Staff at a technology company are being balloted over strike action in a dispute over changes to their pension.

More than 400 employees at Delphi Technologies are being asked if they want to take industrial action over the closure of their final salary pension scheme which, say union bosses, could cost some workers tens of thousands of pounds.

The union Unite is balloting staff at the company's two sites in Gillingham, as well as Stonehouse in Gloucestershire and Warwick.

The ballot opens on March 7 and closes on March 21.

Delphi make propulsion systems for combustion, hybrid and electric vehicles.

Unite said the proposal to replace the current scheme with a defined contribution scheme," based on the vagaries of global stock markets", was "totally unacceptable".

Unite national officer for the automotive sector, Des Quinn, said: “The ballot is being held because workers at the company’s four locations stand to lose tens of thousands of pounds from their pension pots, if this proposal is allowed to go ahead.

“In some cases, our members face losing £100,000 from their future pension provisions –money they have spent decades building up.

“Unite believes this is totally unacceptable and an insult to a dedicated workforce – and we call on the management to halt the move to a defined contribution scheme, otherwise the possibility of strike action remains a very real possibility.

“Despite the huge amounts of money members stand to lose, every effort was made by Unite to reach an agreement, but the management failed to offer changes to the schemes that were acceptable.

“They also failed to provide the necessary minimal compensation for those closest to retirement who now have little time to financially plan for their retirement under the proposed new detrimental pension regime.”

Delphi Technologies has been contacted for a comment.