POL: Sales Incentive Scheme : Revised Arrangements 2010:11

[POSTMAN]

TO: ALL BRANCHES WITH POSTAL MEMBERS


Dear Colleague

POL: Sales Incentive Scheme – Revised Arrangements 2010-11

Branches will be aware that the Sales Incentive Scheme includes a clause that enables the business to change product groups and weightings following discussions with the Union.

To this end, following a number of productive meetings, we have reached agreement with POL for revised weightings and product groups for the 2010-11 financial year. I am pleased to advise Branches that the Postal Executive have endorsed this agreement earlier this week.

Associated with this LTB is a letter from Debbie Moore, HR Director, which includes the precise terms of the revised arrangements. The key features are as follows:

The weightings of the focus products for the Red, Blue and Yellow segments have been revised from 50%, 30%, 20% to 65%, 25%, 10% respectively. This is a much better arrangement than the original distribution, which proved to be unfair due to the product mix.

A revised product mix based upon margin / benefit and advertising campaigns allowing for a more fair and even distribution of products.

The removal of the 80% – 85% banding, which attracted a meagre payment of £31.25 per quarter.

The removal of this banding is considerably more than compensated with increased bonus payments for all bandings above target performance as follows:

≤ 102% annual payment up from £900 to £980

≤ 104% annual payment up from £950 to £1050

≤ 106% annual payment up from £1000 to £1120

≤ 108% annual payment up from £1075 to £1215

≤ 110% annual payment up from £1150 to £1310

≤ 115% annual payment up from £1250 to £1430

≤ = less than or equal to