zagiri
Uploaded by
10 SLIDES
232 VUES
100LIKES

Economic Conditions and Pay Claims: Analysis and Recommendations for Staff Compensation

DESCRIPTION

This document outlines the economic conditions influencing pay negotiations and claims for staff compensation, amidst significant government budget cuts and a recovering banking sector. Highlighting a three-year pay deal that promises an above-inflation rise, it details staff preferences for lump sum payments and market minimum adjustments. Key findings from profit growth, inflation rates, and market salary comparisons emphasize the need for equitable pay structures. It calls for the reintroduction of allowance reviews and equal pay audits, aligning employee compensation with market standards.

1 / 10

Télécharger la présentation

Economic Conditions and Pay Claims: Analysis and Recommendations for Staff Compensation

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

Playing audio...

  1. Pay 2011 Mary Alexander National Secretary 27th October 2010

  2. BACKGROUND TO CLAIM • Economic Conditions • Coalition Government budgets cuts of £81 billion. • Return to Profitability of Banks bailed out by state • NAG Outlook

  3. THE THREE YEAR DEAL • Delivered above inflation rise over three years for majority of staff • Staff liked lump sum payment • Group C staff liked underpinning minimum and in year three the removal of discretionary pay

  4. THE PAY CLAIM • September RPI figure of 4.6% for all staff including needs improvement and unsatisfactory • Market references to increase in line with external pay data • All staff to be brought up to market minimum • No discretionary pay for Group C’s • Reintroduction of review of allowances at annual pay negotiations • Increase in salary minimums and maximums to better reflect the market • Equal pay Audit to be concluded and items addressed within year in which salary increase applies

  5. NAG ANNUAL PROFITS • 53% increase in pre-tax cash earnings to £164m from £108m last year • £4.7b of new lending comprising business lending and mortgage advances • Deposit growth of 1.1% to £23b – more than double the UK average growth rate • Charge to provide for bad and doubtful debts – down 18%

  6. Guardians Annual Survey of Executive Pay at FTSE100 Companies • F/T and P/T Directors of FTSE 100 companies shared between them more than £1bn in 2009 • Bonuses from City workers were lower but salary hikes were more than 3 times average 3.1% pay rise for ordinary workers in the private sector • Big rise in Directors pay more than double the rate of inflation • Ratio between bosses’ rewards and employees’ pay has risen to 98:1

  7. RETAIL PRICE INDEX • RPI currently 4.6% down from 4.7% in September • All items index for housing up 4.9% • Petrol and oil up 8.1% • Vehicle tax and insurance up 32.4% • Rail fares up 8.8% • All goods up 4.3% • Oil and other fuels up 21.9% • Travel and Leisure up 6.1% • Motoring expenditure up 8.1% • VAT up 2.5% to 20% in January 2011 • Inflation predictions between 3.9% and 3.6% this time next year

  8. PAY GROWTH • Median pay growth is 2% so far in 2010 compared to 2.8% in 2009 and 3.8% in 2008 and 2007 • Average earnings is 1.8% in the private sector to August 2010 • Pay freezes on the wane • IDS Pay Prospects 2011 show distribution of pay settlements has returned to normal with more increases between 2% and 3% • Recent deals include: • Tesco Bank at 2.5% pay pot with 2% for 95% staff • Axa – 2.1% • Allianz – 2.5% • RBS – 3% pay pot

  9. SOME “MARKET” AND OTHER COMPARISONS • Minimum salary of £12,000 is only 66p above minimum wage • Scottish Living Wage £7 per hour (NAG minimum salary 49 pence less than this) • CSO starting salary NAG - £12,000 • Coop - £12,750 • LBG – Montrose - £12,500, Aberdeen - £13,400, England - £13,500 -£14,200, • Nationwide - £13,450 • Banking Adviser starting salary NAG - £14,812 • Coop – Sunderland - £16,500 • Nationwide - £15,489 • RBS - £15,000

  10. CONTACT CENTRE COMPARISONS • Minimum Market IDS Survey Median • 2010 • NAG Contact Centre Adviser £12,000 £14,026 £15,100 • Senior Contact Centre Adviser £13,020 £16,285 £17,800 • Contact Centre Team Leader £15,009 £18,761 • Contact Centre Manager £18,906 £23,632 • Nationwide £13,500 • Kwikfit £15,600 • First Direct £15,411 Source: IDS Pay Report 1059 Oct 2010

More Related