Airport deal links pay to absence

THE latest pay deal at Prestwick International Airport links workers’ pay to sickness absence through a bonus scheme and potential reductions in the value of the 2009 pay rise, if sickness absence levels increase. This approach goes further than the sort of individual attendance allowance that a number of employers (including Prestwick) apply.

In year one of this two-year deal the basic pay rise is 2.5%. However, a 0.05% base wage bonus will be paid for each 0.1 percentage point reduction in absence below the current 12-month rolling average of 2.6%. A maximum bonus of 0.25% will be paid for a 0.5 percentage point reduction in absence to the target level of 2.1%. An existing £100 payment for each employee taking no sick leave in each six-month period continues.

In year two the individual attendance bonus continues but the proposed 3% pay rise will be reduced for each 0.1% increase of sickness absence above 2.6%. The deal also provides for a 2% productivity bonus, increased on-call allowances (from £90 to £120 a week) and increased minimum paid call-out attendance (from three to four hours).