Bermuda Industrial Union president Derrick Burgess has attacked plans by two multinational oil companies to axe pension rights.

It is believed Esso Bermuda and Shell Bermuda are seeking to opt out of their current scheme and keep a portion of the contributions they have already put in.

It is thought they currently chip in up to 15 percent of their staff's wages while staff pay up to two percent. But insiders said the company plans to start a new scheme when the national pension scheme starts next year.

Esso president Ed Edelson said lawyers had advised them their retirement package had to be changed to fit in with the new National Pension Plan.

But he said a new scheme would have to be approved by pension trustees.

He said he was unwilling to explain the details of the plan until it was finalised.

Mr. Burgess attacked the clawback which will affect 18 of the 20 staff at Esso's offices in St. George's, as well as staff elsewhere in the Caribbean and Central American region.

He said: "It's criminal. It's put in by the company for the employee to get it all -- that's what it's there for.

"The employee should get all of it, not a portion of it.'' Mr. Burgess said he did not see why Esso needed to change their pension plan as it would still fit in with the national scheme.

And he also attacked the company for having no succession plan.

He said: "They don't have one and they have no intention of getting one.

There are qualified Bermudians there but there's no intention of putting them in charge. Anyone who speaks out there gets blacklisted.'' Shell is thought to have told staff at its offices also in St. George's, that they will scrap the gratuity plan, which can be worth up to 105 weeks' pay when employees retire.

If they do not scrap the award, they will freeze pay awards until they come in line with a globally set rate.