BW pensions plans condemned

Published: Thursday, 31 March 2011

THE trade unions UNISON and UNITE are both calling on British Waterways to get back into talks over plans to cut its pension scheme for its workers.

The proposed changes include closing the final salary scheme, replacing it with a career average scheme, and switching from using the consumer price index (CPI) rather than the retail price index (RPI) to calculate pensions inflation.

Alternative suggestions

Unions have put forward a number of alternative suggestions, which British Waterways have consistently ignored. UNISON and UNITE are calling on British Waterways  to think again about its damaging plans.

Jane Hamer, UNISON National Officer, explained:

"These changes are a direct hit on our members' pensions. Just the switch from using the RPI to using the CPI will mean members getting lower value pensions when they retire. This is nothing but a crude cost cutting exercise, preparing the way for the organisation to switch from a public body to a charity.

"The unions have put forward a number of alternative suggestions, but British Waterways are stubbornly refusing to consider them. We are calling on British Waterways to get back into talks and think again about these damaging plans."

Wriggle out

Phil Allman, UNITE Regional Officer, complained:

"It is a disgrace that our members are being expected to take a pensions hit in order for their employer to wriggle out of its responsibility to provide employees with a decent pension."