Unions representing hundreds of Ford workers in south Wales say they are ready to strike over fears the company is about to raid worker pensions.

The dispute concerns a demand by salaried staff for a pay settlement equivalent to that already agreed by hourly-paid Ford workers.

But the situation is complicated by Ford's intention to merge the professional staff fund with the hourly-paid fund.

Ford employs 1,400 workers at its Bridgend engine plant, which also supports thousands of contract workers in south Wales.

The professional staff fund has a surplus of £507m while the hourly-paid fund has a deficit requiring funding of £155.2m.

Ford planned to fund the deficit over 13 years at £11.9m per year.

Professional staff believe that Ford intends to use part of the surplus to fund the reduction in hours for the hourly-paid staff, meaning the salaried staff lose out twice.

Ford will force this action through using the votes hourly-paid trustees who outnumber those of the professional staff.

'Pensions safe'

Ford have attempted to reassure professional staff that their pension will be safe and will even benefit from being part of an even bigger fund.

However, management seem reluctant to practise what they preach.

There is a third senior management fund which, ironically, will not be merged with the hourly-paid fund.

Ford settled with manual workers on a three-year deal worth 15% including a reduction in the working week.

Final offer

The company's final offer to salaried staff is worth only 11%.

MSF and ACTS (T&G) members are seeking parity with the hourly paid, either through a reduction in working hours or enhanced pay.

They are also insisting that their pension be left alone.

The industrial action ballot will commence on 19 January with the result to be announced on 3 February.