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Civil Servant

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At the risk of being cheeky, I thought I'd post this link from the Times which shows clearly that, even following the massive relative drop in public sector vs private sector pay during the eighties and early 90s, public sector pay, although better under the Labour Government, has risen faster than private sector pay only in 3 of the last 8 years. So, whilst the public sector worker isn't in poverty at the moment, (s)he doesn't live in luxury either.... And is unlikely to be massively contributing to HPI.

http://www.timesonline.co.uk/article/0,,17...1888015,00.html

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So, whilst the public sector worker isn't in poverty at the moment, (s)he doesn't live in luxury either.... And is unlikely to be massively contributing to HPI.

Neither does the private sector. According to the ONS, average public sector gets paid more than average private.

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Ehmmm but if you total up the increases over those eight years who has had the most increase - public or private sector?

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Not forgetting of course the publicly financed retirement age of 60 for the public sector ( 3 mil or so ) and also looking like the local council workers ( around 2 million ) are holdong out for the same thing.

Whilst being told today of course that we should all take ' personal responsibility' for our retirement by NU-Labour.

Oh and not retire until 67.

Dames :angry:

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Guest Guy_Montag

Can you just add the %ages, I wouldn't have thought it would work out like that, I'm sure there must be some compounding or something. Anyway here's the totals:

Public: 32.8

Private: 35.1

And as I keep on pointing out, when I started in the public sector, all the support staff such as security, janitors and cleaners were employed by the same people as me, now they all work in the private companies. That is, in the case of my department the lowest paid 10% of staff have moved from pulling down the average public sector wages to pulling down the average private sector wages.

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And all public sector pension deficit is paid for by the private sector (as well as all their wages) :angry:

Edited by nobody

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And all public sector pension deficit is paid for by the private sector (as well as all their wages) :angry:

Nobody, some clarification:

There is no public sector pension 'deficit' since this implies that somehow the scheme is supposed to be 'fully funded' but somehow the contributions haven't equalled the expected or accrued obligations and now the scheme is in deficit - as in the Private Sector.

Government, in all things (e.g. insurance) tends to bear its own risk and so the Public Sector Pension Scheme was never funded. I.e. civil servants like me have never been contributing towards our 'own' pensions: rather we've been contributing to the sum pot of public funds and out of that pot our pensions will, eventually, be paid. In the meantime though, that same pot of public funds might be being used to pay for schooling for your children etc.

This isn't to say that the public sector pension obligation isn't big, just that it isn't a 'deficit'.

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Nobody, some clarification:

There is no public sector pension 'deficit' since this implies that somehow the scheme is supposed to be 'fully funded' but somehow the contributions haven't equalled the expected or accrued obligations and now the scheme is in deficit - as in the Private Sector.

Government, in all things (e.g. insurance) tends to bear its own risk and so the Public Sector Pension Scheme was never funded. I.e. civil servants like me have never been contributing towards our 'own' pensions: rather we've been contributing to the sum pot of public funds and out of that pot our pensions will, eventually, be paid. In the meantime though, that same pot of public funds might be being used to pay for schooling for your children etc.

This isn't to say that the public sector pension obligation isn't big, just that it isn't a 'deficit'.

From the BBC website 23/11

Public sector

''The same approach to funding - investing the contributions and living off the return - is also true for staff in two of the big public sector pension schemes, for local authority workers and university staff.

However most public servants are in pension schemes that are not financed by any underlying investments.

The cost is rising and has become very controversial

Civil servants, NHS staff, teachers, fire fighters, the armed forces and police officers are all in schemes where the pension is paid directly out of contributions from current staff and their employers.

So to all intents and purposes they are funded by tax and council tax payers.

In 2002 these schemes paid out £8.4bn.

But that cost is rising and has become very controversial. ''

I for one do not want to have to work to 67 and keep paying more council tax so Public Sector workers with final salary pension schemes can retire 7 years earlier.

I guess the only answer is to try and join the Public Sector !!!!!!

The trouble is where I live these jobs (in schools, hospitals and the council office) are taken before they are even advertised !!!

:unsure:

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Does not really matter what anyone under the age of 50 says in the public sector - they wont get what they think they will get. Simple.

Figures dont stack up and eventually a government will have to address this. This ones just bottled it.

I see strikes that will make the 70's seem tame.

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Does not really matter what anyone under the age of 50 says in the public sector - they wont get what they think they will get. Simple.

Figures dont stack up and eventually a government will have to address this. This ones just bottled it.

I see strikes that will make the 70's seem tame.

I think pensions will be inflated away.

I was reading some of my Wife's pension information recently and noticed an interesting detail.

When she retires, her pension will increase by RPI, subject to a limit of 2.5%. I investigated further and this is now the minimum permitted by government legislation. I would be interested to know if this limit is being applied to public sector pension schemes.

If so, a few years of 10% inflation will be an easy way for the government to reduce the real cost of pension provision.

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I think pensions will be inflated away.

I was reading some of my Wife's pension information recently and noticed an interesting detail.

When she retires, her pension will increase by RPI, subject to a limit of 2.5%. I investigated further and this is now the minimum permitted by government legislation. I would be interested to know if this limit is being applied to public sector pension schemes.

If so, a few years of 10% inflation will be an easy way for the government to reduce the real cost of pension provision.

Maybe inflation is a way out - i dunno. I am not that clued on public pensions but once they (the public employees) realise that they too are are aboard the GBP Titanic with the rest of us - there will be panic.

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  • 301 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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