Proposed Pension Changes Questions and Answers (Q&A)

Transcription

1 THE METAL BOX PENSION SCHEME Proposed Pension Changes Questions and Answers (Q&A) The changes 1. What are the proposed changes? The proposals are described in detail in the consultation newsletter. In summary, if the Company decides to proceed with the proposals following the end of the consultation period: All members would stop building up benefits in the Scheme and the AVC Plan from 31 March Benefits built up to 31 March 2019 in the DB Section of the Scheme would remain in the Scheme as a deferred pension. Employees would start to build up benefits in the proposed new defined contribution plan (a Master Trust) from 1 April Benefits built up to 31 March 2019 in the DC Section of the Scheme and the AVC Plan would be transferred into the new DC plan shortly after 1 April There would be higher contribution rates from the Company under the new DC plan compared to the current DC Section of the Scheme. Pensionable Pay, life cover and ill health arrangements would also change. Please refer to the consultation newsletter for more detail about the proposed changes, and to your personal statement for more information about how the changes would affect you. 2. Why are the changes being proposed? The two most common ways for UK companies to provide pension benefits to their employees are through either a Defined Benefit (DB) scheme or a Defined Contribution (DC) arrangement. Historically the Company has provided DB benefits, but in 2001 closed the DB Section of the Scheme to new members. Since then, all new employees have built up pension benefits in the DC Section of the Scheme. This means that since 2001 employees have been earning different pension benefits. To address this disparity, the Company wishes to provide harmonised, equitable pension benefits for all UK employees going forwards. The Company s proposal to move to a single, harmonised UK pension arrangement would also allow the Company to control, and have more certainty about, its long-term costs. To put this into context, for our Scheme, the cost to the Company of providing DB benefits reached 37.3% of DB members Pensionable Salaries, less Additional Contributions, after the 2016 valuation. This compares to a cost of 20.5% after the 2007 valuation. This increasing cost affects our ability to invest in our business and remain competitive. It is also significantly higher than the cost of pension benefits for other employees. Consequently, the proposal is to close both the DB and DC Sections of the Scheme. All existing members would be moved into one harmonised DC scheme the new DC plan which would also be open to existing eligible and new employees. The new DC plan would be fairer to all employees and also gives members significant flexibility and choice in how they take their pension benefits. This new arrangement would be easier to administer and would enable the Company to better control long-term pension costs and will also reduce operational costs over time. This stability in long-term pension cost would help the Company manage and grow the business in the future for the benefit of all employees. 3. Why is the Company making these proposals now? The cost and risk to the Company of providing DB benefits has increased significantly since the DB Section was closed to new entrants in To help address this, DB section members were asked to pay more contributions from April 2016 and the Company has taken a number of actions to help reduce the risk the Scheme presents to the business. For example, by providing members with options such as the recent Pension Increase Exchange exercise for pensioners and the Enhanced Transfer Value exercise for deferred members. The proposal to stop building up further benefits in the Scheme is another important step in controlling the risk in the Scheme and stabilising the long-term cost of providing pension benefits. All these actions combined are also designed to improve the security of the benefits earned within the DB Section. It is important to take these steps now to ensure the Company can invest in the business to help it to grow and remain competitive. 1

2 4. Would the proposed changes affect everyone? The proposed changes would affect all eligible employees that is all active members of the current DB and DC Sections of the Scheme and the AVC Plan as well as employees who are currently eligible to join. The changes would affect members in different ways depending on which Section of the Scheme they are in. You should make sure you read the information carefully to understand how the changes would affect you. The proposed changes would also affect deferred members in the DC Section of the Scheme and in the AVC Plan, whose savings in the Scheme and the AVC Plan would be transferred to the new DC Plan. 5. How much do employees and the Company currently pay to the DB Section of the Scheme? Most members of the DB Section pay Ordinary Contributions of 5.6% of Earnings plus Additional Contributions of 2.7% of Additional Contribution Earnings (either through deductions