12 January 2017

No. 001/2017

TO: CWU MEMBERS WORKING IN CAPITA – TESCO MOBILE CONTRACT

Dear Colleagues,

Capita (Tesco Mobile) Pay Review 2017

Members are advised that negotiations have commenced with Capita on the 2017 annual pay review for non-management grades on the Tesco Mobile account.

Two meetings have now taken place between Capita and the CWU negotiating team, led by Brendan O’Brien, National Officer these meetings have been positive in nature but are inconclusive at present.

The CWU presented its case for a fully consolidated increase that is above RPI plus 1% for all grades to flow through to all allowances and increments including any pay and pension protection. The aim being to mitigate the impact of growing inflation.

The CWU team put forward a number of arguments in support of the pay claim, pay falling behind inflation; the Retail Price Index currently at 2.2% and forecasted to continue to rise into 2017; the necessity of retaining an experienced dedicated workforce in a reducing labour market and the considerable contribution made by CWU represented employees to the ongoing Tesco Mobile Partnership success.

Capita responded by giving a current financial overview including that the contract was performing in line with expectation although it had stringent service levels skewed to penalty and that the pay-bill was sitting higher than expected. There had also been significant investment in site facilities, systems replacement and colleague engagement.

A complicating factor in these negotiations is the change of pay review date following the TUPE transfer into Capita. Pay within Capita is reviewed on 1st January, pay in Tesco Mobile was increased in April 2016 and the review period is therefore only nine months.

Further meetings have been arranged with Capita over the coming weeks but with the operative pay review date being 1st January 2017 it is recognised that this date has been missed.

CWU Branches and members will be kept informed of progress, any views or questions can be sent to: .

Yours sincerely

Brendan O’Brien

Assistant Secretary