Friday, November 26, 2010

Hobson's choice

Whilst the BBC, BECTU and NUJ still discuss the detail of CAB 2011 (the Career Average Benefits pension scheme being imposed on existing employees), there's a little less attention on the proposals for new employees.

From December 1, new hires (if there are any under the 16% cuts) will be offered only Lifeplan. (Note the absence of the word "pension").  It is a defined contribution scheme, to be run by Friends Provident.  The BBC contributes a maximum of 10% of salary; salary sacrifice is used to save on National Insurance contributions, and if you take up life assurance as well, you can create a lump sum of up to four-times basic salary.

I noted yesterday that new Director of Corporate Finance Charlie Villar arrives on November 29.  I wonder which scheme he'll choose.

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