from salary or through Salary Exchange, whereby the member s salary is reduced by an equivalent amount). The cost of providing future benefits in the DB Section is much higher than this and so the Company contribution rate is 37.3% of Pensionable Earnings less Additional Contributions. When added to deficit recovery contributions this is a significant contribution and over the last three years ending 31 March 2018 the Company has paid 275m to the DB Section. Members of the DB Section can also choose to pay additional contributions to the AVC Plan. 6. How much do employees and the Company pay to the DC Section of the Scheme? This depends on the rates chosen by employees and their age as shown in the table below. The maximum match is provided when members have reached age 55. Member pays (% of Pensionable Pay) Company pays (% of Pensionable Pay) 3% 3% 6% 4% Between 3.25% and 4.0% depending on age 5% Between 3.5% and 5.0% depending on age 6% or more Between 3.75% and 6.0% depending on age Total (% of Pensionable Pay) Between 7.25% and 8.0% Between 8.5% and 10.0% Between 9.75% and 12.0% 8. What are the proposed new contribution rates in the new DC Plan? The contribution from the Company in the new DC plan would be higher than it is for the current DC Section of the Scheme and would no longer depend on an employee s age. The proposed contribution structure is shown in the table below. Member pays (% of Pensionable Salary) Company pays (% of Pensionable Salary) 4% 5% 9% 5% 7% 12% 6% or more 9% 15% Total (% of Pensionable Salary) The default contribution rate would be 6%. If you wanted to pay a different amount (higher or lower) you would be able to change this at any time. 9. What is the difference between a DB and a DC pension scheme? Defined benefit (DB) and defined contribution (DC) schemes work in very different ways. In a DC pension scheme you build up a pot of money (in an account) that you can then use to provide an income and/or cash in retirement. In contrast, the pension you get when you retire from a DB scheme is based on a defined formula that depends on your pay and how long you have been a member of the scheme. You can find more information on how the current DB and DC Sections work, and the differences with the proposed new DC Plan in the consultation newsletter. 10. What is the proposed change to Pensionable Salary? Contributions to the new DC plan would be based on your Pensionable Salary. Pensionable Salary for the proposed new DC plan would comprise Basic Pay, shift allowance, overtime and Average Holiday Pay (AHP). Some elements of pay included in Earnings/Pensionable Pay (currently used to determine contributions to the Scheme) would no longer be included when calculating Pensionable Salary. Your personal illustration will show your actual pensionable Earnings/ Pay for the Scheme year ended 31 March 2018 and what this would have been under the proposed new definition. 11. Why is the definition of Pensionable Salary changing? The Company proposes that a single definition of Pensionable Salary is used so that all employees at all sites are treated the same. 7. How many employees are affected by the proposal? At the end of August 2018, 486 employees were contributing to the DB Section of the Scheme and 1,549 to the DC Section of the Scheme. 84 employees have chosen not to join but are eligible to do so. 2

3 12. If the Company claims it can t sustain the DB Section why is it offering to contribute more under the new DC plan? The cost to the Company of providing DB benefits reached 37.3% of DB members Pensionable Salaries less Additional Contributions after the 2016 valuation. This increasing cost affects the Company s ability to invest in the business and remain competitive. DC arrangements provide a more affordable vehicle to provide pension benefits. If the proposals go ahead, some of the cost savings that the Company expects to make would be used to improve the DC contribution structure for all employees. The proposed changes would enable the Company to better control long-term costs. This stability in long-term pension cost would enable the Company to pay higher contributions to the proposed new DC plan. 13. What is the Trustee s role in this? The Trustee of the Scheme and the AVC Plan has been made aware of these proposals and discussed them with its own advisers and with the Company. If the Company proceeds with its proposal following this consultation, the Trustee would be supportive of making the Rule amendments needed to effect the changes subject to conditions that need to be met. The Trustee has been asked to review the information provided to you. The Trustee would also be required to approve the proposed transfer of savings to the new DC plan having completed appropriate due diligence. 