be transferred into the new CDC scheme . All I am saying is you may only amass a small lump sum if you can join the DBCB as it is only a transition scheme.

[RobertT]

Hi. This topic I have brought up with my rep but to be honest he doesn't know the answer.

Iam currently in the DC scheme and I fall short by 4 months to enroll into the DBCB lump sum scheme ( you need 5 years service). Obviously this scheme seems better than the new DC scheme but my question is, when I have done 5 years i August will I then be able to enroll in this scheme maybe next April or is it a case of now or never?. Nothing in the info that was sent to me highlights this.

Taken from the DBCBS FAQ’s on myroyalmail:

If I am in the RMDCP, but have less than 5 years’ service with the Company, what should I do?

If you would like to put 6% of your pensionable pay into your RMDCP retirement account so that you get the top amount (10%), from the Company you do not need to do anything.

If you would prefer to put less into your RMDCP retirement account and receive smaller contributions from the Company, you should complete the RMDCP Contribution Level form which was included in your letter and booklet.

The Company will write to you when you are eligible to join the RMPP and build up benefits in the DBCBS.