Jersey States workers pension proposals put forward

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The final salary pension scheme for Jersey States employees could end under proposals being put to workers.

It follows a major review and more than a year of negotiation between the States and the employees' union representatives.

Chief Minister Ian Gorst said pensions based on average pay would be fairer on employer and employees.

He said the plans would see both workers and the government paying more into the pension pot.

Senator Gorst said: "The scheme strikes a balanced deal between public sector staff and the taxpayer - ensuring that States staff continue to have good pensions, while taxpayers benefit from greater control over their costs."

Mark Richardson, chairman of the joint negotiating group, said public sector workers were likely to be disappointed, but the proposed change should not come as a shock.

He said rises in contributions would be phased in to give staff time to adapt to the changes, and workers seven years away from retirement would be protected from the changes.

The proposals also involve the retirement age being linked to the state pension age.

The changes are due to be debated by the States later this year with the aim of introducing the changes from January 2015.

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