14. Has the Company been considering other options? The Company has considered a range of other options but none of these meet the objective of providing harmonised benefits for all employees. Since the DB Section of the Scheme closed to new members in 2001, the Company has regularly reviewed the level of pension benefits under review. Despite actions being taken, the cost of providing the benefits in the DB Section has continued to increase. As well as not meeting the objective of providing harmonised benefits, the other options also did not meet the objective of stabilising the long-term costs of pension provision as there remained a risk of future cost increases. 15. If the changes go ahead, can I be sure my pension won t change again in the future? Based on what we know now, the Company believes that these proposals would be sustainable for members and for itself and we do not anticipate further changes will be needed. However, if the Company decides to proceed with the changes, it will continue to monitor whether its pension arrangements remain appropriate. As with all UK employers providing pensions, we are not in the position to provide any guarantees that there will not be any further changes to pension arrangements in the future. Changes in legislation might also affect the way that the Company is required to provide pension benefits. However, the Company is not currently aware of any change which would impact on the arrangements described in its proposals. If you are a DB Section member 1. If the Scheme is closed, what would happen to my DB pension in the Scheme? Your benefits built up to 31 March 2019 in the DB Section of the Scheme would remain in the Scheme as a deferred pension. This pension would be calculated using your DB units, Final Average Earnings/Normal Pay and Fluctuating Contributions at 31 March Your deferred pension would be subject to an increase each 1 April starting in 2020 to offset the impact of inflation until you retire or transfer out to another scheme in accordance with the Scheme rules. 2. What would happen to any AVCs I have paid to the AVC Plan? If the changes go ahead, these would be transferred into the new DC plan shortly after the closure of the AVC Plan. Some more information about the new DC plan is included below. If the proposals go ahead the Trustee of the Scheme would write to you with more details about the transfer, when it will happen and what will happen to your investments nearer the time. The funds transferred would be ringfenced as originating from your AVC Plan funds. This is important because when you retire, you would still be able to transfer your AVC Plan funds to the Scheme to buy additional benefits. Please note that whether or not the proposed transfer to the DC plan proceeds, the ability to buy additional benefits in the Scheme with AVC Plan savings is subject to future change. 3. Why would I be offered an Enhanced Transfer Value (ETV)? When will information be available about an ETV? If the proposals go ahead, the Company intends to make members of the DB Section of the Scheme an ETV offer. This is an option to transfer your DB benefits out of the Scheme, with a transfer value that would be higher than the ordinary cash equivalent value of your benefits. This would enable you to move your benefits into a different pension arrangement (for example the proposed new DC plan) and take advantage of the flexible options available on retirement from that higher transfer value. Independent financial advice paid for by the Company will be made available for anyone receiving an offer. If, following the consultation the Company decides to proceed with the proposals and you are eligible for the offer, the Company would write to you with further information in the second half of

4 If you are a DC Section member 1. What would happen to the pot I have saved in the current DC Section of the Scheme? If the changes go ahead, this would be transferred into the new DC plan shortly after the Scheme closure. Some more information about the new DC plan is included below If the proposals go ahead the Trustee of the Scheme would write to you with more details about the transfer, when it will happen and what will happen to your investments nearer the time. The proposed new DC plan 1. How and where can I find out more information about the proposed new DC plan? To ensure that it can provide members with as much information as possible during the consultation, the Company has already investigated potential providers of pension arrangements which could be used to provide the new DC plan. Should the proposal go ahead, the likely provider would be Aon. The vehicle which Aon would use to provide the new DC plan would be a master trust. More information on master trusts is set out in question 2 below. Aon has provided some information about their master trust to enable you to explore what the proposed new DC plan might be like. For more information visit the consultation page of the Scheme website: If the proposed changes go ahead, more information will be available in the new year and arrangements will be made for Aon to visit each factory to hold workshops. 