THE Worcestershire employees of the Co-op group will suffer as a result of the company's decision to ditch its final salary pension scheme, says retail union Usdaw.
The Co-op group is involved in a variety of sectors such as pharmacy, farming, travel, banking and food retail. There are seven Co-op supermarkets in Worcestershire - Worcester Road, in Malvern Link; High Street, Pershore; Alcester Road, Studley; Old Street, Upton-upon-Severn, as well as in Gresham Street, Dines Green, Ombersley Road, and St John's, all of which are in Worcester.
Usdaw says the closure of the salary scheme will leave higher paid staff in sectors like insurance about a fifth worse off - and lower paid members in Co-op retail stores will face having to make much larger monthly payments just to maintain their present pension provision. Usdaw national officer Sharon Ainsworth said: "Usdaw has always had a good relationship with the Co-op Group so we're massively disappointed we've failed to reach a suitable compromise that protects our member's pensions for their old age.
"We put a very good case to them that by putting some more money into the pension scheme they could protect the retirement plans of their loyal staff but they have decided not to listen.
"This decision that will leave most of their staff worse off is at odds with the traditions of the Co-operative movement and their much vaunted ethical trading policy," added Ms Ainsworth
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