Presentation on theme: "2010 CWU Pay Review for Team Members who are NewGRID Grades THE REAL FACTS AND QUESTIONS YOU NEED ANSWERING."— Presentation transcript:
2010 CWU Pay Review for Team Members who are NewGRID Grades THE REAL FACTS AND QUESTIONS YOU NEED ANSWERING
We have been talking with BT for the last 3 years about reducing operating costs and Pension Liabilities BTs Latest offer is not an Improved Offer, it is STILL 2% for 2010, and the Performance Bonus on offer will never be achieved, Ask your Manager We the CWU are asking for a realistic Pay Rise to reward our efforts over the last 2 years, Remember we agreed to 0% last year, so in Real Terms we are already asking for a 5% 2 year award Therefore we have Rejected BTs so called Improved Offer, because for 2009 & 2010 there is no overall Improvement Where are we on BTs 2010 Pay Cut ?
Issues we have NOT discussed with the CWU about Pay BTs Business Performance & Results - BTs Profit is once again on the UP, over £1 Billion last year - BT Doubled it’s free cash flow to £1.9 Billion exceeding all forecasts - BTs Cost Savings were £1.75 Billion, partly delivered by a 2009 Pay Freeze 30.000 Redundancies Changes to the BT Pension Schemes Protecting BTs Future Business the CWU Agreed To - Unprecedented changes to Attendance Patterns across the whole BT Group - Delivering Outstanding Performance through the Transformation Programmes - Rise to the NGA Challenge to enable our Customers Super Fast Broadband - Go that Extra Mile to keep BT the UK’s Market Leader Impact on BT Pension Scheme - As a result of the recent changes agreed by YOU the CWU Members - Sustainability - Realistic Deficit Recovery Payments - And the Right to Reasonable Pension Increases as promised by BT
The economy & the external market data Inflation is currently over 5% and expert analysis's predict it will remain near that level The New ConDem Government is intent on Raising Taxes and a lot more Public Sector Awards will also suffer under the ConDems and public services will suffer as a result Examples of other Pay Awards listed below Royal Mail 2.1% & Last Year ! Virgin Med 2.0% & Last Year ! British Gas 1.8% & Last Year ! Rolls Royce 2.0% & Last Year ! BAE Systems 2.0% & Last Year ! BT’s Team Member pay & benefits are ahead of the market, so are BT’s Profit’s and it’s Customer Service
BT’s improved final pay offer is really a pay cut Details Profit related reward for all Team Members £250 July 2010 Introduction of Performance Related Pay (very Dangerous precedent) Potential for additional Profit Related Award of £250 in 2011 What is the target, they won’t tell us, will it be achieved – No Chance New pay review date January 1 st 2011 – CWU not consulted Why ? Conclusion of other pay deals for Team Members e.g. former Sitel Of Course, The CWU will strive for a realistic Pay Award for all Members More Jobs back into BT – This is already happening (Project Holborn) Enhanced Job Security - No compulsory UK redundancies until end 2011 The CWU has separate agreements dealing with compulsory redundancies, and at no time have these been discussed during these pay negotiations – if anyone is made compulsory redundant the CWU will Ballot it’s membership for industrial Action. 2% consolidated and fully pensionable for 2010 (inflation is 5% +) 3% consolidated and fully pensionable for 2011 (inflation forecast 4.3%)
What our offer means for you – for example 2010 – 3% Pay Cut in real terms – Plus consider these factors Reduced Pension Increased Taxes Rising Mortgage Cost Rising Gas & Electric Bills Rising Fuel Costs Rising Food Prices A Lot Less Money in your Pocket You will also have to Up your Performance to reach unrealistic Targets – To increase BT’s Profit Work Later for Single Rate – To increase BT’s Profit Work Saturday’s for Single Rate – To increase BT’s Profit Tolerate BT’s Management Style – Increasing work related Stress For the c7600 people who will get their rightful pay progression (increment) in October 2010, to include that in their pay offer ? We would not dare insult your intelligence by commenting on this
What the offer means for BT and it’s Board BT executives have received generous bonus payments, including: Ian Livingston CEO - basic £850k plus annual bonus of £1,206k, total up by 79% on 2009. He is also set to get a 6% pay rise this year, but has pledged to take a 2% pay rise and donate the rest charity. Sir Michael Rake, Chairman total of £670k up from £630k – a 6.3% rise – in 2009 for working part time. Hanif Lalani, ex Finance Director, total of £1,166k, up from £805k in 2009, a rise of 44.8%. Patricia Hewitt, non executive director who helps to decide remuneration – £128k up from £75k for just a few days a month. Gavin Patterson, BT Retail CEO, total of £1,133k, up from £698k in 2009, a 62.3% increase. Tony Chanmugam, Finance Director, is set for a pay rise worth more than 7%. More Growth, Profit & Free Cash Flow Yet more savings at the Expense of CWU Members Increased Shareholder Value & Increased Dividend
What industrial action would mean…. Would continue to receive a world class service delivered by loyal BT Employee’s paid the correct rate for the job Our Custom Making a stand for what’s fair & what’s right, informing the company through a Ballot that you want your share ……….. A realisation that the success of the company depends mainly on it’s workforce, who fully deserve their share of that success For Our Customers For Our Business For You
To sum up…….. The Pay Offer is not attractive – it is derisory Profitable Growth is down to your hard work – you want rewarding Our cost controls have exceeded our targets to date The Economy is still fragile – but didn’t we make sacrifices last year The risk to the pension fund is minimal with a 5% increase Team Members deserve their fair share of the profits VOTE YES IN THE FORTHCOMING BALLOT Industrial Action is the very last resort, but BT’s failure to agree a reasonable pay offer for NewGRID grades has left the CWU with no alternative other than to Ballot it’s membership
CWU BT Pay Claim 2010 www.cwu.org/bt-pay-campaign-2010.html www.cwumail.org/webmail And Log in using your user name & password Also Contact your local CWU Branch Office
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