14/11/2014

JLR Workers Reject Pay Deal

Jaguar Land Rover (JLR) was urged to get back to the negotiating table or face an industrial action ballot, after members of Unite the union rejected the carmaker's pay offer and pension changes in a consultative ballot.

96%, across the company's five plants, rejected the proposed pay deal amid warnings that it fell short of expectations and failed to recognise the workforce's contribution to last year's profits of £2.5bn and this year's record breaking first quarter profits of £1bn.

Anger is also mounting over the dilution and threatened changes to the final salary scheme including £240m worth of pension cuts, despite pension changes to the final salary scheme being agreed with the workforce two years ago.

Elsewhere in the offer, plans for it to take new starters six years to reach 100% pay, or the rate for job, have drawn criticism from the UK's 14,000 strong workforce along with the introduction of a new bonus payment.

Members fear that the bonus, which isn't consolidated or pensionable, will gradually replace pay rises that attract company pension payments over the coming years.

12,881 voted to reject the pay offer, with 454 voting to accept and 17 spoilt ballot papers.

(CD)

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