Equity firm's treatment of AA staff questioned

Union leaders in the UK will today meet a top private equity manager in the latest chapter of a growing controversy over the industry’s treatment of staff in companies it takes over.

GMB officials will hold talks with Damon Buffini, managing partner of Permira, which bought the AA British motoring organisation in 2004 and has been involved in a row with the union over jobs and conditions.

GMB general secretary Paul Kenny said he will call on Mr Buffini to increase the pay of AA staff because of the firm’s higher profits, and to end a culture of “bullying and harassment".

The union will also press for an end to “enforced overtime” and excessive shifts.

Mr Kenny said: “We are looking forward to meeting Mr Buffini and his colleagues. We have waited a long time for this but we will want a frank discussion with him on economic and management matters relating to the AA.

“We are also looking forward to hear an explanation from him as to how exactly keeping the gravy train going for the elite in private equity is of benefit to the nation.”