Community stands with ASW pension holders

Community Union has voiced its continued support for the campaign for pensions justice for former workers at Allied Steel and Wire (ASW).

Around 1000 ASW steelworkers from South Wales, Northern Ireland and Kent lost out on their pensions when the company went bust in 2002. Two years later, following a campaign by Community, the then Labour government took action to establish the FAS (Financial Assistance Scheme), which was set to pay ASW workers up to 90% of their pension contributions.

However, pension contributions made before April 1997 are not inflation-proofed, meaning that these pensions are decreasing in value as inflation rises and members are no longer receiving the full 90%.

Community General Secretary Roy Rickhuss CBE said:

“Community continues to stand in support of former ASW workers – many of whom are our members – in their campaign to receive the money they are owed. These are hardworking people who paid into their pension fund in good faith, and expected the FAS to deliver them at least 90% of their pension.

“The fact that this has not happened after two decades is deeply wrong. The situation has left many individuals and families unable to properly plan for their future, and, tragically, many of those affected have passed away without having received proper recompense.

“The ASW workforce deserves security and certainty in retirement, and all they are asking for is fairness. We will continue to raise their concerns with government, and support their call for appropriate rectifying measures, including inflation-proofing pension payments made before 1997.”

Community Union will be calling on the Government to work with the former ASW workers and Community Union to find a remedy to this situation and ensure that all former ASW workers get the pension they deserve.