Communication Workers Union, North East Region

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VOICE AND e-VOICE

 

 

 

Voice, the union’s flagship member’s magazine is in the process of being distributed to members.  For the first time the magazine is now available in digital electronic format in addition to the usual printed version. 

 

The e-Voice will be email broadcast direct to members where we have existing email addresses.  In addition the magazine will be available in digital format on the union’s website, cwu.org 

 

It is our intention to make every edition of Voice available in both formats and in the longer term to provide choice for CWU members to determine in which format they want their magazine delivered.   Obviously, the introduction of the digital version is a further modernization of the union’s communications and a further extension of our portfolio of communication tools aimed at maximizing our messages to the widest possible audience.  

 

Below is a live link to e-Voice. 

 

Postal Live Book -

 

http://europe.nxtbook.com/nxteu/centuryone/postal_20100607/

 

 

This is not how the email broadcast will work in practice but is submitted in advance to ensure branches have direct copies.  The live emails to members will show the front cover of Voice.  The records department has submitted email addresses and these should be industry based.   The emails are not sent direct from CWUHQ because of difficulties that may cause with our server.  

 

This first version is obviously the first full live testing and there will inevitably be some teething problems.  The digital format used is at the front end of available technology and this edition should be seen as a live test run. 

 

The magazine will load and then open the link with the full magazine from the front page.  Page turning is carried out by clicking or dragging the corners of pages, a zoom and read facility is highlighted on page but can be shortcut by simply clicking on the page.  This works for zoom in and out.  Videos clearly have a start button and pictures include some slideshows that are generated automatically.

 

It is our intention to continue to improve our communications, modernize our portfolio and engage with an increasing number of members through widening access points to our communications.  e-Voice is a key step in achieving those goals.

 

 

 

PENSIONS

 

 

In expectation of imminent pension developments it is appropriate to up date Branches and CWU members on the current position.

 

We have now passed the 30th June date that was seen as a deadline for agreement between Royal Mail and the Trustee Board on the pension deficit and the need to fund this. As reported earlier in the year, we expect the latest valuation to show the actual deficit to be announced at around £10 billion.

 

The Continuing Relevance of "Time to Deliver"/CWU Solutions

 

At this juncture it is important to remind ourselves of the substantial work carried out by the Union in our document entitled "Time to Deliver" which was published in January 2010. At that time "Time to Deliver" argued for the Labour Government to act on its morale obligation and take responsibility for the pension deficit. In "Time to Deliver" we also set out CWU solutions, commented on the Hooper Report, gave an overview of legal and state aid issues and made the case that it was possible for Government to resolve pensions without privatisation or legislation.

 

We still believe that calling for a 40 year repayment schedule alongside a crown guarantee, remains relevant and should continue to be the cornerstone of Union policy. This would secure our members' existing and future pension arrangements without further detriment to benefits, whilst at the same time transform and stabilise the company's finances both now and in the future.

 

Next Steps

 

We anticipate the actual pension deficit being announced very soon and that this is likely to coincide with the company and the Trustees making real progress on a repayment schedule. We also anticipate that the Pensions Regulator will take a view as to the sustainability of any proposals to fund the deficit. This in turn will reignite the Government debate.

 

Whilst at this stage we cannot be certain of exactly how the Government propose to deal with the deficit, we should assume that they will argue that a pensions solution must be directly linked to other recommendations in the Hooper Report and will therefore use any intervention to publicly push their privatisation plans.

The CWU has never accepted such a linkage, as is clearly shown in the 'Time to Deliver' extracts below. We believe a solution to the Pensions Deficit is simple justice for the workforce, and must be implemented outside of other Government policy ambitions.

 

In further meetings with Government, Royal Mail and the Trustees, the Union will continue to highlight our proposed pension solutions at every opportunity, whilst continuing to oppose privatisation. The fact that the Government is the sole shareholder of the Royal Mail Group, it is inevitable that the Government will be called upon to be part of any solution.

 

In the last couple of years the Union has continually pressed all stakeholders, including Government, to recognise the need to address the pension problem within the Royal Mail Group. The cornerstone of our policy has been to call for an extended 40 year repayment schedule, alongside what is known as a Government Crown Guarantee. This would secure our members' existing and future pension arrangements without further detriment to benefits, whilst at the same time transform and stabilise the company's finances both now and in the future.

 

The pension deficit is soon bound to be in the public domain. The Government will take the opportunity to intervene and insist that pensions is again linked to other recommendations in the original Hooper Report and then use this link to push forward privatisation.

 

The Union will continue to call for a Government led solution, as set out in our above mentioned policy and strongly make a public case that this can be resolved without the need for privatisation or legislation.

