ESB may use pay rise cash to plug pension gap
THOUSANDS of ESB workers may have to sacrifice a €10m pay rise to plug a massive €1.6bn hole in their pension scheme, writes Anne-Marie Walsh.
The proposal is part of a plan to bridge the gap in the semi-state company's troubled defined benefit scheme that will be issued to unions and management today.
Over 6,000 staff will vote on the plan drawn up by the ESB Group of Unions and management during 16 months of talks in the coming weeks, with a result expected in August.
Sources revealed that part of the deal will mean employees give up an overdue 2.5pc pay increase in return for a company contribution to address the deficit.