The University is seeking accreditation to become a real Living Wage employer from August 2021

The University is committed to implementing the real Living Wage this is a reflection of the University's civic duty as an institution of public good.

Changes to the pay structure (grades 1 - 4)

To ensure that all colleagues receive the real Living Wage, we will be restructuring grades 1 - 4 of the University pay structure from 1 August 2021. We have worked closely with our Trade Union colleagues to negotiate these changes.

Some colleagues will remain on the same spine point; this means that they will remain on the same salary this year but will have increased earning potential from future increments. Colleagues at the lower end of each of the grades (1 - 4) will be moved to a higher spine point, so will see an increase in salary with effect from 1 August 2021.

An image showing the old July 2021 pay against the new August 2021 structure, drawn up from living wage.

All staff who are affected by the upcoming changes will receive a letter to their home address containing specific details on what this means for them. For an initial explanation of what the changes mean for each grade point visit this overview document.

Where Casual and Temp Pool rates fall below the real Living Wage, these will also be uplifted with effect from 1 August 2021.

Changes to the People's Pension

The University is also making changes to The People's Pension. Firstly, we are increasing the amount the University contributes on an individual's behalf. Secondly, we're giving colleagues options to increase the amount they save for their pension. If an individual does choose to save more, the University will support them by increasing its contributions too.

Currently, members put in 5% of their salary and the University 3%. From August the University will increase its contribution to 6% and reduce the employee contribution to 3%. This means the amount an individual saves for their pension and their take home pay will go up. We call this arrangement the standard rate.

Colleagues will also be given a wider range of contribution options to choose from. Each of these options benefits from a corresponding increase in contributions from the University:

Level Employee contribution Employer contribution
Standard rate 3% of pay above the threshold* 6% of pay above the threshold
Level 1 3% on all pay 6% on all pay
Level 2 5% of pay above the threshold 10% of pay above the threshold
Level 3 5% on all pay 10% on all pay

*The threshold is currently £520. This usually means neither the individual nor the University is paying pension contributions on the first £520 of pay each month.

All colleagues will move to the new standard rate from 1 August 2021. A modelling tool is available to help colleagues make an informed decision about whether the other available options may be right for them. Changes can be made at any time using the contribution selection form.

For more information view the pensions leaflet and visit the People's Pension webpages.

Changes to the University of York Pension Fund

From 1 August 2021, the maximum joining age for the University of York Pension Fund will increase from 60 to 74 to enable more colleagues to benefit from the scheme. Further information about the University of York Pension Fund.

To contact the pensions team please email or call 01904 324805.

Sympathy Payments

Sympathy Payments were introduced at the start of the Covid-19 pandemic. If a colleague is not a member of any pension scheme or they are in The People's Pension, and they die in service, the sympathy payment will be made to their family to support them at that time. Our long term goal is to introduce life cover for employees who are not in a pension scheme and for those that are in The People's Pension. We have now extended the sympathy payment provision whilst we work on implementing the life cover policy and will update colleagues when this is in place.

FAQ document on the real Living Wage and The People's Pension.