Royal Mail's take on the pay offer.

[fishtank]

http://www.royalmailgroup.com/royal-mai ... line-staff" onclick="window.open(this.href);return false;

Royal Mail proposes to CWU a new three year agreement for frontline staff
Royal Mail has proposed to the Communication Workers Union (CWU) a new three-year agreement (set out in detail below) to deliver its agenda for growth and industrial stability.

It includes:
a three-year pay deal

confirmation that contracts of employment and terms and conditions for existing employees and employees hired into the core network will remain on the same basis at least for the three-year period of this settlement, unless varied by mutual consent

keeping the Royal Mail Pension Plan open for existing members, subject to certain conditions

a new model for CWU and Royal Mail to work together

The proposed agreement applies to around 125,000 Royal Mail employees (see Notes to Editors). It would run for three years, building on previous agreements including the Business Transformation Agreement 2010 and Beyond (BT2010), the non-payment elements of which are ongoing. Industrial stability mechanisms will be developed as part of the agreement
The proposed agreement includes an increase in base pay of 8.6 per cent over three years.

A non-consolidated lump sum payment of £300 (pro-rata for part-time employees) in December 2013 is also proposed. In addition, new incentive arrangements have also been proposed including a minimum £100 bonus (pro-rata for part time employees) payable each December

In addition to and separate from the proposed agreement, the Postal Services Act 2011 stated that a minimum of 10 per cent of shares in the business will be set aside for employees on or ahead of the Government's shareholding in Royal Mail falling to zero. The timing, form and other details of the scheme are a matter for Government

There will be further discussions this week with the CWU about the proposed agreement
Unless we get a collective agreement with the CWU, the pay increases set out in the proposal would not be introduced. The terms and conditions in the proposed agreement would not be affected by any change in ownership of the Company. The agreement would record this in advance of a potential sale of the Company

The proposed new agreement is about delivering our agenda for growth and industrial stability. We will develop industrial stability mechanisms as part of this agreement. The proposed agreement commits the Company, the CWU and our people to a positive culture of mutual interest. Royal Mail needs to continue to adapt at pace, to ensure we explore and find better and faster ways to embrace technological, equipment and process change to remain competitive. As part of this we would jointly commit to continuously improving efficiency to ensure a truly customer responsive service.

Moya Greene, Chief Executive Officer, Royal Mail Group, said: “Cooperation is central to the future success of the company. This offer represents Royal Mail’s commitment to a long-term engagement strategy with the CWU and with our people.

“We have already built a stronger Royal Mail together through closer cooperation and trust in recent years. We are now offering a new long-term agreement with the CWU and our employees.
“This is a good deal – good for Royal Mail and good for our people. We are asking the CWU and our people to accept this new agreement. There will be further discussions this week with the CWU about the proposed agreement.”

The proposed agreement will apply to employees in CWU represented grades in Core Operations, Logistics, Engineers, Fleet Maintenance Services, RMSS and Royal Mail International at least for the three year period of the settlement.

Royal Mail has already reached agreement with the Unite union, which represents management grades within Royal Mail. In April, we agreed a 2.4 per cent pensionable pay increase for members backdated to July 2012.

Parcelforce Worldwide negotiates independently with the CWU on pay. Negotiations are progressing well.

BT2010 and Beyond was signed in March 2010 with strong and unanimous backing from both Royal Mail and CWU leadership. It enabled the continuation of Royal Mail’s modernisation programme, including the introduction of new automated machinery and changes in the way our people work.

Royal Mail Group and Post Office Limited became separate, sister companies on 1 April 2012. This agreement does not apply to Post Office Limited employees.

Summary of Royal Mail’s proposed new agreement
OUR PROPOSED THREE-YEAR PAY DEAL
Base pay increase

*In 2013-14, in addition to a 2.6%base pay increase there would be a non-consolidated lump sum of£300 (pro-rata for part-timer employees).It will be paid in December 2013. This is subject to a successful transaction before the end of the year. This payment will be forfeited in offices where industrial action takes place between now and the date of payment. The base pay and lumpsum combined equal an average pay increase of 3.7%.

