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ADVICE TO TfL PAY BAND 1 STAFF REGARDING PfP AND PAY

25 February 2015

In August 2014 TfL imposed new pay arrangements for Pay Band 1 staff below threshold and in November 2014 they wrote to all PB1 staff, giving you one of two options: - To remain on the current spine points pay range - To move across to the new Pay for Performance system

Band 1 staff were highly dissatisfied and angry with TfL’s PfP proposals and the options available to them, which will make it much harder to gain meaningful consolidated pay rises in the future. On advice from their unions many staff refused to respond to TfL’s “choice” of the two options, forcing the employer to extend the deadline for responses until 28 February.

The new deadline is fast approaching and many Band 1 staff have approached their unions for guidance. Your unions remain entirely opposed to Pay for Performance which has now been imposed – against the express wishes of the vast majority of TfL staff. Nonetheless, we recognise that in the face of the employers’ arrogant decision to impose PfP, it is the responsibility of your unions to give you guidance regarding how these two options would impact upon your future salary.

Below we have outlined the two options and their impact upon staff, depending upon your current place on the spine point scale. Your unions do not accept PfP, nor the employers’ bullying behaviour and their decision to impose this deeply flawed and unfair pay system. Nonetheless, we recognise that TfL has placed its PB1 staff in an impossible situation and YOUR UNIONS THEREFORE ADVISE OUR MEMBERS TO RESPOND TO TfL’S ULTIMATUM UNDER PROTEST, outlining which of the two options you have selected.

If you have any further queries about this matter, please contact your local rep or full-time union officer.

 

GUIDANCE FOR PB1 STAFF BELOW THRESHOLD (ON SPINE POINT 13 OR BELOW)

This applies to staff with an annual salary of £27,902 or below. (This shows as “Period end salary” under MESSAGES on the lower right hand corner of your latest payslip)

1) If you remain in the existing pay framework and do not move to Pay for Performance (PfP), you will automatically progress to the next incremental spine point each year, subject to good performance (=3 or above), until you reach spine point 14. This will mean an annual pay increase of a minimum o 3.3% (or 2.7% from spine point 13 to 14).

2) If you move to Pay for Performance (PfP) you will no longer progress through the spine point structure and therefore you will not be awarded the automatic increases described above.

If the trade unions negotiate a consolidated cost of living increase with TfL this would be added to your salary if you achieve a performance rating of 2 or more. However, given the current low inflation environment, even a cost of living increase that matches RPI (Retail Price Index) is highly unlikely to be more than the guaranteed pay increases achieved through spine points.

On balance, therefore, your unions believe that it would not be financially advantageous for Payband 1 staff on spine point 13 or under to move to Pay for Performance.

GUIDANCE FOR PB1 STAFF BELOW THRESHOLD (ON SPINE POINT 14)

This applies to PB1 staff on an annual salary of £28,650 (this would show as “Period end salary” under MESSAGES on the lower right hand corner of your latest payslip)

1) If you remain in the existing pay framework and do not move to Pay for Performance (PfP) you will not be able move though any further incremental spine points as you are at the top of the pay scale (under threshold).

If your unions negotiate with the employer to apply any cost of living increase to the level of the highest spine point, or if TfL adjusts upwardly the level of the top spine point, your salary will increase accordingly.

However, if TfL does not apply any cost of living increase to the level of the spine points or market adjust them upwardly, your salary will not increase for that year and you will not benefit from any cost of living increases which the unions negotiate. There is therefore a significant risk that you would not receive any consolidated increase to your salary for a sustained number of years.

2) Under Pay for Performance you will receive any consolidated cost of living increase that the unions negotiate with TfL, providing you achieve a performance rating of 2 or more. This is provided that your salary does not exceed the top of the new PfP Pay Band 1 payscale, currently £30,500, at which point your salary would be capped.

It is therefore important to make an informed decision as to which choice you wish to make, taking into account this information. If you wish to move to Pay for Performance it would be advisable to have it recorded that you are doing so under protest. This could be done when you call HRS to record your request (although HRS say they can’t record it), and would also need to be recorded in writing then you sign the “amendment to contract” letter sent by and returned to HRS.

A suggested form of words is provided below:

“I am opposed to Pay for Performance system and and TfL’s decision to impose this despite the great opposition demonstrated by staff to its implementation. I ask that TfL management engage as a matter of urgency in meaningful and genuine talks with the recognised trade unions to achieve a fair and transparent pay system for all staff in TfL.

However, as TfL has unilaterally imposed Pay for Performance and required that I make a decision regarding my future pay arrangements, I am writing to inform you that, UNDER PROTEST, I wish to:

a) Continue under the existing spine point pay system for Band 1 staff

b) Join Pay for Performance

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