Casual staff at the City Of London Corporation told to take out loans to pay backdated pension contributions
The corporation’s solution to the problem of making up backdated contributions of thousands of pounds is simply unfeasible for members.
The City of London Corporation failed to auto-enrol eligible casual staff into the Local Government Pension Scheme (LGPS), denying workers thousands of pounds in contributions, says GMB.
Following the breach, the Corporation announced in September 2023 that membership to the Local Government Pension Scheme would be offered to eligible casual staff, with the Corporation making up the employer’s backdated pension contributions.
The Corporation rejected GMB’s demand for payment of the employee's backdated contribution and compensation.
GMB Union represents workers employed by the City of London Corporation including the Barbican, where they work as ushers, gallery invigilators, backstage crew, box office, project assistants and much more.
Without these workers offering their flexibility, the Barbican would not be able to open and host a programme of events.
One GMB member said:
"We had a general meeting of casual staff in April when a rep from the Corporation was present together with Barbican management. They all promised to arrange a way to make the complaint process easy and straightforward so that everyone could send their official complaints about the pension situation.
“We were also told there would be a pension-focused meeting in May. Neither of these ever happened. When we asked about it they seemed to think it was redundant as we had now been offered a ‘solution’ by the Corporation. This is of course a solution I think none of us are remotely happy or agree with.
“There is absolutely no regard for us and what this all means for our lives and well-being. They've been speaking as if they are fighting for the best outcome for us, but I feel like we are yet again a problem they want to get rid of as soon as possible."
Anna Lee, GMB London Region Organiser said:
“Our members affected face a deficit in their pensions because of an error by the Corporation.
“It is an unfeasible expectation for most of our members to pay the backdated contributions. We do not feel that our demands for compensation and full backdating of contributions are unrealistic but would serve as an apology for causing the problem in the first place.
“It’s laughable that the Corporation has suggested our members take loans to make up their backdated contributions.
“The Corporation employs over 4,000 staff and seems to be operating a two-tier workforce, with casual staff regarded as second-class workers.”