Pension fallout

22nd November 1996 at 00:00
Sixth-form college reorganisation and redundancy plans in line with Government demands for efficiancy savings have been thrown into chaos by proposed pension reforms, the Sixth-Form Colleges' Employers' Forum has warned.

Early retirement proposals were agreed in the three-year financial forecasts which had to be completed by July 31, Sue Witham, the SFCEF secretary, warned in a letter to the Department for Education and Employment last week.

"These early retirement proposals have a devastating effect on the forecasts, which should have lasted through to July 1999," she said.

Colleges must shoulder the burden of increased costs under Government changes to early retirement announced recently (TES, November 1). Ms Whitham challenged ministers' claims that the sector would save Pounds 13 million a year from the reforms.

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