**Base pay increases in years two and three will be subject to review if inflation is below 2.3% or above 3.3%.

Backdated pay increase and arrangements
The 2.6% base pay increase for 2013-14 will be backdated to April 2013. The base pay increases over the three-year period will flow through to the usual allowances and overtime payments

Incentive schemes
We are committed to developing incentive schemes aligned to the improved competitive position of the business. We have already agreed that a minimum payment of £100 (pro-rata for part-time employees) will be paid in December 2013 as part of the new incentive arrangements. This is paid alongside any further Christmas bonus, for those parts of Royal Mail where bonuses are paid.

Employee Share Offer
In addition to and separate from the proposed agreement, the Postal Services Act 2011 stated that a minimum of 10 per cent of shares in the business will be set aside for employees on or before the Government's shareholding in Royal Mail falls to zero. The timing, form and other details of the scheme are a matter for Government.

PROTECTIONS
We will confirm that contracts of employment and terms and conditions for existing employees and employees hired into the core network remain on the same basis at least for the three-year period of this settlement unless varied by mutual consent.
We will continue to have a predominantly full-time workforce on an overall, national basis:75 per cent full time to 25 per cent part time.
Royal Mail is committed to provide and enhance existing services to customers using the current workforce and there will be no change to the current structure of company in relation to these services. No additional outsourcing of services is expected during the period of the agreement.
Enhanced voluntary redundancy and excesstravel terms extended for the life of the modernisation revisions.
CWU will continue to represent front-line employees–as it does now.

PENSION
We have a plan to keep the Royal Mail Pension Plan (the Plan) open for existing members, subject to certain conditions. Royal Mail is consulting with Plan members on a proposal that would see no changes to members’ contribution rates, retirement age or accrual rates
The Plan had approximately £2 billion of assets left at the time of the transfer to Government. Some of these could be used as part of the company’s proposal to keep the plan open at least until the conclusion of the next periodic review in five years.
We can do this without any member of the Plan having to pay more, work for longer or face reduced accrual rates.
We will keep paying around £400 million per year into the scheme. This is a significant financial commitment by Royal Mail.

[TrueBlueTerrier]

The base pay and lumpsum combined equal an average pay increase of 3.7%.

No it doesn't the Lump sum is a one off and shouldn't be included in the figures.

This is subject to a successful transaction before the end of the year. This payment will be forfeited in offices where industrial action takes place between now and the date of payment.

So who measures if its a successful transaction and what happens if its a planners cock up not an operational or performance issue.

Not only are they going to blame us for failures, they are making sure we can't strike over it as well. Also, what about offices where even RM say that they can't see BT2010 being fully implemented, and what happens when PWHC agree it can't.

Royal Mail is committed to provide and enhance existing services to customers using the current workforce and there will be no change to the current structure of company in relation to these services.

That makes me nervous.

CWU will continue to represent front-line employees–as it does now.

as does that. If its not going to change why mention it.

Enhanced voluntary redundancy and excess travel terms extended for the life of the modernisation revisions.

with this and another section

It will be paid in December 2013. This is subject to a successful transaction before the end of the year.

Does it mean MTSF has an life expectancy of 6 months.

[TrueBlueTerrier]

01 July 2013
LTB 445/13 ROYAL MAIL PAY AND CONDITIONS OFFER - REJECTED



No. 445/13
Ref: 21003
Date: 1st July 2013


To: All Branches with Postal Members




Dear Colleague


ROYAL MAIL PAY AND CONDITIONS OFFER - REJECTED


It was reported previously that as the Consultative Ballot concluded, the Union received a three year closed pay and conditions offer from the company. The purpose of this LTB is to confirm the detail of the offer and explain why it has been rejected.




THE ROYAL MAIL PAY AND CONDITIONS OFFER


1. Pay


Year One (April 1st 2013 to March 31st 2014) – 2.6% basic pay increase + £300 lump sum payable December 2013 (subject to Industrial Action clause) *


Year Two (April 1st 2014 to March 31st 2015) – 3% basic pay increase (subject to review if inflation is below 2.3% or above 3.3%) *


Year Three (April 1st 2015 to March 31st 2016) – 2.8% basic pay increase (subject to the same review of inflation) *


* All basic pay increases to flow through to Overtime/Scheduled Attendance rates, all allowances including Shift, London Weighting and Scottish Distant Island Allowance.


2. The pay offer is conditional on acceptance of the following:


Acceptance of the previously rejected pension proposals currently out to consultation.
Three year protection of existing contracts of employment and some other terms and conditions, alongside a commitment to no outsourcing for the three year duration of the deal.
The development of an agenda for growth and stability with a commitment to a workplan to take this forward.





