Bank staff cash in with 4.15% average pay rises

A two-year pay agreement has been reached at Alliance & Leicester bank, ending a long dispute with the CWU communication workers’ union.

Under the deal, which won the approval of 82% of CWU members voting in a ballot, staff on performance-related pay will receive an average of 4.15% backdated to July 2005. Individual increases will be allocated according to a “matrix”, varying from 0% to 10%, but there will be a minimum increase of £400.

For the second year, pay rises above the retail prices index are guaranteed for all staff with satisfactory performance. Again, a £400 minimum increase will apply.

Staff on protected rights had been offered no increase at all under the bank’s previous offer – on of the reasons for its overwhelming rejection by 98% of CWU members. The new settlement will give them a £350 consolidated rise from January 2006, another £400 consolidated from July 2006, and a £350 cash payment (all pro rata for part-timers).

Alliance & Leicester has also given the CWU assurances on other issues – including staff surpluses, the operation of performance management and bonuses – that had been concerning members. Talks will begin soon to discuss how these assurances will be implemented.

CWU assistant secretary Nigel Cotgrove praised union members across the bank’s operations for making the agreement possible.

“Their support for our Fair Pay campaign has been absolutely crucial,” he said. “We will now start work to ensure that the assurances in the agreement are turned into reality.”