River Clyde Homes responds to concerns over staff pension transfer process

River Clyde Homes responds to concerns over staff pension transfer process

River Clyde Homes (RCH) has moved to allay fears from Inverclyde Council over the proposed transfer of pensions for some of its employees.

A motion put forward by Councillor Colin Jackson ahead of a full council meeting last month expressed concerns that the housing association is considering moving workers who remain on the final salary Strathclyde Pension Fund to the Scottish Housing Association Pension Scheme (SHAPS).

According to the motion, if the employees do not accept the move, “their employment may be terminated, and they will be rehired on revised terms and conditions”.

The motion, which also called on the chief executive of Inverclyde Council to write to RCH about the matter, was unanimously approved.

Councillor Jackson said: “We have a duty to stand up for local workers and the ‘fire and rehire’ proposal is deeply concerning.

“Such action would be an affront to workers’ rights and to the trade union movement.”

Councillor Paul Cassidy, who seconded the motion, added: “We know it’s a tough time financially for many organisations, including River Clyde Homes, but potentially forcing staff to reluctantly accept significant changes to their terms and conditions is completely unacceptable.

“RCH must go back to the drawing board and come up with another plan that respects workers’ rights.”

River Clyde Homes told Scottish Housing News that it was incorrect to suggest staff were put on notice and that the Association remains in consultation with the impacted staff.

A spokesperson said: “River Clyde Homes is a registered charity that provides essential services to around 8,000 tenants and residents across Inverclyde. Our responsibility is to ensure value for money for our customers by maintaining affordable rents while safeguarding the long-term sustainability of the organisation.

“Pension arrangements have a significant financial implication and, like many other organisations, we have had to review what is viable going forward. We are in consultation with 44 staff (14% of our workforce) concerning proposed changes to their pension arrangements. We have also recently written to the chief executive of Inverclyde Council to address the concerns raised. We remain committed to open and constructive dialogue throughout this process.”

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