COMMERCIAL IN CONFIDENCE 2 Consultation Initial meeting end of April 8 meetings to date, next scheduled 22 nd July Extensive work undertaken by the Consultation Forum to develop Matrix 9 different sets of Terms & Conditions Now complete with Measures and Representatives plan to share this with you from this week Topics covered include:- Terms, Conditions & benefits New locations – Blackpool & Sheffield Pensions & Flexible benefits Processes, Policies & Guidelines
COMMERCIAL IN CONFIDENCE 3 Communications 1-2-1s Complete for everyone who asked for a (206 in total) Received positive feedback on the two-way dialogue Gathered massive amounts of useful information (individuals, roles, teams) Questions captured: working through these General questions – replies being added to Microsite Individual questions/personal – s will be sent direct to individuals Microsite Continues to be updated with material and Q&A information Group mailbox Responding to queries regularly
COMMERCIAL IN CONFIDENCE 4 Premises Blackpool contractor practical completion achieved on target on the 1 st July. Fujitsu specific fit-out started, the project is on target to deliver these premises for September Blackpool move planning will commence in the near future, Fujitsu will be involving the consultation forum in the detail. Fujitsu are currently in the advanced stages of finalising arrangements for premises in Sheffield. Feedback from the 1 to 1s has been considered as an integral part of this process in terms of requirements for this location. As soon as commercials are complete the exact location will be communicated. Norcross – knowledge transfer process has now been agreed with both HPES and the DWP. This process will confirm our technical requirements going forward which will inform the decision on whether testing remains at Norcross at Day 1 or moves to Blackpool. London - Fujitsu are in dialogue with the DWP around use of the current space on site for the Adelphi and Caxton House. These are progressing well.
COMMERCIAL IN CONFIDENCE 5 Training Skills Profiles/Checklists Thank you for completing these Being used to help us create bespoke training plans to meet your needs in line with the requirements of the service we are providing
COMMERCIAL IN CONFIDENCE 6 Re-planning The transition of DWPs Desktop Services from Hewlett Packard Enterprise Services (HPES) to Fujitsu will complete later than the originally planned date of September We have made good progress to date and expect to complete Transition either late 2010 or early The Departments priority is to deliver the benefits of Fujitsus transformed Desktop Services solution (i.e. a predominantly Thin Client solution) with no disruption to service to its customers and staff. This requires some flexibility in the handover of the Desktop Service between the two suppliers (HPES and Fujitsu). The additional time is required to ensure the smooth and seamless transition from HPES to Fujitsu. All the organisations involved continue to work closely together to achieve this.
Your pension going forward with Fujitsu Copyright 2010 Fujitsu Services Limited July 2010 Pension Presentation
COMMERCIAL IN CONFIDENCE 8 What scheme are we offering Employee contributions paid by employer through Salary Swap Transfer terms and options AVCs What next? Questions Agenda
COMMERCIAL IN CONFIDENCE 9 Benefits comparable to those under the Civil Service Option to join section C of the Fujitsu Comparable Pension Scheme Like the EDS 1994 Plan the Fujitsu scheme is certified by Government Actuarys Department as offering a package of benefits that is broadly comparable to PCSPS Classic
COMMERCIAL IN CONFIDENCE 10 Salary Swap – to save NI What is it? An efficient way for you to pay employee contributions Offers National Insurance (NI) savings for you and Fujitsu How it works Your gross salary (i.e. salary before Income Tax and NI contributions), which we call Reference Salary, is reduced by the amount of your contribution Fujitsu then pay this contribution on your behalf You pay less NI as the salary you are paid (Actual Salary) is lower Pension and other benefits, allowances, pay review & overtime all based on pre-reduction Reference Salary
COMMERCIAL IN CONFIDENCE 11 Salary Swap Example – 2010/11 Tax Year On a salary of £30,000 and paying the standard 1.5% employee contribution 1.5% salary reduction Salary paid to employee Employee NI contribution Employee 1.5% contribution Taxable salary Employee NI saving Salary deduction N/A£30,000£2,272£450£29,550N/A Salary Swap£450£29,550£2,229N/A£29,550£43
COMMERCIAL IN CONFIDENCE 12 Salary Swap – employee NI saving for 2010/11 For members of the Fujitsu Comparable Pension Scheme on pensionable pay of up to £43,888 the NI saving will be at least 9.4% of the employee pension contribution NI saving starts to reduce towards minimum of 1% where pensionable pay exceeds £43,888 Applies for 2010/11 Tax Year. Figures may differ for subsequent years.
