Skip to main content

Union Mail – September 2014: Location Allowances

Main Content

Location Allowances

I am pleased to report that the annual review of Location Allowances has been concluded. We have agreed the following:

• The allowances for Zones 1, 2 and 3 will be increased by 3%
• Employees who are eligible to receive a Zone 1, 2 or 3 payment will have their allowance increased from 1 September 2014, with a pro-rata back-payment of the allowance to 1 April 2014
• Employees who were in receipt of a higher allowance as at 30 September 2008 will continue to receive that allowance
• The National Plus allowance remains unchanged

Background to the Review

As with any review of this type, it is usual to consider the approach adopted by Nationwide compared to other organisations and to assess the trends in pay and benefits over recent years.

This analysis shows that Nationwide’s allowances compare favourably with other organisations and are towards the higher end of those paid by financial services providers. Most employers have kept payments static for a number of years – a trend mirrored at Nationwide, with the amounts being unchanged since 2008. This analysis therefore suggests the current allowances remain competitive and there are no market factors that are driving an increase.

However, London Allowances have traditionally been paid in recognition of the higher costs associated with working in the capital. There is no doubt that the cost of working in London, particularly travel costs, has increased over recent years. It therefore follows that, if the allowances are to continue to fulfil their purpose, they should keep pace with the increase in costs.

Reaching an agreement that balances these conflicting positions has been difficult. An increase of 3% does not represent the increase in travel costs in London since the allowance amounts were set in 2008. However, it is a significant move in relation to the market trend and continues to keep Nationwide’s allowances with the upper quartile.

Overall we believe this is a good agreement. It recognises that costs must have some part in determining allowance amounts and, in breaking the trend of keeping such allowances static, may prompt further movement in the market – both factors that will be important in determining the approach and outcome of future reviews.

The National Plus allowance has not been changed. This is paid in areas where there are recruitment and retention issues and is therefore linked to market pay and not directly to costs.

Location and other allowances will be reviewed again in the Spring of 2015.

Summary

This agreement now concludes the review of pay and allowances in 2014. The pay settlement, which was based around a ‘pay pot’ of circa 3%, continues to compare favourably with the latest trends. Settlements in the private sector have shown an increase since July but are still averaging at 2.5% and increases in the public sector remain capped at 1%. This means our settlement with Nationwide continues to be amongst the best seen this year.

This additional investment in Location Allowances ends this negotiating round on a further positive note. It means that we have made good progress in advancing the aims of a number of motions about pay and benefits that were passed at our National Conference in October 2013.

Our desire to see a more substantial review of the reward strategy is a constant theme of conversation between us and Nationwide and we will continue to seek progress ahead of the pay review in 2015.

Tim Poil
General Secretary

The revised allowances for employees in job levels 1-3 (non-SE) are:

Zone Zone Description Zone Location Annual Allowance (full time equivalent)
1 Inner London Locations within 5 miles of Charing Cross £4,687
2 Outer London Other Locations between 5 and 10 miles from Charing Cross £3,245
3 London Fringe Other Locations within the M25 £2,060
4 National Plus Hotspot Locations £950

These changes are confirmed in the Joint Statement published on 2 September 2014.

National Executive Committee (NEC)

The nomination period for the vacancy of National Regional Officer (North 1) closed on Friday 29 August. I have received one nomination for Jane Turnbull (Middlesbrough branch) and am therefore pleased to confirm that Jane is elected unopposed for the remaining period of the 2014-2015 term of office.

The vacancy for a National Regional Officer (South 1) remains unfilled. This means that Union members working in the Retail Network Areas in and around London remain unrepresented on the NEC. I’d urge members in Central London, Greater London, North East London, Herts & Essex and Home Counties to consider standing for this important position in the Union’s governance structure.

If you would like to find out more about the position, please call Kerry Wagg, Rep Support Officer, on 01295 710767.

Tim Poil
General Secretary

NGSU News in Brief

Branch Online Talkback

NGSU Reps will be participating in an online talkback with the Branch Network Divisional Directors on 15 September 2014. This continues the dialogue between our Reps and DDs that started at the National Employee Involvement meeting in March. The key topics for discussion are likely to focus on performance management and expectation around referrals and norms, branch working arrangements, resourcing in smaller branches, and the customer service tracker. Please talk to your local Rep about issues you’d like them to raise.

Social Media Policy

We are continuing to have discussions with the Society about its Social Media Policy. We expect to reach agreement on an approach soon but in the meantime we urge all members to exercise great care when posting work related comments. Although the Society does not actively monitor employees’ use of social media it will investigate and take action if comments are brought to its attention that are considered to be damaging to its reputation, which breach data protection rules or infringe copyright, or is bullying of other colleagues.

Please think before you post – your job could be at risk.

Shared Parental Leave

Discussions about Nationwide’s approach to the new shared parental leave regulations are now underway at the Joint Negotiation and Consultation Committee (JCNC). The regulations, which come into effect from April 2015, will enable parents to share leave provisions. Watch this space for further details!

NGSU Forum

The Forum, our online chat room, has been closed for some essential maintenance. We hope that the Forum will be back up and running this month. In the meantime, please accept our apologies for the inconvenience caused.

TUC Congress

The annual TUC Congress is being held over 7-10 September 2014 in Liverpool. As an affiliate of the TUC, our Union is entitled to send three delegates to Congress (delegation size is based on membership). Our delegates this year are: Tim Poil, General Secretary; Gill Grocott, NGSU President; Christine Cooper, National Regional Officer (South 3).

Annual Leave

Just a quick reminder – it’s worth thinking about booking any outstanding annual leave to ensure you can take your full entitlement within the calendar year and on days that suit you. If you need to check the working arrangements for Christmas and New Year they can be found in the Joint Statement published on 18 February 2014 – this can be read on the HR intranet site or in the Member Services section of the NGSU website.

September Draw Winners

First Prize : £11,340

127083 : Clifton Turner of Norwich (St Stephens Street Branch)

Second Prize : £5,000

075207 : Peter Jones of Pensioner Members

Third Prize : £2,000

084568 : Susan Stienlet of Kilmarnock Branch

Fourth Prizes : £500

102180 : Kelly Trueman of Customer Services & Operations (Swindon)

130363 : Steven Gwyther of Slough (Langley Branch)

128621 : Steven Williams of Finance & Legal (Swindon)

Didn’t win this time? Why not increase your chances?
Email the number of chances you would like to ngsu@ngsu.org.uk and we will do the rest.

 

Join NGSU today
Call to action background
Join NGSU today!
When you join NGSU, you're joining more than just a union - you're joining a family with 12,000 other members. Together, we're a loud voice, championing the things that really matter to you at work.