National agreement and EVR

[viking]

Could someone clarify under the new agreement, what is the selection process for EVR in a delivery office.We thought it was to be done using seniority but have been told by the manager that it is done firstly with the 55s and over and then in that group done on seniority , then under 55s etc etc. Wasnt it in the agreement that seniortiy would be used to all who wished to leave the business voluntarily.What this means in our office is that we have some staff who maybe only have a few months until they were retiring anyway being offered a redundancy payment and have maybe only got a couple of years service with RM., whilst some under 55s who have been working for the business for over 30 years being ignored for any payment. We realise that this is RMs way of saving hours (FT) and also saving loads of money. So what is happening in other offices as regards the selection process. Any feedback much appreciated as we feel we are being let down once again by our union rep. who seems to be ignoring any questions we put to him on this subject!

[snoopywonderdog]

It changes in October, from 55 plus having first choice in seniority. To having the age removed, then purely on seniority. ( Beware they can ring fence people who have skills or capabilities that are in short supply and Not allow them to take VR. ) Believe if done before October the age issue would be the way it was done.

[royalmailchat]

From the 1 October Your EVR payment falls from 104 weeks pay to 26 weeks max or standard redundancy .??? ?????

[stokes11eg]

From the 1 October Your EVR payment falls from 104 weeks pay to 26 weeks max or standard redundancy .??? ?????

Where did you get this nugget from?

[nelson]

From the 1 October Your EVR payment falls from 104 weeks pay to 26 weeks max or standard redundancy .??? ?????

I was under the impression that it went up in October until 2013.
Please correct me if I have missed something

[disheartened]

From the 1 October Your EVR payment falls from 104 weeks pay to 26 weeks max or standard redundancy .??? ?????

GULP.....have i worked that out correctly a 75% reduction

[Tman]

No need to gulp, he's wrong.
Why would anyone take EVR if all that's was on offer was the government minimum...

[TrueBlueTerrier]

For clarity here is the relevant section from the 2010 agreement:

MTSF Amended Terms
The approach to change will continue to be in line with the Managing the Surplus Framework Agreement as amended below for Royal Mail Letters.

Royal Mail and the CWU recognise the need to amend the current MTSF arrangements for CWU represented grades across Royal Mail Group to:

Deal with the statutory change to the Minimum Pension Age and the change in the retirement age in the Royal Mail Pension Plan (RMPP);

Maximise the number of volunteers for redundancy with a suitable package for all age groups; and

Best support redeployment during the transformation period over the three years beginning from April 2010,


Both Royal Mail and CWU have agreed to phased changes as they are aware that some employees will have certain expectations based on the arrangements that were in place prior to 1 April 2010. Phase 1: a 6 month interim arrangement followed by Phase 2 from 1 October 2010.

Phase 1: Voluntary Redundancy with last day of service 1 April 2010 – 30 September 2010
Existing MtSF arrangements will remain in place for all employees, except for 50-54 year old RMPP qualifying members where the statutory change in the Minimum Pension Age means that they will only receive compensation based on aggregate service subject to a minimum of 6 months and a maximum of two years’ pay, calculated as follows:

0.5 weeks’ Pay for each full year of service where age during year less than 22

1.0 weeks’ Pay for each full year of service where age during year is 22 or above, but less than 41

1.5 weeks’ Pay for each full year of service where age during year is 41+
and multiplied by 3.75.

This interim arrangement applies to redundancies, applying the criteria in Appendix 5 in MtSF, where the employee has a last day of service of 30th September 2010 or earlier. Exceptionally these terms will also be available for employees offered Voluntary Redundancy in a site closure where most of the redundancies in relation to that site closure take effect before 30th September 2010.

Phase 2: Voluntary Redundancy with last date of service from 1 October 2010

The following provisions will apply from 1 October 2010.
As for Phase 1, except that

Qualifying members aged 55 – 64 will receive a pension enhancement by way of service credit of 37.5% of their prospective service up to NRA (65), subject to the RMPP Trust Deed & Rules, and cash compensation of 26 weeks’ pay or a statutory redundancy payment, whichever is the greater.

The current age based selection criterion for voluntary redundancy will cease from 1 October 2010, but the other current selection criteria, including seniority, will remain unchanged.

Total cost of compensation (including pensions) will be limited to two times annual pay (as per the definition in MtSF) for all employees. If the total cost of compensation including pensions exceeds the above limit, cash compensation equivalent to two years’ annual pay will be paid. This limit on total cost of compensation will be suspended for the life of this agreement and will be deployed from 1 April 2013.

If a redundancy exercise at a site means that employees offered voluntary redundancy are released on dates straddling a change in terms, all such employees will receive terms applicable at the beginning of the exercise.

[wilsontigger1]

HI,

REGARDING SOMEONE AGED 57 WITH 30 YEARS COMPLETED SERVICE - IF GIVEN A CHOICE, WOULD IT BE BEST TO LEAVE BY WAY OF EVR BEFORE OR AFTER 1ST OCTOBER 2010? WHICH PROVIDES THE MOST BENEFICIAL DEAL?

THE QUOTE I HAVE BEEN GIVEN SEEMS TO INDICATE A COMPENSATION LUMP SUM OF £12,000, PENSION LUMP SUM OF £30K AND A PENSION OF 10K PER ANNUM. I HAVE NOT HAD THE FIGURES EXPLAINED AND THERE IS NO PROVISIONAL DATE

THANKS