Saturday, 26 June, 2004

Network Rail has offered to re-open its final salary scheme

BBC Radio 4's Money Box was broadcast on Saturday, 26 June, 2004, at 1204 BST.

The programme was repeated on Sunday, 27 June, 2004 at 2102 BST

A threatened strike by rail workers has been called off with just days to go, following a compromise pay and pensions offer by Network Rail.

The RMT union had planned to strike on Tuesday following Network Rail's decision to close its final salary pension scheme to new members.

But the company has now announced it will allow new staff to join the scheme, but only after five years of service.

The industrial action has been suspended to allow time for RMT members to vote on the offer.

Network Rail is just one of many companies to face problems sustaining its final salary scheme.

We spoke to Gerry Doherty, General Secretary of the Transport Salaried Staffs' Association whose members had also threatened the first national industrial action since 1926.

And we were joined by Kevin Wesbroom, Principal Consultant at Hewitt, Bacon and Woodrow to examine the detail in the offer.

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Producer: Chris A'Court
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