Former Visteon workers lobby MPs to grill Ford management over pensions dispute

Carmaker considering its position in wake of legal challenge from trade union Unite

Workers from collapsed automotive supplier Visteon are attempting to persuade MPs to establish a select committee to grill managers from automotive giant Ford over cuts to their pensions.

Members of the Visteon Pension Action group said they were hopeful of gaining more support in Parliament over their plight, and that lobbying efforts were being led by Stephen Metcalfe, Conservative MP for Basildon and East Thurrock.

The former Visteon workers face cuts to their pensions of up to 60% following the collapse of the company’s British subsidiary last year. Some members of the Visteon pension scheme have already had their pensions cut by almost 40%. Visteon plants in Basildon, Enfield and Belfast were shut down with the loss of 600 jobs in April 2009. About 3,000 workers are affected by the pensions dispute.

Visteon was spun out of Ford in 2000. The former workers have consistently maintained that Ford guaranteed their terms and conditions of employment including pension pots at the time of Visteon’s creation. Ford strongly denies this.

The US carmaker is now considering its position following a legal challenge over the pensions of Visteon workers launched by trade union Unite in the summer. According to sources, Ford could be forced to take on a £350 million liability to plug the pensions shortfall if they accept Unite’s claims.

“We continue to believe we have a very strong legal case against Ford,” said Simon Harding of the Visteon Pension Action Group. “We need to wait and see what approach the carmaker takes.”

The support of Metcalfe follows an early day motion tabled in Parliament by Siân James, Labour MP for Swansea East, expressing concern at the way the Visteon pensioners have been treated.