INDUSTRIAL action at the Cowley Mini plant is off the agenda after union leaders made a major breakthrough on pensions and agency workers’ pay.

Bosses have agreed not to close the final pension salary scheme to new entrants pending further talks, while a controversial clause in the new Agency Workers Regulations, which could have seen agency staff paid 20 per cent less than their colleagues, will not be taken up.

Plant convenor Chris Bond said a “last minute meeting” had taken place after shop stewards met earlier in the day and the agreements had averted a vote on industrial action.

“I am over the moon about it. The company has listened to our concerns.

“The shop stewards met as we had not had a positive result from talks and we would then have gone to the membership for a view on industrial action. That has been averted now.”

Mr Bond said that while there would never be a guarantee that the final salary pension scheme would remain open, it had allowed some breathing space and, for the first time, talks on the future will take place collectively between unions and BMW management at the Swindon, Cowley, Hams Hall (near Birmingham) and Rolls Royce Goodwood plants.

The Agency Workers’ Regulations were introduced in October giving workers rights to equal pay and conditions in line with those on permanent contracts.

But concerns were mounting that bosses would exploit a loophole, which meant that because workers were employed by an agency and would expect to be paid between contracts, they could have a 20 per cent lower salary.

That has now been dropped and talks will take place on the new regulations.

Agency staff will continue on the same pay as permanent staff in the meantime.

Unite union national officer Roger Maddison said: “Unite is determined to protect all the terms and conditions of our members and ensure that agency workers are treated fairly.”

Plant spokesman Rebecca Baxter said: “The company and Unite jointly recognise there are challenges that need to be addressed with regard to the company’s pension scheme.

“Both parties have agreed that a meaningful dialogue will take place to discuss how these challenges can be addressed.

“While these discussions are ongoing, the company will not proceed with its plan to close the pension scheme to new entrants at this time.”