Christmas and New Year Pay Arrangements 2012/13

[Geezer]

No. 895/12

Ref. 170/140

Date: 3rd December 2012
To: All Branches with POSTAL Members

Dear Colleagues,

Christmas and New Year Pay Arrangements 2012/13

Following the issuing of LTB 780/12 to Branches regarding this year’s Christmas and New Year arrangements we subsequently received a couple of queries regarding the pay arrangement over the Christmas and New Year period.

This was also raised at a couple of the Unit Reps’ briefings.

As a consequence an email was sent to Royal Mail on the 19th November raising our concerns. The email is listed below for your reference.


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Subject: Christmas Pay Arrangements


Gareth

We have had reported to us that there will be some delays in making the payment of overtime, scheduled attendance and allowances this Christmas due to the shutdown of PSP.

I have listed below the weeks in question. As you can see anything after the 20th December will not be paid until Friday 4th January 2013 when there is a possibility that overtime and scheduled attendance and allowances will be accrued on the 21st, 22nd and 23rd which would normally be paid on the 28th December 2012. The first question is - is this true and why? A similar scenario occurs again when anything due for the 28th, 29th and 30th will not be paid until the 11th January 2013. The second question is - what can be done to make sure our members receive their monies on the due date.

In recent years we have had forecast dockets that paid monies up front and then reclaimed by payroll on the agreed pay date. If PSP is not able to accommodate the payments on the due date then can we revert to the advance docket?

Also we have managed to pay what is due on the due date in the last 3 years so what is the problem this year?

I look forward to your earliest reply.

Kind Regards.
Bob Gibson
CWU Assistant Secretary - Outdoor

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The reply from Royal Mail which was received on the 26th November is listed below.


Dear Bob

I am replying to your note below as it relates to detailed payroll considerations over the Christmas period.

The payroll processing details in the LTB reflect the position that payroll necessarily has to alter each December due to Bank & Public Holidays, and the consequential impact on the BACS banking system used to transfer payments to employee’s personal accounts. Our primary objective is to ensure that the Royal Mail payroll file, which is one of the biggest weekly files in the country, is safely dispatched through the banking system such that employees receive pay on Friday.

As part of this process we speak to the operators of the BACS inter-bank payment system. The advice we have received is that Monday 24th December is anticipated to be a very heavy traffic day within BACS, and that there may be a risk if the very large Royal Mail payroll file is transmitted on that day. Further, if there were any delays or issues that day, which may well be outside of Royal Mail’s control, there would be no contingency time to make alternate payment arrangements. This year there is a further difficulty in that it has been confirmed that the banking system will not operate in Northern Ireland on 27th December, meaning colleagues in Northern Ireland would most definitely not be paid on Friday 28th were we to run payroll on Monday 24th. With these considerations in mind, we believe the only option to ensure our employees are paid is to run the payroll on the preceding Friday.

To ensure our people receive pay on Friday, this does however necessitate an earlier cut off for variable pay. The bulk of overtime performed in week commencing 17th December will be paid in the following week as usual, with the remainder following in the next available pay period. Eligible employees will have also already received Christmas Supplement payments in their pay on 21st December, and of course overtime earnings from previous Christmas pressure weeks. In this context, and against the practical difficulties and compressed timescales of payroll in December noted above, we will not be issuing advances this year. In fact, we have not issued advances of pay in December for many years, and previous experience has shown the vast majority of employees do not elect to take advances, preferring for payment to be processed through the normal payroll processes as soon as is possible rather than have to manage their personal finances post-Christmas as advances are recovered. It also goes without saying that there are processing implications – estimated at around £15 per advance, and a finite limit as to the number of advances any company can push through the banking system during this busy period – that make advance payments impractical in what is already a demanding December payroll schedule.

I trust this additional information clarifies why there is no practical alternative to the December payroll schedule as outlined in the LTB, and why we will not be issuing advances to employees within the Christmas period.

Regards

Glyn Rees
Reward Development Manager


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Branches will clearly see that Royal Mail is not prepared to consider advanced dockets to their employees for the reasons listed above.

