TUBE PENSION VICTORY

RMT helpline 0800 376 3706 :: march/april 2025 :: RMTnews 5 RMT members on London Underground have won a major victory in the fight to protect the Transport for London (TfL) Pension Fund. After years of government pressure to cut pension benefits, LU members successfully defended the scheme with no reduction in benefits and no increase in employee contributions. This victory is the direct result of collective action and through seven ballots and six days of strike action, the union forced TfL to back down and abandon plans to weaken pensions. The attack on pensions began in 2017 when TfL’s operational subsidy was scrapped. By 2020, the COVID-19 pandemic pushed TfL’s finances into crisis, and ministers demanded pension ‘reform’ as part of bailout agreements. Their goal was to cut pension costs by up to £182 million a year, with proposals to switch to an inferior Local Government Pension Scheme or a career-average model. However, RMT members stood firm in defence of what are, in effect, deferred wages. In June 2022, over 50,000 RMT members took strike action across London Underground and the national rail network, launching the first national rail shutdown in decades. This action gave confidence to other workers, sparking further strikes across multiple industries, including postal workers, teachers, nurses, and civil servants. With momentum building, the employer was forced to step back. TfL was unable to implement any pension changes before September 2026 and agreed to begin a formal consultation on transferring to an inferior scheme by mid-2024. However, as the strike wave continued, in February 2025, London Underground confirmed that no changes would be made to the pension scheme, and the pension review management team was disbanded. This has meant that the final salary scheme remains protected, pensions will continue to increase in line with RPI, workers can still retire at 60 with no penalty, and any funding shortfall must be met by the employer rather than employees. RMT general secretary Eddie Dempsey said that the union was told that these cuts were inevitable, but our members determination has ensured that these attacks on pensions have been thwarted. “This win proves that when workers are organised and willing to take strike action, they can defeat even the most determined attacks on their rights and living standards. “While this is a significant win, the fight is far from over as TfL and LUL remain committed to cutting costs, and further attacks on jobs and agreements are likely. The strength and determination of RMT members have proven that when we stand together, we win,” he said. TUBE PENSION VICTORY LU members successfully defend scheme following seven ballots and six days of strike action STRIKE: LU members took industrial action in defence of pension rights