1. Network Rail - Rates of Pay and Conditions of Service 2019 RMT REPRESENTATIVES BRIEFING
INTRODUCTION
The final offer from Network Rail following negotiations for the 2019 pay agreement is a complex one. The RMT NEC instructed that our Network Rail Representatives engage in further consultations in the following decision:
“That we note the outcome of the meeting with our Area Council Reps that took place last week.
We remain gravely concerned that the “No Compulsory Redundancy agreement” contained in the 2 year offer ends on 31st December We further note the recent announcement by the company states a phased programme over the next 22 months with an inclination that “colleagues” face the risk of redundancy after the first quarter of 2020.
Therefore it would be folly at this stage to not indicate a view on our opinion of the offer.
We also have concerns over the re writing of the PTRR that is included in this offer and ultimately hands the final decision to a Manager.
The lack of concrete proposals in relation to groups of grades that have not been catered for in previous deals.
A minimal offer in relation to subsidised season ticket travel that barely covers the recent price increases.
The withdrawal of the SE allowance is also a matter of concern.
These are only a few items that are included in a 2 year RPI pay offer that we feel will not benefit the membership overall.
Therefore the General Secretary is to start a consultation process involving all our elected representatives for a period of a month with a report placed back in front of the NEC on Thursday 21st March Finally as we currently stand the NEC cannot recommend the offer and to ensure our view is reported to the wider membership.
It is vitally important that our members understand that what is being proposed by Network Rail is in fact a package deal and that they do not just focus on the headline pay offers.
This briefing has been drafted to help guide Representatives, branches and members in their discussions on the full proposals.
The text of the company’s proposals is in black. RMT Comments are in either red or blue colour.

2. THE PROPOSALS IN FULL
On the following pages are set out the full proposals from the company.
The proposals as they currently stand have not been recommended by your NEC.
The purpose of this briefing is to provide members with a full understanding of what is on offer, the effects and implications, and for members to be able to advise Representatives of their views.
Representatives will report on the response and views of our members and the NEC will further consider the matter on 21st March.

3. Reorganisations & Job Security
Since 2011 in pay deals covering Operations and Maintenance we have secured a straightforward Guarantee of No Compulsory Redundancies that encompassed members covered by the PTR&R arrangements (generally Signallers and Maintenance staff) as well as those in Role Clarity positions. These guarantees have been tied to the length of the successive pay deals.
This year Network Rail has made clear that it would not repeat this straightforward and over-arching guarantee and that it would only make the current pay offer on condition that we agree to change the basis of job security including ending the firm guarantee of No Compulsory Redundancies from 1st January 2020 and instead relying on a revised PTR&R and Job Security arrangements.

4. Reorganisations & Job Security
The current commitment guaranteeing no compulsory redundancies across all members of these bargaining groups will be extended until 31 December 2019.
The over-riding guarantee of No Compulsory Redundancies is extended for all of 2019.
The RMT NEC has expressed grave concern that this guarantee only covers one year of a two year proposal
The process for managing displaced employees in these bargaining groups is set out in Appendix 1 and is a revision to the Promotion, Transfer, Redundancy & Resettlement Arrangements (PTR&R) and will be incorporated into the Job Security Agreement, effective from 1 January 2020.
Instead of a No Compulsory Redundancies guarantee there is instead a proposal for a permanent revision of the PTRR and Job Security agreements as set out in the Appendix to this agreement
The RMT NEC has also expressed concern about the proposed re-writing of the PTRR and that the final decision will be in the hands of a manager
The detailed proposals on Job Security are set out in an Appendix:

5. Reorganisations & Job Security Appendix 1
Effective from 1 January 2020, the process for managing displaced employees will be as set out below, having taken into consideration and application of all the measures and arrangements set out in the PTR&R and the Job Security Agreement, as appropriate, including offers of suitable alternative work.
The PTRR document offers protections for those who have not been offered a role but also stipulates that where roles cannot be provided, staff can be discharged from service. Role Clarity staff are generally not covered by PTRR. The No Compulsory Redundancy agreement overlays both the PTRR and the Job Security agreement for the period it is in place.
In cases where an employee has been displaced due to redundancy and is being Used to Best Advantage (UBA) and no suitable alternative role has been identified, the following additional measures will be undertaken:

