A million women may miss out on a company pension due to last minute changes to new rules

  • Women would be ‘particularly damaged’ by ‘disastrous’ changes to new proposals to be introduced in October

By
Becky Barrow

Last updated at 12:01 AM on 8th February 2012

Up to a million women who would have received a company pension for the first time could lose out after the Government said it is considering last-minute changes to new rules.

Under the proposals, to be introduced in October, bosses will have to sign up all workers aged over 22 into a pension scheme if they earn £7,475 or more.

However, ministers have claimed this threshold is ‘out of date’ and wants it to be raised to £10,000.

Worse off? Up to a million women who would have received a company pension for the first time could lose out after the Government said it is considering last-minute changes to new rules

Worse off? Up to a million women who would have received a company pension for the first time could lose out after the Government said it is considering last-minute changes to new rules

It means any women earning between £7,475 and £10,000 – estimated to be up to a million workers – will lose their chance of a company pension.

The report, from the Trades Union Congress, warned that women would be ‘particularly damaged’ by the ‘disastrous’ changes.

It pointed to a pledge in the Coalition’s manifesto to increase the personal tax-free allowance – the ‘trigger’ for pension contributions to begin – to £10,000.

Brendan Barber, general secretary of the TUC, said any move to increase the threshold would be an attack on women, many of whom take part-time, low-paid jobs to care for young children or their elderly parents.

Mr Barber added: ‘It would be disastrous if the pension changes had the unintended consequence of excluding a significant proportion of women workers from pension saving.’

A spokesman for the Department for Work and Pensions said: ‘We have taken particular care to consider the impact of a rise in the trigger on the low-paid – the majority of whom are women – and to assess other equality implications.

‘This will be of great interest to many and we want to be able to take all the evidence into account before reaching a final decision.’

But Dr Ros Altmann, of Saga, warned many were facing an impoverished old age because the pension system ‘has let them down’.

Here’s what other readers have said. Why not add your thoughts,
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Miserable git.- Debt-Free Chick, Ex-pat, Japan, 8/2/2012 10:05############ I’ll say no more to you, Simon from Barcelona.. has said it all.. Thank you Simon !

You are so resentful of others who try and succeed, which is one of the many reasons I left years ago.
– Debt-Free Chick, Ex-pat, Japan, 8/2/2012 10:39
There is a difference between stating fact and bragging, You my dear, have crossed that line so far that you cannot even it when you look back. Noone likes a showoff. In your years, you have obviously never learned subtlety!

I don’t have any real pension provision of my own and will have to rely on my husband’s pension. When I first met my husband to be, I had my own house, mortgage, a good job, my own car, paid my own way in life. Then I married and became an army wife. I eventually lost my job when we were posted to Germany. We then started a family and were moved around every couple of years. I was a full time mum until my daughter started school, then I got a p/t job. However, every time we moved, I lost my job. It then became impossible to get anything but temporary work, which does not attract a pension. I am now a f/t carer for my elderly mum who has dementia. I have not been in a job long enough to build up a pension. I am now nearly 50 and I doubt I’ll ever work again so it’s too late to try to build a pension pot. I sincerely hope the government realises what huge sacrifices us army spouses make and that we are often unable to build our own pension up.

Debt-Free Chick, Ex-pat, Japan. Will you stop waffling!!!

“women always miss out – just like the raising of the retirement age – we miss out there from 60-68 not just a 3yr raise like for men is it?”
To: – DF, Town, UK, 08/2/2012 07:28
Women have been given equality in retrement after 30 odd years of retiring early at men’s expense and you feel hard done to? Just like the dinosaurs there is no hope for you in the 21 st century.

I bought in countries where the price of property wasn’t inflated.
Beachfront, too.
Beautiful.
Do your own research. Bargains are out there.
I take it you are into ‘big’ then.
That’s very Jurassic and not at all futuristic.
You’re probably anti solar power, too.
One thing you certainly are is envious.
My original post here was to spread the idea that one shouldn’t have to rely upon the govt, leading to freedom.
You knocked it on the head though.
Miserable git.

By the way, I worked to pay for my properties, and I paid for them in cash@@@@@@@@@@@ however you said in a previous post that you “were earning a mere £17k ” What did you buy…. dolls houses! .

So, if I write a comment that says, ‘I will have to work till I am 70 but I am proud of working till I am 70 and I don’t mind working all my life to pay for my bricks and mortar’, will I get green arrowed for it?
Why is it that the success stories always get red arrowed in the DM? Oh, I know, it’s because Brits are still stuck in the dark ages regarding being able to applaud the success of others. You are so resentful of others who try and succeed, which is one of the many reasons I left years ago.

I don’t think this actually prevents anyone investing in a pension. It just means tax relief isn’t applicable because no tax is paid.

By the way, I worked to pay for my properties, and I paid for them in cash, so I don’t need to rent.
Nobody gave me anything but I have the brains to not have to work forever.
Retiring at 43 is something I am proud of.
Just like you are proud of working hard till you can collect your pathetic pension.

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