2. What is a master trust and how is it safe guarded? A master trust is a trust-based pension scheme in which unrelated employers participate. Because of their size, master trusts can benefit from economies of scale which can reduce ongoing costs to members. Decision-making in a master trust is undertaken by an trustee board which must have a majority of trustees who are independent from the provider and who decide investment strategy, fund selection, administration features and communication tools. Although the trustee board of the master trust is responsible for running the pension scheme, each employer can make decisions about contributions, investments, and benefit options for its employees. From April 2019, master trusts will need to have passed a rigorous authorisation process run by The Pensions Regulator. This gives assurance that master trusts will be subject to a highly regulated governance framework. 3. Would we be auto-enrolled into the new DC plan? The Company is required to make available an appropriate pension arrangement to meet its obligations under Automatic Enrolment (AE) legislation. If you are currently a member of the Scheme, you would be automatically transferred into the new DC plan should the proposed changes go ahead. If you are not a member of the Scheme, for example because you have not yet met the criteria to be eligible for automatic enrolment or because you have opted out, you would be able to join it voluntarily. 4. Would I have to join the new DC plan if the changes go ahead? If you do not want to be a member of the new DC plan you could choose to opt out. However, the Company would only pay contributions into your account in the new DC plan if you remained a member. 5. If I decide to opt out of the new arrangements, could I opt to re-join at a later date? Yes, as with the current DC Section, you would be able to re-join at a later date provided you remained an employee of the Company. 6. Why would the default contribution rate in the new DC plan be 6%? If you paid 6% or more you would get the maximum Company contribution of 9%. The Company would like to encourage employees to benefit from this higher Company contribution rate if it decides to proceed with the proposals. 7. Could I pay less than 6% in the new DC plan? You could pay either 4% or 5% in the new DC plan but the Company contribution would also be lower (as explained on page 2). 8. Why would it no longer be possible to pay 3% in the new DC plan? The UK Government has set minimum contribution levels that employees and employers must pay into company pension schemes. The proposed new minimum contribution rates are at a level that would remain compliant with, and be more generous than, these requirements as currently required by law. 9. What are the minimum contribution rates for DC schemes set by the UK Government? From April 2019, the minimum rate will usually be 8% of qualifying earnings of which at least 3% is payable by employers. Qualifying earnings is pay between 6,032 and 46,350 (2018/2019 tax year). 10. Will there be further changes to remain compliant with Automatic Enrolment (AE) legislation? There are no further planned changes to contribution rates at the current time in the AE legislation. However, if the UK Government decides to change the minimum contribution rates in the future, then the Company would of course need to ensure that the new DC plan is compliant. 11. Would I be able to pay my contributions to the new DC plan via Salary Exchange? Contributions could be made using Salary Exchange provided that the usual requirements are met (e.g. your pay after Salary Exchange is not less than the Salary Protection Limit). Opting in and out processes for Salary Exchange would be similar to those currently in place for the Scheme and AVC Plan. 4

5 12. What would the net cost of the new contributions to the DC plan be to me? The net cost of your contributions is less than you might think, because of tax and National Insurance savings. For example, a member earning 30,000 a year, contributing at 6% of Pensionable Salary would pay make contributions of 155 a month. After tax savings the net monthly cost of those contributions would be 120 and even less after National Insurance savings if contributions are paid via Salary Exchange. In this example, the Company would pay 9% of Pensionable Salary which would be 225 each month and so the total invested each month would be 375 ( 4,500 a year). 13. Would I be able to make one off payments to the DC plan? Yes, but these would not receive a matching payment from the Company. 14. When would my savings in the DC Section or AVC Plan be transferred to the new DC plan? If you currently have savings in the DC Section of the Scheme or in the AVC Plan, it is proposed that these would be transferred as soon as possible after the launch of the new DC plan. You would be kept informed of any close down periods during which you would not be able to switch investment funds, take benefits, or make any other type of transaction, because the transfer was taking place. What about transfers in to the proposed new DC plan? 1. Would I be able to transfer pensions from other schemes into the new DC plan? If the changes go ahead, Aon has confirmed that the proposed new DC plan would be able to accept transfers from other schemes. The Scheme stopped accepting transfers from other pension schemes in 2001 and so the Company is aware that this could be of interest to some employees. The ability to accept transfers-in, and the terms on which these are accepted, will depend on the rules and policies of the new DC plan, and these may change in the future. What about death in service benefits? 