Socialist Worker

Bosses’ offensive puts workers’ future at risk

Issue No. 2187

High street chemist Boots is cutting more than 15,000 workers’ pensions.

It is the latest firm to announce plans to close its final salary pension scheme.

Boots’ pension scheme was one of the first to close to new entrants in 2000.

A decade on, it is transferring the workers to a defined benefit scheme.

This means their pension is now subject to chaotic market fluctuations, with no guarantee of how much they will get when they retire.

Meanwhile, workers at the National Exhibition Centre in Birmingham face closure of their final salary pension scheme.

Workers are now paying more money into their pensions than their employers, new figures show.

Firms cut the amount they paid into pensions by £4 billion last year—a drop of almost 10 percent.

The Office of National Statistics figures show companies paid in £40 billion but workers paid in £42.5 billion.

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Tue 2 Feb 2010, 19:19 GMT
Issue No. 2187
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