UK incumbent BT has sealed a pay deal with the CWU union, extinguishing calls by almost half its staff for strike action.
The operator announced this morning that the two parties had reached an “unprecedented” three-year pay deal comprising annual pay…
UK incumbent BT has sealed a pay deal with the CWU union, extinguishing calls by almost half its staff for strike action.
The operator announced this morning that the two parties had reached an “unprecedented” three-year pay deal comprising annual pay rises of 3%.
Ian Livingston, BT chief executive, said: “This agreement is good for BT, its employees, shareholders and customers. BT will benefit from a long period of certainty whilst our employees will have financial stability during uncertain economic times. I am pleased that we have been able to work with the union’s leadership to resolve this matter as industrial action would have been in no-one’s interest.”
Union members, which had demanded a 5% pay rise for this financial year, will vote on the agreement over the next few weeks.
BT said it had previously offered a 2% pensionable pay rise from April 2010 and a 3% rise from January 2011. The company had also offered lump sum payments worth up to £500 for each team member but these have now been removed given the revised 39-month deal.
According to a CWU statement, “Although the CWU’s ballot for strike action was ultimately withdrawn, feedback from members and branches indicated that there was overwhelming support in favour of a yes vote. Combined with our clear commitment to re-ballot in the absence of an improved offer, this would have played a major part in BT’s decision to invite us back to the negotiating table with a significantly improved pay offer.
It said it would hold a consultative ballot on the offer, with plans to send members a ballot paper by post in the coming days.
