Hospital parking charge for staff called immoral

Higher parking charges for staff at a Black Country hospital have been blasted as "immoral" by union chiefs who fear workers' pensions could be hit.

Monthly passes at Russells Hall Hospital in Dudley will increase by 30 per cent to a maximum of £19.50 on July 1, up from £15.

However, bosses say staff could pay a maximum of £12.27 if they sign up to a new payment scheme. Workers are being offered the chance to join a "salary sacrifice" scheme where the charges are taken automatically from their wages.

Chiefs say cash will be saved against tax and national insurance but workers are concerned that their pension contributions could be reduced.

Union members are in uproar and will meet to discuss what to do next.

Unison regional organiser and local councillor Tracy Wood said: "We feel that increasing staff parking charges to run a hospital is completely immoral.

"I know they are being offered this reduction but many of our members are worried about the effect this will have on their pensions.

"We are seeking to get a mandate from our members about what to do next.

"They cannot go on strike as it is not allowed in their contracts but we want to get this changed."

Boss of the Dudley Group NHS Foundation Trust Paula Clark said: "The salary sacrifice scheme will possibly affect pension contributions, as the NHS pension scheme does not accept salary sacrifice arrangements for this purpose.

"When the scheme was first discussed with union representatives, it was acknowledged that there would be a negligible impact on pensions.

"By taking part in the scheme, pension contributions will be calculated by reference to reduced salary.

"However, the amount of any reduction is likely to be minimal as the NHS Pension Scheme bases pension on final salary."

She added: "Staff may not wish to join the salary sacrifice scheme within three years of retirement, as pension related benefits may be calculated on salaries within that period."