Northumbria University staff vote in favour of strike action

Staff at Northumbria University voted to take industrial action, with the result announced on Friday 23rd January, following proposed changes to their pension arrangements.

The University and College Union (UCU) announced the result after a ballot of its members, which showed 80 per cent voted in favour of strike action, with a turnout of 60 per cent.

This comes as university management is offering staff a move from the Teachers’ Pension Scheme (TPS) onto the Universities Superannuation Scheme (USS) in an effort to reduce costs, which the UCU warns would leave staff “significantly worse off”. 

Under the current proposal, staff in the TPS would still receive annual increments and promotions but salary levels at each grade would not increase in the short term, due to the high cost of the pension scheme. In contrast, staff in the USS would receive pay increases each year, in line with sector-wide pay awards.

The UCU argues that this would effectively penalise staff for remaining in their current pension scheme and could lock them into years of real terms pay cuts.

Northumbria University is aiming to save around £11 million through the proposed changes, which the UCU describes as a serious threat to staff members’ long-term retirement security.

Opposition to the plans has extended beyond Northumbria staff. A petition calling on the university to reconsider has gained more than 1,000 signatures. Prominent regional figures, including the North East Mayor and local councillors, have also written to the university in support of staff and urged management to “halt plans to freeze pay”. 

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They said: “These plans threaten the livelihood and wellbeing of staff now and into the future, compromise the student experience, and damage the sustainability of local communities depending on decent pay and pensions.”

UCU general secretary Jo Grady said: “Taking strike action is a last resort for our members but they are rightly furious about this attack on their retirement security. Northumbria University staff work hard, achieve great things for students and the wider community and deserve better than this.    

“Staff should not have to choose between their pay or pension. Management needs to rethink its plans and work with us to find a solution.”

Northumbria has highlighted it is at a financial disadvantage compared with other institutions offering the USS, such as Newcastle University, and has therefore been exploring ways to manage the high costs associated with the TPS. Employer contribution rates for the TPS have increased in recent years, from 16.4% to 28.6%. By comparison, the employer contribution rate for the USS stands at 14.5%.

A spokesperson for Northumbria University said: “We have engaged in open and transparent communications with our colleagues about the need to address the very high costs of the Teachers’ Pension Scheme over the last few months.

“These communications have outlined clearly how universities required to use the Teachers’ Pension Scheme, such as Northumbria, are significantly financially disadvantaged in comparison to universities such as Newcastle and Durham who offer the Universities Superannuation Scheme.

“The additional costs of the Teachers’ Pension Scheme for Northumbria University are £11 million per annum at a time when university finances are under unprecedented pressure. USS is offered by more than 300 higher education providers and is the main pension scheme offered by pre-1992 universities.

“All academic staff have the option of switching to the Universities Superannuation Scheme, which, like the Teachers’ Pension Scheme, is a defined benefit pension scheme based on career average salary for the majority of staff. Where TPS members choose to move to USS we have agreed to share some of the cost saving with them.

“Throughout our communications we have encouraged feedback from colleagues to help shape our proposals and we have provided extensive support to help TPS members consider their options, including one-to-one sessions with independent pensions specialists and a contribution towards the cost of further independent financial advice.

“UCU opened a ballot for industrial action in December, long before our proposal was shared and negotiations with them had even begun. We are committed to continuing constructive discussions with UCU and we will work to ensure that our students are not disadvantaged as a result of their decision.”

The dispute is part of wider national concern about universities, including Northumbria, attempting to reduce pension spending at the expense of staff. MPs have tabled a motion in Parliament to address the issue.