1. If the proposed changes go ahead, what benefits would become payable if I pass away whilst still employed by the Company? A lump sum of 7 x Pensionable Salary would become payable to your dependants together with your savings in the new DC plan. In addition, for DB Section members there would also be a lump sum and spouse/dependants pension and child allowances based on the deferred pension earned to 31 March 2019 retained in the Scheme. 2. How does this compare to the current benefits which would no longer be available if the Company decides to adopt the proposals following consultation? The lump sum currently payable on death in service is 3 x pay (4 x for certain employees) plus savings in the DC Section/AVC Plan. For active DB Section members there is also a spouse/ dependants pension and child allowances equal to 50% of the pension they would have earned had they continued as an Active member until age 65. For Active DC Section members there is currently a spouse s/dependant s pension calculated as 1/200 x pay x prospective service to age Why would death in service benefits change if the proposals went ahead? The Company believes that providing a larger lump sum death in service benefit for all employees is more flexible as it will be payable regardless of whether the individual has a spouse or other pensionable dependants. The Company s proposals would also enable the Company to manage the costs of the Scheme, which is one of the Company s objectives. That is because it would be the Company s chosen insurance provider which would provide the death in service lump sum, rather than the Scheme being required to fund the benefits. 2. Would there be a minimum transfer value that can be transferred into the new DC plan? Aon has confirmed that its current policy is that there would be no minimum transfer value on benefits that could be transferred to the new DC plan. 5

6 What about ill health benefits? 1. If the proposed changes go ahead, what would happen if I had to retire due to ill health? DB Section members would be paid their deferred pension without reduction for early payment if the Trustee of the Scheme agreed that their illness or disability prevents them from following any form of remunerative employment. Savings in the new DC plan would also be payable. 2. How does this compare to the current pension arrangements? The Trustee of the Scheme can currently award discretionary enhanced pensions if it agrees that the member is a) unable to do their own job or b) unable to do any form of remunerative employment. The pensions payable are as follows: a) Unable to do own job a) Unable to do any job DB Section The pension that would have been payable had the employee continued to work until age 60 The pension that would have been payable had the employee continued to work until age 65 DC Section A pension of 1/200 x pay x prospective service to age 60 A pension of 1/100 x pay x prospective service to age 65 Savings in the DC Section of the Scheme and the AVC Plan are also payable. 3. How many Company employees have been awarded an ill health pension in the last three years? Between April 2015 and March 2018 ill health pensions were awarded to 11 employees. What investment options would I have if the proposals go ahead? 1. Where could I invest my account in the new DC plan? For information about the types of investment that could be available should the proposed changes go ahead take a look at Your Guide to Investing (the Aon Master Trust) which you can download from the consultation page on the Scheme website: Once the collective consultation process has finished and any decisions finalised, more information will be provided. 2. Would I be able to choose the same investments? The choice of investments would be finalised once collective consultation has come to an end and the final decision made. It is unlikely that exactly the same investments would be available in the new DC plan as in the DC Section of the Scheme and AVC Plan. 3. What would happen if I didn t choose a new fund when I became a member of the new DC plan? There would be a default investment fund for members who did not make a choice. 4. Would I able to split my savings between more than one fund in the new DC plan? Yes you would be able to do this. 5. What would the management charges be? The charge for the proposed default fund (which would be a target date fund) would be 0.26%. With Standard Life, the charges for the current default fund (which is a lifestyle arrangement) range from 0.50% to 0.63%. The fees members would pay in the proposed self-select funds range from 0.22% to 1.03% compared to 0.46% to 1.32% for the current self-select fund range with Standard Life. What retirement options would I have in the new DC plan and the Scheme? 