Union stakes claim in Border TV takeover

BECTU has called for guarantees on salaries and pensions from the company which may buy Border.

Capital Holdings, which owns several local radio stations, has agreed to open talks with the union if the company turns out to be the winner in a takeover battle surrounding Carlisle-based Border.

Another media company, Scottish Holdings, has also expressed interest in bidding, but Border's directors are thought to favour the Capital offer, to prevent the ITV company falling into the clutches of Scottish Media Group, owners of Scottish and Grampian TV.

If Capital succeeds in buying Border, it plans to retain the Cumbrian company's radio interests, while offering Manchester-based Granada Media an option to buy the TV side of Border's business for £52m. The option would be open from three months after the takeover of Border for a period of two years.

Border has confirmed that staff are covered by the TUPE laws, which ensure that workers in companies which are taken over are transferred to the new employer without any changes in their terms and conditions.

However, pensions entitlements are not covered by the rules, and BECTU has called for Capital to offer staff pensions no less favourable than the Border pension scheme. The profit-related pay scheme could also be at risk, and the union wants the relatively generous Border reward system to be continued by Capital.

The timing of any discussions with Capital depends on the company finalising the takeover arrangements.