6. Reorganisations & Job Security Appendix 1
Consideration of alternative roles within a total travelling time of up to 105 minutes, on a voluntary basis.
The current PTRR arrangements limit reasonable offers of Suitable Alternative Work to 75 minutes journey time from home in each direction. Once those possibilities had been exhausted offers up to 105 minutes travel in each direction can be made and accepted on a voluntary basis.
Consideration of alternative roles with a total travelling time beyond 105 minutes which would require relocation of the employee’s home, on a voluntary basis, subject to the agreed financial arrangements for relocation.
Where no roles within 105 minutes journey time from home in each direction are available relocation under the company’s process will be offered.
In both of the above circumstances, the fatigue standard will be taken into account.

7. Reorganisations & Job Security Appendix 1
The National Maintenance Council and National Operations Council (and for Controllers, the National Management Council) will monitor and review employees who are UBA and the measures being taken to place them in alternative roles.
Individual cases, where following the actions above, the employee remains UBA will be discussed by the appropriate national council, with the final decision regarding the redundancy of the employee to be made by the chair of that council.
Where the process is exhausted the individual case will be placed before the national council and argued with the decision with the chair. The union could take a case in to the disputes procedure and ultimately could be subject to a ballot for industrial action.
The process will take a minimum of six months, from the point that the employee is declared UBA to the determination of the chair of the national council. Contractual notice period will be in addition to this six months.

8. Joint Working Parties
Network Rail would only make an offer at anything near the current values in the proposals if RMT agree to enter in to Joint Working Parties to review and potentially agree on certain issues. It is a condition that we participate, review and negotiate on the issue but the pay offer is not conditional on particular outcomes. RMT also lodged some issues for the review groups as set out below. 
Network Rail and the Trades Unions agree to establishing joint working parties to negotiate in good faith with a view to reaching agreement to address the following productivity challenges:
The current inability to deploy the closest maintenance response team to an incident to minimise delays to our passengers.
Network Rail item - Not clear what exactly this means but NR have a consistent theme that they bring up about cross—boundary or even cross-route working
The current inability to replace Signallers, Electrical Control Operators & Mobile Operations Managers for several months who leave with 4 weeks’ notice, creating gaps in cover.
Network Rail item – the company finds itself short staffed as key grades retire or resign yet it has kept vacancies running for extended periods

9. Joint Working Parties
A joint review of role clarity contracts with a view to the introduction of an operational contract covering 24/7 working applicable appropriate to Band 5 – 8 roles.
RMT item - This would seek to address the situation where staff are working on a shift or unsocial hours basis but on Role Clarity contracts that are designed for office hours. We would also seek to address issues with the Managed Stations contract including Sunday working.
A joint review of all allowances including signaller flexibility premium and Christmas working arrangements for employees on former Thales terms and conditions.
RMT item – it became clear that there are many different allowance codes and payments on the pay system which may not be incremented so we have called for a review of the whole scope to see what is relevant and would need review. Further, we are seeking agreement for Thales staff Christmas/NY incentive payments and this would be covered in this group.

10. Joint Working Parties
A joint review of the Network Rail performance management process for Band 5 – 8 roles and the pay ranges.
RMT item – RMT wants to see the end of performance related pay as it is divisive and delivers less than the agreed increase for many. We also want to ensure that the pay rages are re-valued and then enhanced each year by the value of the pay agreement so that they keep pace with inflation and those are the top of the bands receive consolidated and pensionable salary increases
A joint review of family friendly policies to commence following the scheduled review of the Disciplinary, Grievance; Managing for Health and Career Break policies, as previously agreed at the National Policy Council.
RMT item – RMT wants to see Network Rail setting the standards for Family Friendly policies
A joint review of working hours for those who are contracted to work more than 35 hours per week, with a view to standardisation.
RMT item - Members and branches have raised the issue of anomalous former IMC contracts such as SERCO and others and this is where this would be reviewed.
A joint working group to explore the possibility of offering leisure rail travel to employees on a cost neutral basis.
RMT item -There is no commitment to any funding of this so an approach would have to be made to the RDG and Train Operators who only seek to protect their own revenue.
Negotiations on the above will commence upon acceptance of this offer with a view to conclusion by the end of 2019, with each challenge being the subject of separately actionable agreements.
If proposals were to be formulated and changes to be made these would be subject to RMT democratic processes for agreement via our NEC.