1. Could I still take my pension savings early and if so from what age? If the changes go ahead, you would still be able to commence payment of your pension savings from the Scheme and Plan once you have reached the Minimum Pension Age. Company consent would still be required for your pension in the Scheme to be paid to you if you were still employed by the Company. 2. What is the Minimum Pension Age? The Statutory Minimum Pension Age is currently age 55. The Government has confirmed that this will rise to age 57 in Some employees have a protected minimum pension age. What is this and would they keep it? Most employees who joined the Scheme before 6 April 2006 have a protected minimum pension age of 50. This means you may be able to take your benefits between age 50 and 55 provided that other conditions are met (such as your cessation of employment with Crown). If you are a DB Section member and leave your pension deferred in the Scheme, you would keep your protected minimum pension age. If you are a DC Section member with a protected minimum pension age you would keep this after transfer to the proposed new DC plan unless you also have a deferred pension in the DB Section from an earlier period of employment. If you have been a member of the AVC Plan since before 6 April 2006 these savings would also have a protected minimum pension age after the transfer. This protected minimum pension age could also apply to future contributions to the new DC plan. 4. If I have a DB Section pension, would I have to take this at the same time as taking benefits from the new DC plan? You could take benefits from the Scheme at a different time to those in the new DC plan if you wished. 6

7 5. Are the early and late retirement adjustments for DB Section pensions the same for active and deferred members? The early and late retirement arrangements in the Scheme are unaffected by these proposals and the same adjustments currently apply to active and deferred members. The Trustee of the Scheme may decide to change the early and late retirement adjustment in the future. 6. What would my options be for taking my benefits from the new DC plan? Would I still need to transfer out to access these? Retirement income services, available through master trust schemes are sometimes different to those currently involved in the DC Section of the Scheme. Master trusts sometimes allow in-house drawdown (in other words a drawdown from within the new DC plan) and sometimes also have a broking facility for annuities. These options are both available in the Aon master trust and would allow members to: Stay invested in the same funds if they choose even after they reach their target retirement age. Choose how much tax-free cash to take. Receive income on an annual, half-yearly, quarterly or monthly basis. Request one-off lump sum payments. Use their funds to purchase an annuity. As a result, members can stay in control of their retirement finances through to retirement and beyond. 7. If I decide to work on past normal retirement age (60 or 65 years) with the Company, could I continue to contribute into the new DC plan? Yes, contributions could continue to be made by you and the Company past normal retirement age. 8. How can I find out what my retirement benefits would be if the proposed changes go ahead? A personal illustration will be provided to active members of the Scheme who are below their Target Retirement Age (DC Section) or below age 65 (DB Section) as at 31 March 2019 that gives an estimate of retirement benefits under particular assumptions. These illustrations will include estimates for retiring at age 60 and 65 if you are a DB Section member or age 65 and your Target Retirement Age if you are a DC Section member. You can use the modellers to investigate different ages or the impact of different assumptions (for example, the impact of different investment growth rates or inflation rates. Employees who have joined the DC Section very recently may not receive an illustration as their record would have been updated after the data to produce the illustrations was prepared. DB Section members who have reached minimum pension age and are considering retiring in the next six months can request a quotation for a specific retirement date from Equiniti in the normal way. 9. If I am a DB Section member can I have a transfer quote? An estimated transfer value is shown on your 31 March 2018 annual benefit statement. However, be aware that the Company intends to make you an Enhanced Transfer value offer. The consultation 1. Why is there a formal consultation? The Occupational and Personal Pension Schemes (Consultation by Employers and Miscellaneous Amendment) Regulations 2006 require collective consultation to take place when certain changes are proposed to pension schemes. These changes are specified in law and are called listed changes. Closing a pension scheme to future accrual counts as listed change and so the consultation requirement has been triggered. 