AA says strike action is premature
The AA says it has contingency plans in the event of industrial action by its staff.
The AA says a decision by the Independent Democratic Union (IDU) to ballot AA patrols on strike action over proposed pension changes is premature and without foundation.
The roadside assistance agency has accused the IDU of “jumping the gun” as its staff consultation over AA Pension Scheme changes does not end until 23 April.
The AA wants to ensure that its Defined Benefits scheme can be kept open, unlike thousands of others which have closed in the past two years, and part of its proposals include raising the final salary cap from 1% to 2.5% and increasing company contributions by about 40% to £18 million.
Despite the IDU claiming that 99% of its members reject the AA’s proposals, only 57% (1155 people) of those balloted voted in favour of strike action, with 43% (864) voting against industrial action.
Andrew Strong, AA Services CEO, said that the union had no strong basis to take industrial action. He said: “When you look at problems that beset Readers Digest and many blue chip companies over their pension deficits we believe that the fact that we want to keep our defined benefit scheme open is good news. In the consultations most staff seem to accept the need for the company to make changes to the scheme and we think the majority of staff will support our proposals.”
The AA is one of the few companies choosing to retain its final salary pension scheme and says that the proposed changes are needed to secure its future.
IDU National Secretary Alistair McLean has said previously that the AA is not doing enough to look after its staff. “The IDU is not a union that has stuck its head in the sand and ignored previous negotiations to ensure pensions protection, but these changes go too far and need considerable improvement.”
The IDU represents around 2,600 AA patrol officers out of a staffing figure of 3,000 so the AA is confident it will be able to continue to provide a good emergency service in the event of a strike. Mr Strong said: “The AA would like to reassure members that in the event of any strike action, contingency plans would be enacted to ensure that members receive a good service.
“During the recent snow and ice when most of the country ground to a halt, the AA attended over 1/2 million members – nearly double its usual breakdowns. For us, we will try to ensure it is business as usual.”
