Union talks after UK pensions dispute breakthrough

Hopes of averting a strike involving 1.5 million council workers and civil servants in Britain rest on meetings to be held tomorrow.

They follow a breakthrough in the bitter dispute between unions and the British government over plans to increase the retirement age from 60 to 65.

Deputy prime minister John Prescott offered to revoke the changes yesterday after the unions threatened to stage a 24 hour strike on Wednesday.

He was backed up by a letter from Work and Pensions Secretary Alan Johnson, who acknowledged there had been “misunderstandings and suspicions” of the planned reforms.

A Department for Work and Pensions spokesman said he was “hopeful” that the walkout would be called off.

“We are certainly optimistic. We want to have full and open discussions and negotiations, and work together to achieve agreement on these issues,” he said.

The promised changes to the government’s plans will affect local authority workers but were expected to spread to civil servants who are involved in a separate row over pensions.

Leaders of the Public and Commercial Services Union, which represents 290,000 civil servants, will meet tomorrow to decide their next move.

An official said the development was a good sign.

If the 24-hour strike went ahead it would force some schools to close due to an absence of classroom assistants and other support staff.

The DfES could not confirm how many schools would be forced to close if the strike went ahead.

“While the circumstances will vary across the country we would expect as many schools as possible to stay open to minimise the interruption that might be caused to pupils in education,” she said.

A spokeswoman for Amicus today said their members’ decision would probably be announced tomorrow, adding: “Consultation will take place during the course of the weekend.”

A Transport and General Workers’ Union spokeswoman said John Prescott’s announcement was a good “basis for negotiation“.

She said: “This is something that is an acceptable offer. We are confident that this is a good basis for calling off Wednesday’s action.”

A Unison spokeswoman said key people within the union would be informed of the government’s offer this weekend before a decision on whether to call off the strike was made tomorrow.

“We were very pleased with the breakthrough in the talks and the decision on Friday,” she said, adding that some schools, public gardens and leisure centres would be affected if the strike went ahead.

Announcing the government’s new offer on Friday, Mr Prescott said: “Following constructive dialogue on the local government pension scheme I have decided to establish a tripartite committee which I will chair.

“It is my clear intention to revoke at my earliest parliamentary opportunity the local government pension scheme regulations. It is my intention also to begin consultation on new regulations.”

The government sparked anger among council workers and civil servants by announcing plans to increase their retirement age from 60 to 65 and make other changes to their pension arrangements.