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    Union: Fujitsu taking advantage of recession

The Unite union has ordered a strike ballot after accusing Fujitsu Services of using the recession as an excuse to cut pay and pensions.

By Nicole Kobie, 4 Aug 2009 at 10:54

Fujitsu Services

Some 2,000 Fujitsu Services staff in the UK are set to vote on possible strike action after the firm cut pay and pensions.

The Unite union has accused Fujitsu Services of making “significant profits”, yet still cutting pay and pensions.

Peter Skyte, Unite national officer for IT and communications, said in a statement: “Fujitsu Services is a highly profitable and successful company which is seeking to take advantage of the recession to attack pay, pensions and conditions."

Unite said the firm saw its profit rise over the past year, adding that two directors were paid out £1.59 million after leaving the company.

Analyst firm Ovum said at the time that Fujitsu services posted a 12.5 per cent increase in revenue as a whole, saying it was a "strong performance" - especially considering the state of the economy.

A spokesperson for Fujitsu Services told IT PRO that it wasn't taking advantage of the situation. "You only have to look at what other companies are having to do with pension and pay... we're not alone."

"We're not taking advantage... it's just the time we're living in," he said.

Despite job cuts, a third of the firm’s 12,000 employees will see smaller pensions as Fujitsu Services plans to fire employees then rehire them on new contracts which don’t contribute to pensions, Unite claimed. The move would cut pay packets by 15 per cent, the union added.

That said, Unite admitted Fujitsu might be willing to bargain. “The company is indicating a willingness to constructively consider alternative pension options identified by representatives,” Skyte said.

“Our position is to protect the defined benefit pension scheme. Any changes which reduce financial risk to the company at the expense of members should be compensated for accordingly,” he added.

Indeed, the Fujitsu spokesperson said that the consultation period will continue until September, with no decisions made until then.

Some 2,000 Unite members are employed at Fujitsu Services.

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