Workers union Unite has called on the Royal Mail to provide a more detailed but simplified explanation of its pension proposal.

The call follows 6,000 Royal Mail union members' divided opinion on a consultative ballot as to whether to accept the company's amended pension offer. A total of 49 per cent voted to while 51 per cent voted against the proposal.

Last month Royal Mail confirmed its plans for a new pension plan that comprises of a defined benefit cash balance scheme and a defined contribution scheme that will be funded within its current £400m annual pension contribution.

Royal Mail said in a statement that it is one of few companies offering to replace one DB scheme with another.

Unite officer for the Royal Mail Brian Scott said: “The main message is that the evenly split ballot result demonstrates the complexity of the company’s position.

“Individuals did not feel comfortable with the proposal they were faced with, bearing in mind it would have a major impact on the income they will receive in retirement.

“Unite will be discussing with the Royal Mail management as to how a more detailed, but also simplified, set of information can be supplied to our members.

“While the latest pension position was an improvement on the original proposal, ‘the mission to explain’ needs greater clarity as these are complex proposals.”

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