UK - Staff at chemical producer Ineos are considering strike action over plans to slash pension scheme benefits and increase costs.
More than 1000 members of the Cheshire-based company’s Ineos Chlor, Ineos Fluor and Ineos Silica pension schemes are to vote on industrial action in a consultative ballot organised by trade union Amicus.
The firm wants to increase member contributions to the three final salary schemes for new entrants from June and existing staff from February 2005.Contributions will rise for Chlor and Fluor members from 2% and 4% for Silica members to between 3% of pay for a 1/80th accrual rate to 5% of pay for a 1/60th rate.
Employer contributions will be increased from 13% of pensionable pay to 14% in phases over two years.
A death-in-service benefit of four times salary with an additional 50% spouse and dependent children pension will be included in the new benefit package.
Amicus pensions officer Bryan Freake said: “They are asking members to pay more and receive less benefits. The consultative ballot aims to let the company know their plans are not popular. If negotiations are not successful, we will move to a full ballot.”
An Ineos spokesman said: “The costs of the benefits are too high to maintain and the funds are in significant deficit. We need to contain costs that would otherwise escalate.”
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