A planned strike involving 1.5 million public sector workers has been called off after the government said it would review local government pensions and negotiate with the trade unions.
The government had planned to raise the retirement age for local government workers from 1 April 2005 from 60 to 65, and to scrap the rule allowing council workers to take early retirement with a secure income.
Deputy prime minister John Prescott has now dropped the plans, and pensions secretary Alan Johnson has offered unions new talks.
T&G deputy general secretary Jack Dromey said: “One million workers need no longer fear poorer pensions from 1 April. Next we will negotiate with government, central and local, a sensible long-term solution, ensuring security and dignity in retirement for the nation’s public servants.”