BAA workers approve pension changes

BAA said an agreement had been reached after "meaningful consultation" between its employees’ trade unions.

It said the changes to the pension scheme would provide greater "certainty" for existing members.

The deal includes the introduction of a defined contribution scheme, as well as a 12 year protection guarantee for members within the company’s defined benefit scheme.

Unite national secretary Steve Turner said the union had fought "tooth and nail" to safeguard its members’ pension rights – emphasising its members deserved to retire with "dignity".

Turner added: "The closure of the final salary scheme to new members is a bitter pill to swallow and a move we fought hard to prevent. A clear majority of our members accept, however, that these changes provide the best basis for pension security long into the future while offering a decent replacement to those joining the company now."

The changes will also see a 15pc contribution rate, ill health retirement and death in service benefits and protection for partners – 71pc of Unite’s members voted in favour of the proposals.