What changes are being proposed?
The USS board of trustees have begun a provisional valuation of the pension fund and have reported a deficit of £7.5bn and that the cost of continuing to operate the scheme unchanged has increased significantly.
In response to these increased costs, UUK has tabled proposals that would effectively stop members generating a guaranteed retirement income.
In future all contributions would go into an investment account that is used to fund retirement benefits, but with no guarantee. It also means that the average cost to the employer of paying future pensions savings, would be reduced, from the current rate of 15.9% of salaries, to 13.25%.
Any pension built-up before these proposed changes take force, will be protected and cannot be diminished without agreement from current pension scheme contributors, unless the HE went into insolvency.
How do I find out which pensions scheme I belong to?
There is no common position for dentists employed in the Higher Education (HE) sector with regards to pension's schemes.
Some employees are offered a choice as to whether they participate in the NHS Pension Scheme or the USS (but you can't be in both simultaneously), whereas in others, the institution decides which scheme you can belong to.
If you are unsure which scheme you belong to, you can check your payslip and any recent pension benefit statement to confirm which pension scheme you are contributing to.
You can also check your original contract of employment, to see if you were given a choice as to which scheme you could join.
What is happening next?
Discussions have been ongoing with the between the Universities and Colleges Union (UCU) and UUK who are expecting to reach a conclusion by 23 January 2018.
At the same time, and in response to the UUK proposals, the UCU has been balloting members for industrial action and this ballot closes on 19 January 2018.
If no agreement for reform is reached, the rules of the USS indicate that the increased costs of the current scheme would have to be met through high contributions, levied on both employers and employees.
What is the BDA doing?
We have been talking to UCU and other trade unions in the higher education sector, and our national lay members committee has been briefed on developments.
We will keep members updated on developments.
If no agreement for reform is reached the rules of the USS indicate that the increased cost of the current scheme would have to be met through higher contributions levied on both members and their employers.
We will fight to protect our members' benefits and uphold their rights.
What can I do?
We want to hear from dentists in the HE sector who are members of the USS, on your views on these proposals and how it will affect you.
We would also be grateful to have information from dentists, on what your terms and conditions of employment state on which pension arrangements apply to you – any data you give us will be treated as confidential – please get in touch with our Head of Pensions, please email Phil McEvoy or tel: 020 7563 4161.
This information will help us to make the case for dentists, before any proposals for reform are implemented.
Working for you
We will continue to campaign for better terms and conditions for our members. If you'd like to be kept up to date with our progress:
Through our policy and campaigning work, we ensure that the concerns of all sections of the profession are raised and that dentists' voices are heard at a national level: join us.