Penny pinching bosses at Capita’s life and pensions division were being urged to drop a ‘derisory’ pay offer resulting in a real terms pay cut for 75 per cent staff after the firm posted half year results today (Wednesday 27 July) showing an eight per cent increase in underlying pre-tax profits to £285.3 million.
More than 920 members of the Unite union, working for Capita life and pensions across the UK have been involved in an ongoing pay dispute, which has seen three days of strike action causing disputation to Capita’s blue chip clients, including Abbey Life, Aviva, Prudential and Royal London.
Capita bosses are seeking to press ahead with plans for a 1.5 per cent ‘pay pot’ to be distributed to staff through a ‘flawed and opaque’ performance related grading system which will divorce pay increases from the cost of living.
Commenting Unite national officer for finance Dominic Hook said: “Profit hungry bosses need to drop their penny pinching pay plans and enter into meaningful talks over pay.
“Our members have grown increasingly angry at having to endure pitiful rises and a future of real term pay cuts, while Capita makes huge profits off the back of their hard work.
“As these financial results demonstrate, Capita can and should be offering a decent pay rise which is based on fairness. It’s time Capita recognised the hard work of its workforce and played fair on pay.”
For further information please contact Unite head of media and campaigns Alex Flynn on 020 3371 2066 or 07967 665869 .
Notes to editors:
Unite is Britain and Ireland’s largest trade union with over 1.4 million members working across all sectors of the economy. The general secretary is Len McCluskey.