IT giant IBM should be blacklisted by the Government over its “disgraceful” plans to cut pensions terms for its workforce, according to a Hampshire MP.
Romsey MP Sandra Gidley claimed employees regarded the changes as a “backdoor to constructive dismissal” and said IBM should be barred from winning lucrative Government contracts unless staff get “a fair deal”.
It’s not the first time the region’s MPs have attacked the US technology firm, which employs about 6,000 people in Hampshire at its research base in Hursley and its UK headquarters in Portsmouth.
Liberal Democrat MPs Sandra Gidley, Chris Huhne and Mark Oaten have previously accused it of “riding roughshod” over staff’s retirement dreams.
IBM, nicknamed Big Blue after its corporate colour, has seen unprecedented internal strife over plans to close the final salary pension scheme and alter the terms of its early retirement plan.
The Unite union claims hundreds of angry IBM workers have been joining up in readiness to fight the proposals, which they say will have “a devastating effect” on future pensions. It calculates that people in their mid-50s could typically lose up to £200,000.
Despite IBM adjusting its plans after staff consultation, the three MPs say serious concerns remain that IBM employees are seeing their pension arrangements and retirement plans “fundamentally altered”.
“I have written to the Government to ask that they review their existing contracts with IBM, and do not consider IBM for future contracts until the company promises a fair deal to their longest serving employees,” said the Romsey MP.
“Many workers at the Hursley site who will be reaching retirement age within the next ten years are rightly furious that IBM bosses are going back on clear verbal commitments made by senior managers in 2006 that the pension scheme will not be reduced.
“Many are clearly worried that poor performance reviews will be used to reduce their final salary if they do not retire early or accept these proposals. This is despite senior managers being unable to provide any indication to me about what kind of savings these proposals will make for the company.
“Many employees regard the situation as a backdoor to the constructive dismissal of the company’s longest serving staff. It is simply disgraceful.”
An IBM spokesman said: “The actions enable it to maintain competitiveness in the marketplace.”
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