CWU Reasons for Rejection


In considering the offer the Executive recognise that in today’s climate the pay element will be seen as significant, but the offer must also be viewed as an overall package and in the context of our major concerns over the company’s future strategy, pensions, privatisation and end to end competition. Further reasons for rejecting the offer are as follows:


The pay element in isolation does not meet with the terms of CWU policy and we will be seeking a higher, more straightforward settlement.


Neither does the pay element address our claim for significantly improved overtime rates and new bonus arrangements.


As well as a higher basic pay award, the Union will be seeking more certainty in any long-term deal, rather than inflation reopener clauses.


The linkage to the previously rejected pension proposals is unacceptable.


The protection of some terms and conditions included in the offer is a key Union agenda item. However, the protections attached to this offer are neither extensive enough, explicit enough nor adequate in their longevity. Neither are they legally enforceable and would not offer CWU members any protection in the event of a change in ownership.


An agenda for growth and stability is something the Union has wanted and will support if the conditions are right. However, this offer lacks clarity over the future and is not a substitute for a proper agreement over the company’s future parcels strategy.


Next Steps


All in all, although this offer has been rejected, it does demonstrate that the company now appear to be serious about resolving issues that have been on the Union’s agenda for some time.


The Union is committed to further negotiations and a meeting has been arranged with the company later this week. Please ensure the content of this LTB is distributed to all local workplaces.


A further LTB will be issued this week confirming arrangements for a Conference/Policy Forum, alongside a Special Report setting out our next steps. Any enquiries on the above LTB should be addressed to the DGS (P) Department.


Yours sincerely








Dave Ward
Deputy General Secretary (P)

[fishtank]

This is subject to a successful transaction

What is a transaction?
Is it just a typo,do they mean transformation?
Does it relate to commerce as in buying/selling/privatisation?

Is it sexual,a little trans action?

[TrueBlueTerrier]

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CWU rejects misleading Royal Mail proposal

1st July 2013

CWU has rejected Royal Mail's proposal on pay and conditions as misleading and unacceptable. Postal workers voted by 99% in favour of a straight-forward above-inflation pay rise. What they have been presented with is a proposal laden with strings that will increase the uncertainty of their future.


Dave Ward, CWU deputy general secretary, said: "Postal workers want more security; what's on offer is less. With privatisation looming, the protections Royal Mail have put on offer are not worth the paper they're written on. Our members clearly voted - by a huge 99% - for a pay rise without strings attached yet the company ignores them.

"Only a year ago the government and Moya Greene promised postal workers that their pensions were secure - now they have reneged on their promise and postal workers' pensions are again under attack. For the company to present this as some kind of benefit linked to a pay offer is scandalous. This is daylight robbery of a further £2 billion of pension scheme assets being used to subsidise privatisation. CWU is seeking a parliamentary enquiry and a review of the European state aid settlement.


"The pay rise is only there as a sweetener to swallow some very bitter pills on damaging changes to pensions, and a raft of workplace uncertainty. The deal that they've spun in their press release is not the real deal. Postal workers will know that.

"As far as industrial stability is concerned, the company has no real strategy for growth. Royal Mail consistently claims it has a plan for growth but it can't explain it to the workforce. All postal workers see are budget cuts and increasingly unmanageable workloads.

"If we can't get the assurance we want over our members' future then industrial conflict is inevitable."


CWU reasons for rejection:

While in today's climate the pay element will be seen as significant, the offer must be viewed as an overall package and in the context of our major concerns over the company's future strategy, pensions, privatisation and end to end competition.

- The pay element in isolation does not meet with the terms of CWU policy for an above-inflation, no strings attached pay rise and we will be seeking a higher, more straightforward settlement.

Neither does the pay element address our claim for significantly improved overtime rates and new bonus arrangements.

As well as a higher basic pay award, CWU will be seeking more certainty in any long-term deal, rather than inflation reopener clauses.

- The linkage to the previously rejected pension proposals is unacceptable.

- The protection of some terms and conditions are neither extensive enough, explicit enough nor adequate in their longevity. Neither are they legally enforceable and would not offer CWU members any protection in the event of a change in ownership.

