Two Hampshire bus giants in dispute over pay and pensions

Unions and bosses are locking horns over pay at First and pensions at Bluestar.

Almost 2,000 employees may halt work unless a last minute solution is found.

Talks between Bluestar’s parent company, the Go-Ahead group, and the Rail Maritime and Transport union (RMT) broke down yesterday after the company threatened to close its final salary pension scheme to new recruits.

The union announced it would ballot 1,000 workers from Hampshire, Isle of Wight, Wiltshire and Dorset over industrial action in the coming weeks.

General secretary Bob Crow said it was another attack on pension funds by employers who were more interested in their shareholders’ dividends than in the people who get out there and do the work.

He said: “The Go-Ahead group made £117m in profits and handed its shareholders £48m in dividends last year, but the closure of these pension schemes is nothing more than a cost-cutting exercise designed to squeeze out even more.”

Bluestar boss Alex Carter fiercely denied this and said the company’s action aimed to protect pensions and future benefits.

He said: “The company has agreed to inject millions of pounds additionally into the schemes over the next ten years, but in order to limit future risk has closed them to new staff, who will be offered an alternative scheme more typical of those issued by the majority of employers.

“In these difficult economic times we are working hard to preserve the jobs of all those we employ.”

Meanwhile crunch talks are being held between Unite union and First Hampshire over a proposed plan for a pay freeze and redundancies.

Regional officer Jen Parker said: “First is using the recession as an excuse to cut back on overheads.

“In the past 12 months passenger numbers have gone up as have fares and petrol prices have dropped.

“It is for this reason we are saying no and I can’t rule out the possibility of strike action.”

A First bus spokesman was unavailable for comment.