With public sector workers’ morale at an all time low due to the cuts and pension reforms, a new study has shown that many public sector workers are ready to sacrifice their more generous pensions and instead work in the private sector for the increased pay.

The Hays Career Outlook survey found that while public sector workers are extremely defensive of their pensions, 52 per cent of them were willing to forego the public sector and move into the private sector for its perceived higher job security as the cuts see swathes of public sector jobs axed. The continued rise in the state pension age also added to public sector workers concerns over their pensions.

Concerns

The news has proven troubling for public sector employers who fear they could have issues with employee retention and recruitment in the future as job cuts, pay freezes and increased scrutiny make many leave the sector and fewer wish to join it. The majority of public sector workers also said that the public sector is a much worse place to work since the recession.

Employers in the sector appeared to agree, with 76 per cent saying working in it is much more stressful now than a year ago. Many public sector employers have expressed fear over the damage the pension reforms could inflict to their workforce and the service they provide.

Strikes

The unease and lack of job security public sector workers feel at present has been clear in the recent industrial action. In November a large swathe of public sector workers from teachers to civil servants and healthcare workers to immigration officers chose to strike over the reforms happening to their pensions. Although a settlement has been accepted by some unions in the last few weeks, many are still threatening more strikes in 2012 if the Government does not change tack.

Many public sector workers have reportedly started taking out private pensions, such as stakeholder pensions offered by providers like Virgin Money, to ease their concerns over the changes brought on by the reforms.

At issue for public sector workers is the plan by the Government to increase their pension contributions and retirement age, which they say will lead to them worker for longer and paying more for a less generous pension.

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