Co-op dispute laid to rest

Sustained industrial action by members of the T&G and GMB unions has resulted in an improved pay deal at Co-op Funeralcare.

Following what the T&G described as "significant movement in negotiations", the company's original offer of a 3.5% increase was revised to 4.2% backdated to January 2004 - raising the offer's effective value to 4.9%. This was approved in a ballot earlier this month.

The deal also includes:

* increases of at least 10% in inner and outer London weighting from 13 January, plus a commitment to review the London weighting boundaries;

* annualised contracts to be based on an average of 45.5 hours, although core hours remain at 37.5;

* changes in the constitution of the Joint Consultative Committee, so that the company will no longer meet the signatory unions individually in collective bargaining; and

* a change in the agreement's review date, from March to January.

Furthermore, the Co-op has agreed to sit down with the two unions and resolve outstanding grievances from the dispute.

"This is a powerful victory for the GMB and the T&G," said GMB national secretary Phil Davies. "It places us in a powerful position to go forward with a positive agenda."