Pension benefit cut for over 2300 staff

Click here to read the latest Unite in AXA newsletter on the planned closure of AXA‘s Defined Benefit pension scheme, impacting over 2,300 employees.

Please leave your feedback below or talk to your local union rep.

10 thoughts on “Pension benefit cut for over 2300 staff

  1. My trust in my employer has now been badly damaged. I’m 51 with 23 years service ( and on the DB scheme). Is it better for me to leave now before the 1st of August and take what benefits I still have ?

  2. Personally this affects me and I believe it is time we the Union and its members started to act more hard faced. I think strike action should be a considered option. I am sick to death of being told things are eroding with little or no alternative. If the company are simply ticking boxes and decisions are actually pre made then I think we need to more militant. Its time we took a lead out of the French and prove things are NOT always simple. To me this is little more than a Bullying tactic … Pathetic. A very demotivated and irritated employee, which is not good for business frankly. AXA continue to abuse it greatest asset! Well done … I wonder if they have factored in the loss to the business that this will mean! I doubt it … it is shortsighted and grossly unfair.

  3. Very disappointing but not unexpected !! The Consultation period is immaterial as the change will go ahead anyway .

  4. I’ve 34 years of service, but it’s the impact on my remaining 5 years that concerns me, with a significant drop in anticipated pension. Like many others I’m being forced to move to a dc scheme for a short term, when such schemes use long term investments as their model. In addition 5 years gives little time to adjust to this sudden change in circumstances.

  5. I have seen many offices closed over the years on the back of the pension scheme i.e. people offered early retirement on very favourable terms rather than redundancy. My old Company Provincial also took a lengthy pensions holiday. What would all that money be worth now if it was still in the scheme? Trotting out the excuse that we are living longer is feeble, I have already had my retirement date put back 5 years in any event. This is a case of mismanagement at a senior over many years for which we are now paying the price.

  6. I am disappointed by this news on several levels:

    This proposal introduces a very significant reduction in the pensions of the longer-serving (i.e. most loyal) members of staff and the presence of a DB pension has been the main reason why I have stayed at this company.

    The assumptions used for the DC illustration in the personal statements that have been sent out (3% pa pay increase, 7% pa fund growth) seem wildly optimistic given recent experience and the on-going economic difficulties.

    It is very disappointing that, according to Unite, AXA have not been prepared to consider other alternatives or offer any compensation. Why were none of Unite’s proposals deemed to be acceptable?

    The fact that no alternatives are being considered points to the consultation period being no more than a tick-box exercise. If Unite cannot influence the company, why would they listen to the comments/views of other individuals?

    Finally it gives a poor message to external customers when a Pensions company cannot manage its own pension plan properly.

    • As stated in the newsletter none of the alternatives suggested by the Pension Consultation Forum (which included management forum reps) could meet the company requirement of no risk on future deficit accrual. As that was were they where coming from this no alternative other than closure.

      Can individuals influence the company to make some concessions? Yes it can. We have said that staff will be outraged by the proposal, the lack of compensation and the impact on benefits like redundancy terms. The company disagrees. If shown otherwise they may change their position as has happened in the past.

  7. How does this fit in with AXA Core Values? Is it just staff that have to adhere to them and management dictate?

  8. Having put in 37 years loyal service with still several more to do before “pensionable” age I am very dissappointed in having not only had my pension reduced but potential redundancy terms also. Being “ex Guardian” I have seen a real erosion in my pension terms over the last few years and this proposition is the latest and hopefully the last change – it can’t change again after it has been closed can it??. Loyalty to the company over so many years doesn’t seem to have paid off as long serving staff members are being left high and more than a little dry!!

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