Big ‘YES’ to Santander pay deal worth 6% plus for most
Santander January 26 2024
Members across Santander UK have voted by nearly nine-to-one to accept a CWU-brokered one-year pay deal that delivers total average increases exceeding 6% for the vast majority of CWU represented grade employees, a cash lump sum and one extra day off for everyone in 2024.
The settlement – which was ratified by 86.8% of members casting their vote in a consultative ballot that closed at noon today (Friday) – includes a minimum pay award of the greater of 4.5% or £1,300 (pro-rata for part timers) for all S1-2 grade employees – notwithstanding the Bank’s existing Pay Progression arrangements.
For the majority of members that increase is fully consolidated – though for those already earning above the maximum of their pay range the award is either be unconsolidated or split into consolidated and non-consolidated elements as appropriate, unless special ‘protected arrangements’ apply.
Taken in conjunction with a new minimum entry level (S1:P1) salary of £22,400 – an uplift of 5.7% on the current £21,200 – and 5% and 4% respective minimum increases (automatically consolidated) in the S1 and S2 pay range midpoints, most of those in the two most populous CWU-represented grades will receive overall rises averaging 8.5% and 6.1% respectively on March 1.
In line with the union’s objective of securing further cash payment for all members, the package includes an unconsolidated lump sum that will be paid next month (February) – a month prior to the pay award becoming effective – to all CWU-represented grades. Worth £450 for S1s, £400 for S2s and £300 for S3s, S4s and S5s, that payment is not pro-rated, and will therefore be paid in full to part-timers,
Importantly, the settlement maintains a pay progression scheme previously negotiated by the union for S1 and customer facing S2 grade employees in Santander UK that is unique in the banking industry.
And, in a sector where performance-related rises are the norm, the headline pay deal is crucially not performance-related – applying to everyone apart from those with a 2023 performance rating of ‘Not Achieved’. The CWU successfully argued, however, that those individuals will still qualify for the cash lump sum payment, which will be paid to all in the collective bargaining group.
For S3 band colleagues the deal on the table provides for fully consolidated rises of 3.5% up to individuals’ pay range maximum (unconsolidated after that) and targeted increases to salary range midpoints – delivering average pay increases of 4%.
Other highlights of the deal, which is set out in detail in Santander Members’ Bulletin No.01/2024, include:
- An improvement to Santander’s already industry-leading family friendly policies that extends fully paid Company Paternity Leave from 3 to 4 weeks – meaning a total entitlement to 6 weeks Paternity Leave (2 weeks Statutory and 4 weeks of fully paid Company leave)
- The same increase applying to Adoption Leave, also coming into effect on March 1
- An additional one-off day’s leave in 2024 for all S1-S5 colleagues.
Thanking members for their overwhelming ratification of the deal, CWU Telecoms & Financial Services (TFS) Executive member and Santander National Committee chair, Gordon Johnston – who led the union’s team in intensive talks with the Bank – told CWU News: “Against a backdrop of strong third quarter financial results, tempered with inflation continuing to fall, the CWU’s objective from the outset of the 2024 pay talks was to negotiate an award that fairly recognises our all members’ contribution to Santander’s performance.
“Our other key objective was the negotiation of a further cash payment for all grades across the Bank to support members with the continuing challenges of the cost-of-living.
“It’s the firm view of the Santander National Committee is that we delivered on both counts – securing a strong final offer that compares favourably with other pay deals in the sector.
Santander National Committee vice chair and Bootle Financial Services Branch secretary Tracey Griffiths agrees, concluding: “The Santander National Committee has no doubt that this is was best pay deal that could have been negotiated.”