Workers take pension fight to PM

Campaigners want assurances from Mr Blair

A group of Scottish workers whose pension entitlement was cut have staged a protest in the prime minister's Sedgefield constituency.

The former United Engineering Forgings workers from Ayr lost out after the company became insolvent.

The UK Government has announced plans to bring forward a Pensions Bill.

Willie Riggins, local convener for the T&G union, said it was vital to step up the campaign amid fears that the new law will not apply retrospectively.

The former UEF workers are now employed by Swedish firm Amatra.

Under the existing laws they are regarded as secondary creditors to their former employer.

Retirement savings

That means that business debts are settled first, often leaving little or no money left to pay cash due to the employees of insolvent firms.

The former UEF staff have experienced cuts to their entitlement to the lump sums and regular payments they would receive on retirement.

The Pensions Bill announced in the Queen's Speech would protect the retirement savings of UK workers.

It is essential that we maintain and step up our campaign Willie Riggins T&G union convener

From 2005 employers will be forced to pay into a protection fund which will cover workers pensions if they go bust.

The government said it would ensure "a pension promised is a pension paid" - although workers who have already lost out are not to be compensated.

Mr Riggins said the announcement of the new bill was a step forward.

Willie Riggins said the fight will go on

"It is a testimony to our campaign, which has involved demonstrations, lobbying of politicians and legal challenges based on the UK's failure to comply with EU decisions in this area," he said.

"However, we have yet to see the fine detail of the government's proposals and we are concerned that a new law may not be applied retrospectively and will, therefore, do nothing to redress the injustice that ourselves and other workers have suffered.

"Against this backdrop it is essential that we maintain and step up our campaign."

He said the first step was the march and rally in the prime minister's constituency in Durham on Saturday.

Mr Riggins told the BBC: "We're not going to walk away from this.

"The only acceptable outcome of this to all of us is fully deferred wages as we paid for them because, at the end of the day, until we get justice this campaign will go on."