BT makes pay agreement with union over 47,000 employees wages
BT has announced it has reached agreement with the union CWU’s leadership on a new pay package that will cover more than 47,000 employees and give both them and the company wage certainty until January 2017.
The package, which has been agreed by the union’s executive, will now be recommended to union members in a consultative ballot which will take place within the next few weeks.
Under the agreement, ‘team members’ at BT will receive a 2.0% increase to their base pay from April 1, 2014 along with a flat rate increase of £200 which will be fully consolidated and pensionable. This will see the majority of employees receive an effective increase of between 2.5% and 3.2% in year one.
Team members will then receive a consolidated and pensionable 2.5% increase to their base pay and pay-related allowances in both April 2015 and April 2016 with the latter change being effective until January 2017 at which point a new pay review will take effect.
For the year ended 31 March 2014, BT Group’s reported revenue was £18,287 million with reported profit before taxation of £2,312 million.
The agreement provides BT with wage stability for almost three years whilst ensuring tens of thousands of employees are also rewarded for their significant contribution to the company’s success.
Gavin Patterson, BT chief executive officer, said: “BT is going through a period of significant change and this agreement will help as it provides welcome certainty to the company, its employees, shareholders and customers.
“We have announced more than 2,500 new jobs in the UK in recent months and we want to create even more. We want to achieve this by working closely with our unions and I am pleased to say they are working very constructively with us to transform the company and improve the service we offer our customers.”
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