Labour Research (September 2000)

Features: News

Bank staff watch franchising trial

Staff at former building society Abbey National, who are represented by

the TUC-affiliated union ANSA, face the potential of branches being

franchised out next year if trials currently being conducted are judged

a success. The union is watching carefully to ensure that any full-scale

franchising would not cut across nationally agreed terms and conditions.

Abbey, which has recently been the subject of takeover rumours, has

around 750 branches employing around 8,000 staff. In four areas -

Cardiff, Newcastle and two areas in London - the bank's existing

business sales managers (formerly area managers) are being offered the

chance to act as franchisees. This gives them responsibility for

staffing, marketing and the format of their branches.

ANSA chair Paul Day said what the union wanted to know was: "Would

franchises set their own terms and conditions or would they (the

national terms and conditions) be part of the franchise?"

He told Labour Research that, as the trials proceed, the union will be

looking to see whether adherence to the national terms

could be a condition of franchises.

The union wants to know who would be the employer in franchised

branches, whether transfer of undertakings provisions (TUPE) would apply

and whether union recognition would be affected.

Day also said he was concerned over the impact of franchising on career

development opportunities, re-deployment and transfers between branches,

as well as the effects on the several thousand support staff who are

employed outside the branch network.


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