 

EXTRACTS FROM CWU PENSION DOCUMENT ENTITLED "TIME TO DELIVER"

PUBLISHED IN JANUARY 2010

 

SUMMARY

● The Hooper review of postal services concluded that Royal Mail's pension deficit is a significant constraint on the business and poses a threat to the universal service. It argued that the best long-term solution would be for it to be managed by central government.

● The government's decision not proceed with the Postal Services Bill has meant this vital pension reform has been shelved. This position is untenable. The government must take responsibility for the deficit if the industry is to succeed.

● Members of the Royal Mail Pension Plan have contributed to improving affordability of the scheme through the reductions in their benefits introduced in 2008.

● Royal Mail is currently paying £280m each year to service the deficit alone. Adam Crozier has suggested that the deficit may have tripled to £10bn at the latest valuation. This will mean Royal Mail is unable to make the revised necessary level of repayments.

● Lord Mandelson has recognised that the government has a moral obligation to fund the deficit, but he suggests the public would not accept this argument without being assured of the future transformation of Royal Mail.

● The government must show political leadership, explain its moral obligation and act upon it.

● Debate around the Postal Services Bill shows that all parties agree that the pension deficit must be tackled if the company is to have a future.

● The decisive issue is not 'modernisation', 'transformation' or 'EU competition law'. The key is whether the government has the political will to honour its obligation to the industry and the workforce.

● There are a number of ways the pension deficit could be dealt with. These include, but are not limited to: an extended repayment period; a 'crown guarantee'; or, direct repayments.

● The deficit can be dealt with under existing legislation. The Postal Services Bill offered only one particular route. Avoiding legislation would mean the deficit could be dealt with quickly.

● The 2009 Labour Party conference unanimously passed a motion calling on the government to take on its responsibility for the deficit and to resolve the matter immediately following conference.

● It is now time for the government to act. It must take on responsibility for Royal Mail's pension deficit.

 

FINDING A SOLUTION

 

61 One of the most important conclusions that can be drawn from the debate around the Postal Services Bill is that all parties agreed that the pension deficit has to be addressed if the company is to have a future.

62 Now that the Bill is history, it is vital to act upon the pensions deficit. Current deficit payments are around £280m per year over and above the normal pension payment. If the deficit is the estimate offered in the House of Lords debate - £6bn - then the company faces doubling its payments. If the estimate is in the region of £10bn suggested by Adam Crozier in a Sky News interview on the 22 September, then the company faces its repayments being tripled. Either case is unsustainable. It is therefore crucial that the deficit is addressed as quickly as possible.

63 The CWU believes that the decisive issue on this is not 'modernisation', 'transformation' or 'EU Competition Law'. The key is whether the government has the political will to honour its obligation to the industry and the workforce.

64 If the will is there then there are number of ways to resolve this problem. These could include: agreeing a much extended repayment period which is long enough to allow the industry to function; providing a Crown guarantee on the deficit; or, direct government repayments to the fund. Doubtless there are other methods the government could employ once it chooses to do so.

65 It is important to stress that the deficit can be dealt with under existing legislation. The Postal Services Bill offered a particular route to deal with the deficit at the same time as Royal Mail was being legally restructured. This was convenient for the government, but not essential. After the Bill, the issue remains as important as ever. Avoiding, if possible, legislation means that the matter can be dealt with due speed.

66 Whatever the method finally chosen by government the issue of European Commission will have to be addressed. In the debates around the Bill the government confirmed that it had had preliminary discussions with the European Commission. No amount of questioning in the debates, or direct to Ministers outside the debates, was able to draw out how the Commission had responded. But the fundamental view presented by government spokesperson was that a 'transformation' of the industry is essential to win the Commission over. As pointed out earlier, this is not identical to privatisation, or exclusively linked to it.

67 The fact is that Royal Mail have been undergoing a series of restructuring initiatives since 2001 in parallel to a liberalisation of the postal market. It is also true that the current 'modernisation' negotiations between Royal Mail and the CWU amount to a further transformation, or restructuring, of the industry. It is only necessary for the government to marshal the arguments in this case in anticipation of addressing the Commission in future.

68 One way of achieving this would be the proposal summarised in Annex A. This has been prepared for the union by Thompsons Solicitors. Further proposals can be found in the annex produced for the union by Hilary Salt, see Annex B. We believe there are other routes which could be examined, once the government demonstrates the will to resolve the problem.