2. How long is the consultation and how does it work? The collective consultation process will last at least 60 days and will start on 11 October The UK Forum is elected to represent the interests of all UK employees. As such consultation will be conducted via the UK Forum. If you want to find out who your UK Forum member is, please see your HR representative. The Company does, however, want all affected employees to have an opportunity to exchange ideas and views. There will be the opportunity to raise questions at the presentations which are being arranged at all sites. You can also ask questions and provide your feedback on an individual basis. To do this you can: Send an to PENSIONS@eur.crowncork.com Call the helpline (see below) Questions raised will be collated and be the subject of discussion with the UK Forum. Further Q&As will be issued based on the feedback and questions received. Any representations will be collated, considered by the Company and discussed with the UK Forum before a final decision is made about the proposed changes. A further communication will then be issued. 3. I have a question about my own personal circumstances that I do not want to share with others? You can also send these by to PENSIONS@eur.crowncork.com or contact the helpline. These will be reviewed separately and an individual response provided. 4. How long will it take to receive answers to questions raised? This will depend on the volume of questions and whether they require an individual response or are to be included in the next Q&A. 5. Would the Company consider providing alternative options to those proposed? The Company will fully consider any alternative options put forward and these will be consulted upon with the UK Forum. The Company will consider all suggestions made before it makes any final decisions. 7

8 6. Do I need to do anything? You should read the consultation newsletter and Q&A, attend a presentation and look at the information on the website, including the modeller, to inform you of the impact of the proposals on your pension benefits. As noted above personal illustrations will also be issued in due course to most members. You are not required to do so but the Company would like to encourage all affected employees to take part. The helpline The helpline is being run by Wealth at Work. You can call the helpline to get further information about the proposals, ask questions and provide your feedback. We suggest that you attend a presentation before contacting the helpline. The helpline number is : The helpline will open on 19 October 2018 at the following hours; Monday to Thursday 8am to 7pm Friday 8am to 5pm Saturday 10am to 1pm The roadshow Presentations will be held at all sites between mid October and mid November. These will be hosted by your HR team with help from Wealth at Work. The presentations will include a face-to-face talk about the proposed changes and you will also have the opportunity to ask questions and provide your feedback. Details of the times and locations of the presentations will be available by 11 October and will be posted to the Scheme website: and factory notice boards. If the proposed changes go ahead arrangements would be made for Aon to hold workshops at all sites in the new year about the new DC plan. The modellers Go to and visit the consultation section. Separate tools are available for DB Section deferred benefits, DC Section benefits and the proposed new DC plan benefits. DB Section members can use the active module of the Metal Box Pension Scheme DB modeller to see what their pension could be at different ages under the current pension arrangements. To see what this could look like under the proposed new arrangements DB Section members should use the deferred module of the DB modeller and the DC lifetime modeller DC Section members can use the Metal Box Pension Scheme DC Section modeller to see what their pension could be at different ages under the current pension arrangements and the DC lifetime modeller to see what this could look like under the proposed new arrangements You can use the modellers to see the impact of: Different contribution rates Different investment returns Taking your retirement benefits at different ages Taking your DC benefits in different ways at retirement Please note that the Metal Box Pension Scheme DC Section modeller was built using Flash player which does not run on smartphones. You will need to use a laptop or PC to use the DC Section modeller. The website Visit the website: The Pensions Regulator s role The Pensions Regulator is the body that regulates work-based pension arrangements in the UK, such as the Scheme and the AVC Plan. The consultation process has been designed and structured to meet and exceed legal requirements, best practice guidance and the requirements of The Pensions Regulator. The Pensions Regulator may take action if an employer has failed to comply with its statutory duties in respect of consultation. The Pensions Regulator s contact details are as follows: Address: The Pensions Regulator, Napier House, Trafalgar Place, Brighton, BN1 4DW Telephone: web@tpr.gov.uk 8