Workers at Delphi Technologies are set to be balloted for industrial action over the closure of their defined benefit pension scheme, which could cost some workers thousands of pounds.

According to the union, the current plan to replace the DB scheme with a defined contribution scheme was “totally unacceptable and an insult to a dedicated workforce”, which could leave some £100,000 worse off.

Unite said that it will ballot its 400 members across the company’s sites in Gillingham, Stonehouse and Warwick between 7 March and 21 March.

Unite national officer for automotive sector, Des Quinn, said: “The ballot is being held because workers at the company’s four locations stand to lose tens of thousands of pounds from their pension pots, if this proposal is allowed to go ahead.

“In some cases, our members facing losing £100,000 from their future pension provisions –money they have spent decades building up.

“Unite believes that this is totally unacceptable and an insult to a dedicated workforce – and we call on the management to halt the move to a defined contribution scheme, otherwise the possibility of strike action remains a very real possibility.”

The union said it has previously tried to make an agreement with technology manufacturer, but it did not offer changes which were acceptable, as well as failing to provide minimal compensations for members approaching retirement.

Pensions Age has contacted Delphi Technologies for comment.

Share Story: