Tesco first provate co to raise pension age to 67

[Welshbeef]

Just seen this on Sky news press review.
Frontline headlines

So the first company in the private sector to up the retirement age to 67.
How long before swathes of private companies follow?

It's just one big race to the bottom public and private.


Anyway with everything else going on with hiker costs higher taxes etc this is now yet another increase more for less.

Does make you wonder what is the point in all this effort? Hard work face value good base salary nice house nice cars but then hold on after all is said and done not that much left over.

A real pain

[MiniMan64]

We're all living longer, life expectancy is longer for everyone and pension schemes were not really designed for 40 years of payment.

Is anyone really suprised by this?

[fandango_c]

The private sector has easily won the "race".

Given the lack of DB schemes left in the private sector, there aren't many that can increase there retirement age to 67.

Tesco seem committed to retaining a defined benefit pension scheme that is open to new entrants - that's very rare in the private sector.

It's very good of them to continue to reward their employees with a generous and low risk (for the employees) pension scheme.

[Welshbeef]

MiniMan64 said:

We're all living longer, life expectancy is longer for everyone and pension schemes were not really designed for 40 years of payment.

Is anyone really suprised by this?

Of course not.
Facts are facts this is loaded up on top of all the other steep rises in other costs.


The problem is in the private sector final salary has gone. Career average is barely existent instead it's defined contribution and you have to pay in more.
Why do telco put up the age of retirement? Makes no sense surely te annuity rates male help make the individual decide as who on earth are telco to tell someone with a defined contribution when they can start a pension?
If it's their final salary lot and career average then there are hardly any employees on that in this company so it's headline grabbing

[Ozzie Osmond]

This should be notable because Tesco still has a pension scheme, not because the age has been raised.

[fandango_c]

Welshbeef said:

Why do telco put up the age of retirement? Makes no sense surely te annuity rates male help make the individual decide as who on earth are telco to tell someone with a defined contribution when they can start a pension?
If it's their final salary lot and career average then there are hardly any employees on that in this company so it's headline grabbing

The Tesco DB scheme is open to new entrants...... hence they are increasing the retirement age to reduce the cost of the scheme.

[Bree]

Tesco are not saying staff cannot retire before 67. What they have said is that for people who are currently in the scheme it will take an additional 2 years to earn the pension amount they were projected to get at 65. You can retire from Tesco from 55 and take your pension (if you can afford to!)

[Welshbeef]

Thanks for the clarity.
Makes total sense good on Tesco for keeping it on