British staff pension schemes fading away

LONDON - The share of British firms with defined benefit pension schemes, which accrue benefits through length of service, fell to 26 per cent this year from 30 per cent last year and more than 50 per cent just three years ago.

The figures, published in the Confederation of British Industry's annual employment trends survey, highlight the dramatic shift away from defined benefit pension schemes, which Britain's trade unions have been trying to halt.

Confederation deputy director-general John Cridland said British companies were starting to feel uneasy about rhetoric coming out of some of Britain's unions.

"Employers want to work constructively with unions to deliver more successful work places," he said. "It is to be regretted that not all national union representatives are in tune with this mood."

Last month, more than 100,000 British Airways passengers were stranded after BA contractor Gate Gourmet sacked 670 workers, prompting a strike by Transport and General Workers Union members.

The number of companies which said that removing their ability to opt out of the European Union Working Time Directive would have a significant or severe impact on their business was steady at 43 per cent. The directive seeks to limit working hours.

- REUTERS