Capita workers in overtime ban to defeat ‘poverty pay’

Capita workers in overtime ban to defeat ‘poverty pay’

02 June 2016

Over 920 life and pensions workers at Capita will be starting an indefinite overtime ban tomorrow (Friday 3 June) after voting by 90 per cent in support of industrial action in a dispute over a below inflation pay deal, Unite, the trade union for finance workers said today (Thursday 2 June).
Capita workers based in Belfast, Birmingham, Bristol, Bournemouth, Glasgow, Manchester, Reading and Stirling voted by 90 per cent for industrial action short of a strike, and 75 per cent in favour of strike action after roundly rejecting the firm’s pay offer.
The overwhelming mandate means that the dispute will escalate towards strike action unless the company agrees to return to the negotiating table warned Unite. Such a strike would inevitably lead to a disruption of service to some of Capita’s major clients, including Prudential, Royal London, Guardian, Abbey Life, Met Life and Aviva.
The dispute follows a ‘derisory’ pay offer which would have resulted in a real terms pay cut for 75 per cent of staff. Capita had proposed a 1.5 per cent 'pay pot' which would have been distributed to staff through a flawed and opaque performance-related grading system, which only serves to divorce pay increases from the cost of living.
In 2013, Capita members took successful strike action over pay following a 65 per cent rejection of the proposed deal.
Dominic Hook, Unite national officer for finance, said: “This overwhelming mandate for industrial action sends a clear message that Capita simply cannot ignore. Our members will not accept a poverty pay deal that results in a real terms pay cut for 75 per cent of staff.
“Unite has served notice of an indefinite overtime ban and this will be escalated towards strike action, if Capita do not prove itself willing to return to the negotiating table with a fair pay offer that reflects the hard work of our members.”
For further information please contact the Unite press office on 020 3371 2065 or Unite head of media and campaigns Alex Flynn on 020 3371 2066 or 07967 665869.

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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.