We are obviously aware that this will be disappointing news for many of our members; however under the circumstances we do not believe that it is possible for the Union to change their position.

This is of course regrettable and we have made our disappointment known to the business.

Any enquiries to Bob Gibson’s Office, quoting reference 170/140.
Email Address: hnutley@cwu.org


Yours Sincerely
Bob Gibson
CWU Assistant Secretary

[hans solo]

easy solution then we dont do ot after 20th dec girut

[fishtank]

Do you want to know the real reason BACS inter-bank payment system doesn't want the Royal Mail Payroll File on the 24th?
It's "benefits day".

Now i'm off to the Daily Mail forums for some scrounger bashing....

[poptart]

Not good enough Royal Mail.

Doesn't he appreciate many people budget week to week.


Don't think Glyn Rees, Reward Development Manager understands the consequence of this.

Everyone will work to their time on Fri and Sat, thousands of cut-offs.

The difference between a successful Christmas and a disaster.

[dvbuk55]

I'll just bet RM are going to have a really rotten christmas knowing that Bob Gibson is disappointed over the pay arrangements for CWU members...someone said Moya has only ordered 30 cases of champers instead of well.......................the usual 30. Knowing I'm not going to get my just rewards I won't be working any overtime over christmas.................I just hope my old age pension isn't late or it'll be corned beef and stuffing again

[hans solo]

we are still waiting on stamps

[dvbuk55]

we are still waiting on stamps

Well keep waiting hans, only high performers are getting them this year and you obviously fall well short of expectations - although they were great

[Poorly]

Not sure what the fuss is about, we will actually be getting paid earlier, it's just the Friday and Saturday OT that will be paid a bit late. Seems quite reasonable to me, it's not like RM are going to gain anything by this.

[Judgee]

Not sure what the fuss is about, we will actually be getting paid earlier, it's just the Friday and Saturday OT that will be paid a bit late. Seems quite reasonable to me, it's not like RM are going to gain anything by this.

Yes from my understanding of this we are getting paid one weeks basic money a week early and a few days overtime a bit late so can't see what the problem is really?

[postmanpat]

Yes from my understanding of this we are getting paid one weeks basic money a week early and a few days overtime a bit late so can't see what the problem is really?

Don't understand how you think we are getting paid early??
How do you work that out???

[fishtank]

As far as i'm aware they normally run the payroll file on a tuesday so any overtime worked up until sunday will appear in the following friday's pay.
During the Christmas and New Year weeks they intend running the file on the previous friday meaning that OT worked on friday 21st,saturday 22nd,sunday 23rd and monday 24th will not appear in your pay until the following week ending 4th Jan.
OT worked on friday 28th,saturday 29th,sunday 30th and monday 31st will not appear in your pay until the following week ending 11th Jan.
It will not affect your basic pay at all.

[Judgee]

Yes from my understanding of this we are getting paid one weeks basic money a week early and a few days overtime a bit late so can't see what the problem is really?

Don't understand how you think we are getting paid early??
How do you work that out???

My mistake I read it wrong sorry!

[dvbuk55]

Yes from my understanding of this we are getting paid one weeks basic money a week early and a few days overtime a bit late so can't see what the problem is really?

Don't understand how you think we are getting paid early??
How do you work that out???

My mistake I read it wrong sorry!

Oh bugger I'd just spent another fiver on the wife on the strength of that mistake

[Judgee]

Yes from my understanding of this we are getting paid one weeks basic money a week early and a few days overtime a bit late so can't see what the problem is really?

Don't understand how you think we are getting paid early??
How do you work that out???

My mistake I read it wrong sorry!

Oh bugger I'd just spent another fiver on the wife on the strength of that mistake

Ooooops! Still plenty of time to take that box of washing powder back that you bought her for Xmas!

[TrueBlueTerrier]

Oh bugger I'd just spent another fiver on the wife on the strength of that mistake

Ooooops! Still plenty of time to take that box of washing powder back that you bought her for Xmas!

Buying washing powder Not DVB he just fashioned a bigger stick and a got a new stone for when she goes to the river. He varnished the stick though, thats what cost £5.