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GFTU Pension Scheme
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THE GFTU PENSION SCHEME
1.
This has been an extremely busy two years for the
Trustees.
2.
Due to its merger with IndustriALL and move
of a UK based central office location, one of the
employers sections of the scheme, the International
Garment and Leather Workers Federation had to be
wound up by virtue of Section 75 regulations and
passed to the Pension Protection Fund. Three years
of complex work on this transfer were completed in
2016.
3.
The pension scheme remains with two sections, the
GFTU and the PCS (former AMO) sections.
4.
The Executive Committee of the GFTU having
considered all aspects of the finances as carefully as
it could, along with the Trustees, agreed to close the
scheme to future accrual.
5.
The Executive Committee was also keen to ensure
that pensioners and actives in the two sections
were able to propose their own method of election
of Trustees and this process was eventually
commenced.
6.
Revised, consolidated handbooks and deed for the
scheme were agreed.
7.
The triennial valuation was conducted over this
period and a satisfactory outcome which identified
a reduced deficit in the GFTU Section and a shorter
repayment period was agreed.
8.
New administrative systems were introduced and
communication with pensioners and relevant
updating work were undertaken.
9.
Tenders for actuarial assistance were conducted and
Mercer and Co. were reappointed.
10. Tenders for accountancy work with the scheme
were undertaken and Sturgess Hutchinson were
appointed.
11. Tenders were undertaken for financial investments
and following considerable analysis and discussion
and a commissioned report, Legal and General
Investment Managers were reappointed with
a differently constructed portfolio investments.
Performance on investments has been strong.
12. Pensions payroll and administration was taken
back fully in house following a short period of staff
transition in 2015.
13. A new defined contribution pension scheme was
opened internally for staff at the hotel and nursery
and within the GFTU. This is also administered fully
by our finance team.