11. Season ticket subsidy
The cap on season ticket subsidies shall be increased by £250 from £2,500pa to £2,750 pa.
Although a proposal for all staff, the effect for RMT members is marginal as it is for an annual season ticket purchase which implies office days/hours and given the unsocial hours and shifts that the majority of our members work under, will not be of value to the majority of RMT members.
The RMT NEC views this offer as minimal and barely covers recent fares increases.

12. London and South East Allowances
Inner and outer London allowances shall be uplifted by the amounts in clauses 1.2 & 1.3 with effect from 1 January 2019, and 1 January 2020 respectively.
Value will be enhanced by value of pay deal
South East Allowance shall be maintained at current rates for those employees currently in receipt of it (including promotions and sideways internal moves within the general grades’ bargaining group) so long as their work location remains in an eligible area.
South East Allowance is paid for specified locations outside the London Allowance boundaries. This proposal retains the allowance for individuals currently receiving it but in effect freezes its value at the present rate permanently and will never be enhanced. Will impact consolidated salary and pensionable pay going forward.
South East Allowance shall not be offered for all future new employees from 1 January 2020.
Cuts the agreed “going-rate” salary and pensionable pay for new hires going forward and introduces a two-tier salary system. Will mean lower salaries and pensionable pay for all new staff in the region.
The RMT NEC has expressed concern about the proposals on South East Allowance

13. Pay increases for 2019 and 2020
All of the above should be considered to be leading to the pay offer as set out below. The pay is part of a package deal and members should form their opinion of the package based on the whole deal rather than the pay values alone.
All employees within scope shall be awarded the following pay increases set out below.
With effect from 1 January 2019, an increase of 3.2% to basic rates of pay including a minimum uplift of at least £555 (pro rata for part time working).
3.2% is the relevant RPI figure for 1st January anniversary
There is an underpin of £555 which is low and will affect mainly low paid workers such as staff an Westwood and apprentices
With effect from 1 January 2020, an increase to basic rates of pay of the value of the increase to the November Retail Price Index (RPI) published in December This will include a minimum uplift of at least £575 (pro rata for part time working).
The minimum underpin is uprated but remains modest and will only affect a limited group
The relevant RPI figure has been offered but it is dependent on other parts of the document particularly section 5 on Reorganisations and Job Security

14. Pay increases for 2019 and 2020
An increase to the bottom of the Band 5-8 pay ranges in line with the ‘Real Living Wage’ taking into account the published hourly rates for the London and Regional areas published by the Living Wage Foundation.
This is a new element that in a small measure addresses the fact that year-on-year NR refuse to uprate or revalue salary bands for Role Clarity. The bottom of some of these ranges are now so low that they could be in breach of the “real Living Wage” in London and outside. This will only affect 68 “adult” staff as it does not apply to apprentices.
For those on Role Clarity contracts:
The increase will be distributed based on performance ratings, with the full negotiated figure paid in aggregate, but with differential increases to reflect individual performance ratings.
For those at the top of the salary band, the increases will be made as a non-consolidated payment.
Our claim called for the salary ranges to be increased, for the full value of the percentage increases to apply to all Role Clarity staff and for an end to performance related pay. None of that is contained in the offer.
A Joint Working Party on Role Clarity performance pay and salary ranges is offered at section 7 of the offer.
For 2019 we would be agreeing that the pay agreement is distributed according to Management’s views on performance, some staff will receive more than 3.2% and some less, while others at the top of their band will not have a consolidated increase to their salary but a one-off award which affects salary levels going forward and their pension.
The RMT NEC has expressed concern over this Role Clarity proposal which does not satisfy our union policy or address the claim

15. QUESTIONS & COMMENTS? CONCLUSIONS
This briefing has set out the detail of Network Rail’s proposal and incorporates your NEC’s views on the matter.
The NEC is of the view that:
the proposal lacks concrete proposals in relation to groups of grades that have not been catered for in previous deals
will not benefit the membership overall
cannot be recommended as it stands.
RMT Representatives are instructed to use this briefing to fully explain the proposals and use the feedback and views of the staff to report to report to head office on the views of their membership.
QUESTIONS & COMMENTS?