Unite to begin balloting Gatwick staff on strike action over closure of pensions scheme

Unite has announced it will begin balloting 1,800 members for strike action next Friday over the closure of Gatwick’s final salary pension scheme.

Surface transport workers, firefighters and security officers are to be balloted, following a 96 per cent vote in favour of doing so in a recent consultative ballot. It will close on 16 November.

Unions have been holding talks since 19 September, after the airport said it was closing its final salary pension scheme, but say Gatwick owner Global Infrastructure Partners (GIL) refused to discuss ways of bridging the funding gap.

Unite is pressing for an explanation as to why the company has not tackled the pension deficit when it has paid out a total of £178m in shareholder dividends since 2014.

It says the 1,204 members of Gatwick's defined benefits scheme stand to lose tens of thousands in future pension income through the planned switch to a defined contribution scheme.

Private equity firm GIL acquired Gatwick in 2009 and owned London City Airport up until February this year. Gatwick recorded profits of £142m last year, up 40 per cent on the previous year.

Unite officer Phil Silkstone said: “Our members are rightly furious. Closing the scheme is nothing more than blatant opportunism. Gatwick is owned by a hugely profitable business. The pension deficit is easily affordable and could have been wiped out with the £178m in shareholder pay-outs is has made over the last few years.”

Unite is calling on the firm to improve the defined contribution scheme, as well as keeping a defined benefits scheme open.

Gatwick declined to comment at this stage.

In recent weeks, BMW, Honeywell and the Post Office have announced proposals to close their defined benefit schemes; Unite has said it will fight the plans of all these employers.