Would you accept this offer?

[yer_averagejoe]

not when the employer will have to legally provide better than that very soon anyway

You've stated this about four times without providing a source. Source please? What is the legal minimum matched contribution going to be?

Edit: Cheers Freakbro

 

[tidusjar]

in the next year or 2 employers will legally have to provide a contributary pension which is better than he has been offered, I am sure his employer is aware of this and is trying it on

If not then his employer needs to confirm that after this date the 1+1 offered will be in addition to the legal minimums

Ah! thanks for clearing that up.

Definatly reject that offer.

 

[fidget]

For the past few weeks at work there's been talk of our holidays being reduced. Today a proposal was announced:

Current contract:
- 25 days holiday
- No pension
- No denplan

New contract:
- 20 days holiday
- 2% raise
- Pension (we put in 1%, they put in 1%)
- Denplan

That's literally all the info we've been given at this stage, we don't know any more details about the pension or the denplan. Obviously there will be more to follow. Based on that, would you accept it or not? If not, what do you think would be a fairer offer?

Assuming you are full time, both of those offers are below the UK minimum legal holiday entitlement anyway which now stands at 28 days per annum.

a 2% rise isn't really a rise anyway as it's below inflation.

The pension part will become law and they have to do this anyway from next year anyway.

Looks like they are attempting to shaft you tbh

 

[Freakbro]

You've stated this about four times without providing a source. Source please? What is the legal minimum matched contribution going to be?

They have not finalised it yet, but they wanted to end up at about 3% employee and 5% Employer iirc, it was going to start at something like 1% and 3%, but they have changed the goalposts a few times already

Edit : NEST homepage http://www.nestpensions.org.uk/schemeweb/NestWeb/public/home/contents/homepage.html

 

[NotAGolf]

So your work will match your pension contribution 100%, or do you literally meanto the max of 1% ?

Not sure at this stage. I wouldn't be suprised if the max was 1% until they're forced to raise it with the new regulations coming in.

Excuse me for asking, what type of industry do you work in?

Those terms look pretty poor

IT. Yes they are pretty poor, but I do enjoy my job and it does have other perks.

remove that pension offer from any thoughts as very soon they will legally have to offer you better than that anyway

It's a small company (<50 employees) so if I'm not mistaken the new regulations don't come in for another 2/3 years do they? When they do, what is the new 'ratio'? I've got 3%/4% employee/employer in my head from somewhere...

So your trading 5 days holiday for a 2% raise, pension and dental plan...

Yes.

 

[Gilly]

I wouldn't accept. I'd expect more than 2%

If they went to 5% I would be more inclined, but 25 days a year is already a low amount.

If you accept the 20 days would you accrue more days with length of service?

Assuming you are full time, both of those offers are below the UK minimum legal holiday entitlement anyway which now stands at 28 days per annum.

Since when? I'm on 30 days this year and that's 5 days better than my DRs.

 

[Deleted User 234324]

Employeer contribution will be minimum 3% from 2013 for most companies.

 

[scorza]

I always work out the value of each day's holiday as worth my gross annual salary divided by 240 if that helps you any. The pension scheme looks awful and my experience of dental plans is that they are a bit of a rip off e.g. on ours the maximum they will pay out is £500, which doesn't go very far if you need any complex dentistry - fortunately our denplan is optional so I take the extra £.

Personally I'd reject that offer.

 

[Andrew_McP]

I take it the holidays exclude bank holidays, because the legal entitlement is 28 days (including BHs). The EU has been good for something.

1% pension contribution is lousy unless they'll match any additional contributions you make. 3% is traditional, but nothing to write home about. I think it's more like 14% in the NHS, which explains why we're bankrupt.

Given that there's a new scheme coming in next year "forcing" all companies and employees to start up a scheme (subject to a minimum number of workers) or join the government scheme this seems like it might be a way of pre-empting that.

Either way it's a tricky time for contract renegotiations. The ongoing downturn is giving a lot of companies an excuse (and reason) to try and trim costs wherever possible. This seems like it might be a way of doing so using smoke and mirrors to complicate and confuse things.

Edit: lots of replies while I typed.

 

[scorza]

Assuming you are full time, both of those offers are below the UK minimum legal holiday entitlement anyway which now stands at 28 days per annum.

The 28 days minimum includes public holidays, so assuming he gets those off they're at the minimum I think (8 public holidays a year in England?)

a 2% rise isn't really a rise anyway as it's below inflation.

It is really a rise because presumably the alternative is a 0% rise.

 

[WillyNelson]

Depends what the alternative is. I'd expect a 3% raise to roughly take tax/NI into account, and a 1+1% pension plan is pretty bobbins. Ignore Denplan unless it's worth a lot to you.

What is the alternative; nothing, leave?

 

[Hades]

I wouldn't take it. Don't forget you don't pay tax on holidays but you do on extra income.

 

[NotAGolf]

Reject. What industry? Is it feasible to walk if they dont give you what you want?

IT. It's a small private company though so I'm pretty sure if we walk then that'll be that.

Assuming you are full time, both of those offers are below the UK minimum legal holiday entitlement anyway which now stands at 28 days per annum.

We get bank holidays, so its 20 days paid leave + 8 bank holidays = 28 days.

 

[Karl]

Further information is available here:

http://www.direct.gov.uk/en/Employment/Employees/Timeoffandholidays/DG_10029788

 

[Rotty]

You've stated this about four times without providing a source. Source please? What is the legal minimum matched contribution going to be?

Edit: Cheers Freakbro

didn't provide a link as I thought it was something that you really couldn't have failed to hear about

http://www.nestpensions.org.uk/schemeweb/NestWeb/public/home/contents/homepage.html

 

[Rotty]

I wouldn't accept. I'd expect more than 2%

If they went to 5% I would be more inclined, but 25 days a year is already a low amount.

If you accept the 20 days would you accrue more days with length of service?



Since when? I'm on 30 days this year and that's 5 days better than my DRs.

the 28 min can include bank hols

 

[HumanShield]

yes and have 5 days off sick

with toothache?

 

[RobDogDog]

LOL.

Whoop-whoop-whoop-whoop!

Cheers guys, I'm now getting funny looks off colleagues for laughing to myself hahaha!

 

[fidget]

Since when? I'm on 30 days this year and that's 5 days better than my DRs.

Since it was made law
http://www.direct.gov.uk/en/Employment/Employees/Timeoffandholidays/DG_10029788

The OP has clarified that does not include bank holidays though so he is really getting 28/33 holidays not 20/25.

 

[NotAGolf]

Depends what the alternative is. I'd expect a 3% raise to roughly take tax/NI into account, and a 1+1% pension plan is pretty bobbins. Ignore Denplan unless it's worth a lot to you.

What is the alternative; nothing, leave?

Currently the alternative is to stay on the current contract. However, I'm skeptical that will be the case as a few months before I joined, they had a similar situation; they offered employees 8 days extra holiday in return for working friday afternoons (used to do a half day on friday).

Half said yes, half said no. In the end as most had signed, those who hadn't were pretty much told to sign or leave. Although I'm not sure how accurate this is as I wasn't here at that time.