Regrettably the meeting on 2 March was unable to consider the proposals because the UCU delegates declined to attend the meeting. The meeting on 9 March was unable to proceed due to the absence of the UCU representatives.
Sir Andrew Cubie, the independent chairman of the JNC, has convened a further meeting of the JNC next Thursday 17 March 2011.
Tom Merchant, USS chief executive, in a letter to the employers participating in USS said:
‘The problem encountered in finalising the formal rule changes means that it is not now possible to implement the scheme changes with effect from the agreed date of 1 April 2011. I know that institutions have been making their own detailed preparations ahead of the anticipated implementation of the changes, alongside the extensive preparations made by the trustee company, and the disruption is highly regrettable.
As you will appreciate, it is not possible to forecast when any changes might be finally decided on. It is for the EPF and UCU to take decisions on changes to the scheme, and given the current difficulty the USS executive is of course continuing to work with both of them to try to find a resolution. It is clearly a major concern to the trustee board that events have taken their recent course.
Regrettably the recent events have also affected the ability of the trustee company to implement options to mitigate or eliminate the new tax charges that arise for some members as a result of the government's forthcoming changes to the pensions tax relief rules.’
The USS trustee board held a special meeting on 10 March to finalise the scheme changes but was unable to do so, due to the absence of progress at the JNC.
The chairman of the USS board, Sir Martin Harris, expressed his concern that the discussions at the JNC between the EPF and UCU had not produced a conclusive outcome. Sir Martin said, “A huge amount of time and thought has gone into the proposals for the future design of the scheme’s benefits by the employers and UCU with a great deal of assistance from USS itself. It is of concern that the stakeholders have not yet been able to ratify the changes.” He urged the University and College Union and the employers to work towards a solution to this impasse.
Sir Andrew Cubie, the independent chairman of the JNC said, “I am personally disappointed that the meeting ended inconclusively. I trust that the two sides will meet again later this month and that the situation will then be resolved satisfactorily.”