The deputy prime minister John Prescott today agreed to revoke his controversial changes to the Local Government Pension Scheme.
Prescott backed down after intense pressure from a number of trade unions, including UNISON, which were threatening industrial action should negotiations fail to avert the proposed raising of the retirement and pension age.
He is now to introduce a new negotiating body to deal with the long-term future of the scheme.
Welcoming the news, UNISON general secretary Dave Prentis said the commitment to find a solution between the government and unions "shows social partnership at its best".
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