- An agenda for growth and stability is something CWU has wanted and will support if the conditions are right. However, this offer lacks clarity over the future and is not a substitute for a proper agreement over the company's future parcels strategy.

[dvbuk55]

This is subject to a successful transaction

What is a transaction?
Is it just a typo,do they mean transformation?
Does it relate to commerce as in buying/selling/privatisation?

Is it sexual,a little trans action?

Well lets hope so - it would certainly make my future more rosy.................. Is Dorothy Perkins still going, fishnets, split crutch knickers, scarf, gold lame skirt - I mean who cares about a pay rise with that sort of incentive

[noggin1969]

This payment will be forfeited in offices where industrial action takes place between now and the date of payment.

Will the office managers lose their bonuses due to them causing IA ?

[dvbuk55]

This payment will be forfeited in offices where industrial action takes place between now and the date of payment.

Will the office managers lose their bonuses due to them causing IA ?

No it will be doubled, because the money will be saved by not paying the strikers.

[noggin1969]

This payment will be forfeited in offices where industrial action takes place between now and the date of payment.

Will the office managers lose their bonuses due to them causing IA ?

No it will be doubled, because the money will be saved by not paying the strikers.

Good thinking , you're obliviously too good for this job

[Jynxx]

Year One (April 1st 2013 to March 31st 2014) – 2.6% basic pay increase + £300 lump sum payable December 2013 (subject to Industrial Action clause)

One can only assume when we reached December RM would pay out the £300 (if they ever did) then conveniently forget to mention the £300 also includes the x-mas bonus so it would only actually be £100.

I really would like some clarity from RM when they ever mention any bonuses as they are very vague.

[dvbuk55]

Year One (April 1st 2013 to March 31st 2014) – 2.6% basic pay increase + £300 lump sum payable December 2013 (subject to Industrial Action clause)

One can only assume when we reached December RM would pay out the £300 (if they ever did) then conveniently forget to mention the £300 also includes the x-mas bonus so it would only actually be £100.

I really would like some clarity from RM when they ever mention any bonuses as they are very vague.

Otherwise why would it be December and not an immediate bonus on acceptance and of course it would be pro-rata again.

[dvbuk55]

Whatever happened to the Joint Statement on the Pay Offer after having a closed and secret offer Royal Mail decide to go it alone, pretty much like Moya when the lights are out, leaving the CWU on catch up again. At face value the offer doesn't seem too bad but we know all the little caveats that aren't explicit but are certainly implied couched once again in double speak and as for the bribe not to go on strike...........absolutely outrageous, especially as two thirds of the bribe is the annual Christmas bonus. I say lets not wait until September, this scandalous offer is worthy of a day of action, strike now whilst the iron is hot.

[BarnsleyLackey]

I'm not a lazy reader, but can anyone put it into layman terms? For a guy walking the streets, what are they offering wage slip wise, bonus wise, pension wise and shitty work changes wise?

[fishtank]

Whatever happened to the Joint Statement on the Pay Offer after having a closed and secret offer Royal Mail decide to go it alone, pretty much like Moya when the lights are out, leaving the CWU on catch up again.

I think both parties pretty much released the info simultaneously but I think the union got there version out first by a few minutes.
This one,the Royal Mail version was full of typos which me being a bit sad and obsessive felt the need to correct.
I got the feeling the whole thing was a bit rushed.

[TrueBlueTerrier]

I'm not a lazy reader, but can anyone put it into layman terms? For a guy walking the streets, what are they offering wage slip wise, bonus wise, pension wise and shitty work changes wise?

In simple terms a 2.6% pay rise backdated to April 2013. Bonus of £300 around xmas

But here is the kickers if we accept

Is the Bonus inclusive of the £200 we are already promised, or is it extra.
If its extra and we strike do we forfeit all the bonuses or just this new addition £300 or £100 whichever it is)
Acceptance of RMs unexplained strategy going forward.
The future pay rises are not guaranteed despite what they say as they can be changed and even if not they are not above projected inflation pay rise so we could be worse off in % terms.
To accept the pay rise we have to accept the Pension changes they are consulting on. So even with is years pay rise, "going forward" the promised pay rise won't cover the losses from our deferred wages (pension).

It looks a good deal, and that's how they sell it to the press but if there was ever a Faustian Deal - this is it. Accept the pay rise - accept Privatisation.