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BPSU meet over Superannuation Fund proposal

More than 300 Bermuda Public Services Union members attended St Paul Centinnial Hall yesterday to make a decision on the Government Superannuation Fund proposal.But according to BPSU General Secretary Ed Ball, that decision “will not be made known to the media until after the union reports back to the Bermuda Trade Union Congress”.When contacted by The Royal Gazette, Mr Ball confirmed “the membership made a decision on the Government proposal”. “Each union now has to report back to the BTUC before a collective decision is made known to the public,” he said.“We all agreed to go to our respective membership to get decisions on Government’s proposal, and will report back to the BTUC, but we won’t be issuing any statements until our decision has been put to Government,” said Mr Ball.He confirmed however that it was a lengthy meeting that started at 3.30pm and “did not finish until just before 6pm”.In February, this newspaper reported that Government acknowledged that the civil servants’ pension scheme is unsustainable, and a review of the scheme was planned. The review was expected to take place during a one-year freeze of the pension scheme.According to a question and answer document containing answers to 25 questions put to Premier Paula Cox by the BPSU in February, “the union sought a commitment from Government that its members retirement benefits would not be threatened by pension reforms to address the underfunding of the fund”.In response, Government committed to ensuring that members would have access to affordable, good quality pension schemes, and efforts to reduce the unfunded liability would be fair and transparent to both taxpayers and members of the fund.The document was obtained by The Royal Gazette after it was provided to the BPSU’s members at the meeting held in February and through its website. At that time, public sector workers had not accepted a proposal from the Premier to freeze the pension scheme for a year.Instead they presented counterproposals for the Government’s consideration. A decision was taken by the BPSU membership on the latest proposal, but that decision at this point in time remains under wraps.Government promised in the Throne Speech it will amend the Public Service Superannuation Act 1981 to allow public sector workers to access their pension funds in cases of financial hardship along the same criteria as the private sector.It was stressed by Government at the time that the projected $62 million savings from the pension freeze and pay cut proposal would be used to reduce the deficit and allow it to maintain employment levels and provide services to the vulnerable.