A memorandum of understanding has been signed between the government and the Fire Brigades Union over pension rules for retained firefighters.
The agreement principally concerns members on the retained duty system, firefighters who are not employed as full-time firefighters but who — unlike volunteers — are paid to be on call for long periods of time.
There were an estimated 18,000 retained firefighters in the UK in 2021, covering 60 per cent of the country.
A legal case was brought, back in 2006, claiming that retained firefighters were being treated less favourably than full-time firefighters by being denied access to an equitable pension, in breach of the Part-time Workers (Prevention of Less Favourable Treatment) Regulations 2000.
The modified section of the New Firefighters’ Pension Scheme was eventually opened to retained firefighters in respect of service between July 1 2000 and April 5 2006, from which date membership was open anyway.
The Modified Scheme (2006) is a final salary arrangement designed to provide benefits comparable with both the 1992 and 2006 iterations of the Firefighters’ Pension Scheme. Although it is technically an ‘add-on’ to the FPS 2006, many of its benefits — and its retirement age — reflect the benefits that would have been available under the 1992 scheme had it been open to retained firefighters.
The government has been proved wrong time and time again when it comes to pensions, and we will continue to fight for justice for all of our members Mark Rowe, FBUOptions exercise not fulfilled
There was supposed to be an options exercise, with members being told in 2014-15 what benefits they could expect to receive should they choose to become members, and what contribution rates they should receive.
It was subsequently discovered that at least one fire authority did not complete this process.
However, further complaints were raised about the fact that the options exercise only included service dating back to July 2000, with legal uncertainty remaining over whether service before that date could be included, leading to a number of employment tribunal claims being stayed until legal clarity was provided.
The case was subsequently resolved in November 2018, allowing for service from the start of employment to be taken into account for claims under the Part-time Workers Regulations, and the FBU has been in conversation with the government since then over how to resolve outstanding retained firefighters’ employment claims.
A second options exercise was deemed the appropriate way forward and will apply to those with relevant service beginning between April 7 2000 and April 5 2006, regardless of whether the member in question presented a claim to the employment tribunal, or whether they had declined the offer made in the first options exercise.
Agreement achieved
The memorandum of understanding between the government and the FBU was made public on February 14, with the second options exercise to commence following the passage of necessary legislation, expected to take 18 months.
Mark Rowe, the FBU’s national officer, said: “This is very good news for retained firefighters who will now be provided the opportunity to have previous employment as a retained firefighter count towards their pension, under the conditions of the second options exercise memorandum of understanding.
“Some retained firefighters were previously losing out, so we’re delighted to successfully conclude these negotiations for our members. The government has been proved wrong time and time again when it comes to pensions, and we will continue to fight for justice for all of our members.”
Benjamin Mercer is a senior reporter at FTAdviser's sister publication Pensions Expert
