Union threatens Ford over pensions

Motor giant

Accusing Ford of "misleading" its staff who transferred to Visteon, trade union Unite said it will proceed with legal action if the dispute is not resolved.

According to Unite, Ford told its workers that their accrued pension rights would be protected at Visteon - a car parts firm set up by Ford in the 1990s.

However, when Visteon went into administration, nearly 4,000 workers faced the risk of losing over half of their pension entitlements.

Unite's national officer, Roger Maddison, said: "Ford failed to clearly set out the risks associated with transferring the assets staff had built up with Ford - now many of these workers face vastly reduced pensions."

However, Ford said its obligations to its former employees were fully discharged when Visteon became independent.

The company said in a statement: "The situation for former Visteon UK employees is unfortunate but the responsibility for administering and funding their terms and conditions was Visteon's, including managing its pension fund.

"Ford has stated that it will not provide further assistance to affected parties."

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