Nissan’s plans to end a defined benefits pension scheme for hundreds of workers at its Sunderland plant are “disappointing” and “opportunistic”, union Unite said.
The proposal to close the pension scheme came after Unite warned Nissan that a planned efficiency drive announced last week must not impact on members’ jobs and terms and conditions.
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Unite said the firm had also signalled that it would not be offering industry standard lump sums which are usually provided to affected workers when their defined benefits pension schemes are closed.
Unite national officer for automotive Steve Bush said: “Nissan’s plan to close the defined benefits pension scheme for hundreds of loyal workers is extremely disappointing. The Unite convenor for Nissan Sunderland, as well as the union’s deputy convenor, have spoken to members today and have passed on their anger at this decision to Nissan’s management.
“Unite warned last week that proposed efficiency savings at the Sunderland plant must not be used as an excuse to attack staff terms and conditions. Due to the timing we see this as an opportunistic attempt to push through long sought after changes that will have a damaging impact on our members’ plans and financial security in retirement.
“Unite will not stand by and let this happen, especially when Nissan has signalled that an industry standard lump sum provided in return for accepting the closure of defined benefit schemes is also off the table.
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By GlobalData“Unite is more than willing to help Nissan recalibrate to a changing world but this must not come at the expense of our members’ jobs, terms and conditions or other benefits. In the coming days we will be seeking our members’ views and be sitting down with the company to find a positive way forward for all.”
A Nissan spokesman told just-auto: “We aim to provide competitive benefits to our highly valued staff, but these have to be balanced with the long term sustainability of our business. The level of company investment needed to maintain the defined benefit pension plan has grown to unsustainable levels.
“This planned consultation is not a short term action. It is based on the formal valuation of the scheme carried out in April 2018, and is the next step in a long term process.
“For this reason we are in discussions with affected employees and their representatives about the proposed closure of the plan.”