COMMERCIAL IN CONFIDENCE 13 Fujitsu Comparable Pension Scheme Section C You may join and start accruing pension from date of transfer You can also transfer the pension accrued within your HP pension to Fujitsu Comparable Pension Scheme for an equivalent service credit If you do not join when you move you will not be able to join this Scheme at a later date
COMMERCIAL IN CONFIDENCE 14 Future Pension Entitlement Comparable to Classic section of PCSPS Basic retirement benefits include: 1/80th of your Final Pensionable Pay (FPP) for each year 3/80ths of your FPP as Tax-Free Cash for each year Normal Pension Age 60 (but you continue to earn benefits if you work up to contractual retirement age of 65) Pension Increases – RPI up to a maximum of 7.5% p.a.compound calculated on a cumulative basis (but may be modified in line with Government changes). Employee Contributions – 1.5% of Pensionable Pay Contracted-out of State Second Pension (SERPS)
COMMERCIAL IN CONFIDENCE 15 Future Pension Entitlement Drawing your retirement benefits early Option to take benefits from age 55* if no longer in Company service Company consent needed if taking benefits while still remaining in service Accrued pension reduced for early payment (*Some members may retain right to retire from age 50) Ill-Health Benefits Subject to Trustees discretion Pension based on actual service to date plus potential future service to age 65 Tax free cash sum based on actual service to date plus ½ of potential future service to age 65
COMMERCIAL IN CONFIDENCE 16 Future Pension Entitlement Death-In-Service Benefits Lump Sum of 4 x Final Pensionable Pay (FPP) Spouses Pension of 50% of pension member would have received at 65 based on current FPP Childrens pensions of ¼ of spouses pension per child (up to a maximum of 4 children) Payable on death while a contributing member of Scheme
COMMERCIAL IN CONFIDENCE 17 Fujitsu Comparable Scheme Occupational Pension Scheme Set up under Trust with assets separate from employer Administered by Xafinity (Section C) Trustee is Fujitsu Comparable Pension Trust Ltd which includes member nominated directors
COMMERCIAL IN CONFIDENCE 18 Transfer terms and options Transfer basis secures year for year equivalent service credits If you decide to transfer from HP, all pension rights must be transferred
COMMERCIAL IN CONFIDENCE 19 AVCs If you have AVCs, they will transfer with your main pension rights and will be invested with: Friends Provident funds, five fund options including: Lifestyle investment strategy Index-Tracker fund
COMMERCIAL IN CONFIDENCE 20 The small print The foregoing is a brief summary of the benefits under the Fujitsu Comparable Pension Scheme. It is subject to its own formal governing document, a Trust Deed and Rules, which details all the benefits payable together with the relevant terms and conditions. The provisions of the Trust Deed and Rules are overriding and will prevail in the event of any ambiguity or uncertainty. In line with any Government changes to PCSPS, the Fujitsu Comparable Pension Scheme may be subject to modification from time to time BUT will always meet the requirements for GAD approval.
COMMERCIAL IN CONFIDENCE 21 What Next? You will receive a new joiner pack about 3 weeks before start date which will include pension scheme documentation to be returned if you wish to join the scheme 3-6 months after joining, you will get information regarding the option to transfer your accrued benefits to the Fujitsu scheme On receipt of the above information you will have 3 months to decide whether to transfer your accrued benefits Any questions in the meantime should be addressed to