News
David Woods, 30 Jun 2011
As the prime minister David Cameron urges working parents not taking part in the strikes, to take their children to work today, the British Chambers of Commerce (BCC) has said today's industrial action will damage wages, business productivity and economic recovery.
Yesterday HR magazine reported given 750,000 public sector employees are set to strike over pension reforms today, as many as 5,000 schools across the UK would close forcing parents in the private sector to take holiday, emergency leave or unpaid leave to care for their children.
It is expected two thirds of schools in the UK are to be closed or partially closed during the industrial action.
But yesterday, the prime minister's spokesman said Cameron hoped "as many mums and dads as possible" would be able to take their children to school despite the action and "some parts of the civil service are making arrangements for children to come in to work with parents."
But David Frost, director general of the BCC, said: "Large-scale industrial action will have a significant impact on business confidence and inward investment, which are both critical to the UK's economic recovery. For example, the disruption caused by teachers striking means many parents will miss a day of work to look after their children, resulting in lost wages and damaging businesses' productivity.
"In a recent BCC survey, nearly half (41%) of businesses said they felt fairly or very nervous about recruiting former ex-public sector employees. The strikes have the potential to reinforce this perception if they cause widespread disruption. Many of those private sector employees affected by these strikes envy the better working terms and conditions enjoyed by those in the public sector.
"Public sector pensions have long faced problems of affordability, and reforms to bring them into line with those in the private sector are essential. Taxpayers should no longer have to foot the bill for the hole in public sector pensions, which is spiralling into billions of pounds. The reality is that our workforce is living longer, and pensions need to reflect this to be sustainable in the long-term. The private sector has had to wake up to the tough realities of pension provision in a rapidly changing world, and the public sector must to do the same".
4 comments on this article |
Steve Smith 30 Jun 2011
More ill informed generic public sector bashing. The public sector is made up of many different parts as is the private sector lumping either side together under these general meaningless titles does nothing for the arguement or the credibilty of both sides. Just to point out the government has accepted this week there is no big hole interms of affordibility with the local government scheme but ackknowledging this would not help the BCC's point. If you want to look at pensions and affordibility loomat that of MP's whose contributions are minimal but can look forward to a significant pension around 5 times that of the average local govt pension and enjoy it along time before they are 66 or 68 as they are proposing for teachers
Dave 30 Jun 2011
It's not a question of unfairness, it's a question of affordability and facing up to realities. Public sector pensions in their current form are unsustainable - and the public sector need to wake up to this in the same way that workers in the private sector have been made to realise, with the closure of almost all the defined benefit schemes to be replaced with defined contribution schemes - many of which are not as generous as the schemes being offered to public sector workers. Many public sector groups, and teachers are one, often say that they wish to be treated like their counterparts in industry, well now they are. Teachers in particular should stop moaning and be grateful that they still have 13 weeks paid holiday a year. By the way HR magazine, the word is spelt "jeopardize" not "jeapordize".
bj 30 Jun 2011
Surely MP's are 'public sector' so their pensions should be included in this 're-structuring'. If, and it's a big if, the economy gets better before I pop-off (73 and still have to work a six day week - self employed private sector) such that I can expand my business, how keen does anyone think I'll be to employ an ex-public sector worker?
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