Agenda and minutes

No apologies for absence were received for the meeting.

No declarations of interests were made.

[For approval]

Resolved:

That the minutes of the meeting held on 2 July 2015 be approved as a correct record and signed by the Chair.

[To consider any matters arising from the minutes of the previous meeting]

Geik Drever, Strategic Director - Pensions Fund reported on the outstanding issues from the previous meeting which had all been actioned or scheduled to be actioned during 2016.

[To consider work being undertaken by the Fund in relation to its effective governance]

Rachel Howe, Head of Governance, West Midlands Pension Fund presented the report on work being undertaken by the Fund in relation to its effective governance.

Resolved:

That the work undertaken by the Fund in 2015 to ensure compliance with legislative requirements and best practice be received and noted.

[To consider an update on the Information Governance audit]

Emma Bland, Compliance and Risk Manager - Pensions presented an update on work undertaken by the Fund in relation to Information Governance (IG) and the outcome of the IG audit. 

Resolved:

1. That the Information Governance work undertaken by the Fund be noted.

2.     That the outcome of the Information Governance audit be noted.

[To receive and note the report]

Rachel Brothwood, Assistant Director, Actuarial and Pensions presented the report on an overview of how the Fund measured data against legislative record keeping requirements and the expectations of the Pensions Regulator and on plans in place to make improvements to data quality and the data review process.

Mike West commented that the positive picture the report presented on data collection differed from reports received during discussions elsewhere that suggested data quality was a major issue. The Assistant Director, Actuarial and Pensions explained that the report showed that the Fund held data where it was expected to hold it, in accordance with the Public Service Pensions (Records Keeping and Miscellaneous Amendments) Regulations 2014.  There were no material gaps or areas of concern in that respect.  However the report does not address the question of the accuracy of the data held on the Funds records.  Appendix two to the report set out the employers with different sets of data the Fund had sent back with queries, and on where responses where awaited. Follow up meetings would take place with the employers to resolve data issues. The Assistant Director, Actuarial and Pensions also went on to explain the size of the backlog on data accuracy issues and on where responses were awaited from employers.

During the ensuing discussion the Board asked what it could do help the Fund address data accuracy.  In order for the Board to track and monitor improvement in the accuracy of the data being provided by employers, it would need to have a report on the scope and scale of the problem and the action plan to address it.  Members of the Board indicated that employers needed to understand their role as a Pension Administrator and the Board should be able to hold employers to account for not exchanging good data. Some Board members indicated that, once the Fund felt that the engagement process with employers had been exhausted, they would be happy to ‘name and shame’ employers for their poor performance in providing accurate data. Other Board members felt that continuous engagement with employers and making sure they understood the importance of providing correct information would work better as an approach.

Member of the Board also commented that poor data accuracy was a cost to the Fund, its members and local tax payers.  It was also acknowledged that the engagement work with employers to address the problem was a good way forward but that the issue needed to be escalated to Chief Executive level for them to take appropriate action. The Board also suggested that the Pensions Committee should be made aware of its concerns on this matter and be requested to give consideration to the governance procedures in place to resolve the poor data quality issue.

In response to other comments and questions from the Board, the Strategic Director of Pensions and the Assistant Director, Actuarial and Pensions reported that:

·          The Fund would be happy to forward a letter to all the seven district councils at  ...  view the full minutes text for item 7.