University staff in 'fire and rehire' pension row

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The University College Union says a new pension arrangement at Cumbria University is "less secure"

University staff could face the threat of being "fired and rehired" in a row over pensions, a union has said.

According to the University College Union (UCU), Cumbria University is set to remove workers from the Local Government Pension Scheme (LGPS) and put them into a defined contribution pension scheme, run by Scottish Widows.

But the union said the new arrangement was "less secure" and warned staff who did not agree to the change could have their contracts terminated and offered new ones "on worse terms".

Cumbria University said following a formal consultation and "careful consideration" it had decided to proceed with its proposal to remove workers from the LGPS.

The university said staff would be moved to a new pension scheme which had been in place for new, non-teaching staff since 2020.

In August affected staff were given until Monday to sign a new contract which would end their membership of the LGPS and move them to the other scheme.

A process of offering new contracts to those who have refused was due to start on Tuesday.

Those who have agreed to the switch will receive £8,000 in compensation - but UCU said staff should "not be forced into a less secure retirement".

'Truly outrageous'

"It is deeply disappointing that the University of Cumbria is seeking to use the outdated and discredited practice of fire and rehire to force through changes to staff pensions," UCU general secretary Jo Grady said.

She said union members had been asking "why the university is seeking to make their position worse in old age".

"It is truly outrageous that staff should have to face the prospect of losing their existing pension arrangements simply because they refuse to accept a worse deal."

Grady urged the university to "think again about the reputational consequences of unleashing the draconian threat of fire and rehire" and work with staff and the unions.

The university said it had engaged extensively with recognised unions and discussions had continued after the consultation period.

A university spokesperson said: "The university remains committed to working constructively with the very small number of colleagues, which represent less than 1% of all university staff, who have not accepted the offer, with the objective of maintaining employment and reaching agreement where possible.

"Discussions with affected colleagues continue and, as such, it would not be appropriate to comment further on individual circumstances or employment matters."

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