UCU blames ‘radical’ USS changes on flawed valuation

UCU’s head of bargaining, Michael MacNeil, has been talking to industry publisher Professional Pensions about how the proposed changes to USS are being justified by an overestimation of its deficit, and that the employers’ refusal to agree that changes would not be implemented without the UCU members’ approval had left the union with no choice but to ballot for action.

He told them that ‘Radical changes to our members’ pensions are being justified by a methodology which doesn’t reflect the underlying health of the fund, and allowing this methodology to determine future investment strategy will become a self-fulfilling prophecy.’

He also said that UCU’s alternative deficit calculation methodology would make a ‘substantial difference’ to the size of the deficit while giving a ‘more accurate assessment of the fund’s health and provide for greater stability’.

You can read the full story on the Professional Pensions website.