Royal Mail Pensions: Time to Deliver 17

69 At the Labour Party Conference 2009, the following emergency motion was carried unanimously: "Conference notes that, in an interview screened on Sky news on the 22nd September, Adam Crozier, Royal Mail's CEO, suggested that Royal Mail's pension deficit may have reached £10bn. The Trustees of the scheme met on Thursday, 24th September, but did not announce the level that the deficit had actually reached. Conference recognises that it is vital to achieve an early end to this destabilisation of the industry which could only alarm postal workers, and customers of the service. Conference therefore calls upon the Government, as sole shareholder, to take on its responsibility for the deficit and engage with all the stakeholders to resolve this matter immediately following Conference".

70 To date the government has yet to act upon the decision of the whole Party. Yet Conference was clear on the urgency of this issue - it wanted to 'resolve the matter immediately following Conference'. All that now remains is for the government to act on this in line with this generally understood obligation to do so.

 

 

Business Transformation 2010 and Beyond Agreement

Pay Related issues

 

 

The following is important information associated with pay aspects of the agreement.

 

General Approach/Royal Mail Pay Directives

 

In common with all changes to pay arrangements, Royal Mail issue a series of detailed pay directives that enable relevant changes to be made to the payroll system. 

 

To ensure a more joined up approach we have now agreed a new process that will apply to sharing future pay directives.  This provides an opportunity to discuss the content of the pay directives before they are issued.

 

Both parties also recognise the scale and logistics of the tasks involved in accurately implementing the pay elements of the agreement.  Therefore, it is likely that from time to time this will require further discussion and clarification.

 

Implementation of New Basic Pay Supplements

 

We have agreed a target date of 7th June, for switching over to the new functional basic pay supplements.  However, the actual date is dependent upon finalising some operational deployment issues and crucially the successful testing of changes that need to be made to the payroll system.  These payroll changes involve cross referencing the records of all employees to ensure they are correctly tagged to their relevant function and therefore receive the appropriate basic pay supplement.  This work is currently being undertaken by Royal Mail.  Further information will be issued in due course. 

In the meantime, we can also confirm the following relating to implementation of the new basic pay supplements:-

 

Operational Support Grades will receive the full supplement (pro-rata for part time employees) relevant to the function that they work in. 
 

The new supplements will be treated as non-pensionable basic pay and will be subject to the usual basic pay rules.  For example, they will be paid for up to six months for employees on long term sick leave; they will also be abated where individuals have purchased additional days leave. 

For Mail Centre employees, where their new basic pay supplement is higher than their previous PBS/ICS payments, or where their new supplement is being funded entirely by ESOS, the supplement will be backdated to the 5th April. We are awaiting a site by site summary from Royal Mail to clarify the exact Mail Centre units who qualify.

 

The £400 Lump Sum linked to ratification of the Agreement

 

We have also received a number of enquiries relating to this lump sum.  As a result we can issue the following clarifications.

 

In the final draft of the agreement it has been pointed out that whilst all other payments stated they would be paid pro-rata, this was not the case for the lump sum linked to ratification of the agreement.  Unfortunately, this was an oversight and neither party singled the £400 payment out in our discussions for different treatment.  Therefore, we have had to accept that the previous colleague share rules apply and that this was the spirit of our agreement with Royal Mail. 

However, we can advise that in pro-rating these payments for part timers, this has been based on actual hours that part timers have worked over the previous 12 months, not their contractual hours.  This explains why some individuals have received higher pro-rata payments than their contractual hours.

 

Following further discussion with Royal Mail the eligibility for the £400 lump sum will now be based on employees being in post on the 31st March 2010.  Royal Mail has agreed to retrospectively revisit the eligibility criteria and now pay new joiners and people on career breaks during 2009/10. 

 

 

BUSINESS TRANSFORMATION - 2010 AND BEYOND

 

 

The membership have spoken, and endorsed the new agreement in the recent ballot, click here to see the details of question 1, click here to see the details of questions 2.

 

Click here to download the full agreement.

 

 

 

Missed the Voice:

 

 

Click on the picture below to download the latest edition.

 

 

 

 

The new fit note and it's application

 

 

Royal Mail Group are issuing briefings for all Managers within Royal Mail Letters, Parcelforce and Post Office Limited setting out key information on the introduction of the new ‘Fit Note’ procedure.

 

The main changes to the existing sick note are:

 

A new option for the Doctor or GP to advise if an individual may be fit for work with some modifications to the work or work place

Space for a Doctor to provide information on how an individuals condition will effect what they do

Tick boxes for the Doctor to use to suggest common ways to help a return to work, these options are to return to work, altered hours, amended duties and or work place adaptations

 

The new ‘Fit Note’ is still not required until after the seventh calendar day of sickness, up until then sickness is still self certificated as it is now.  Information on the form is still advice to the individual it is not an instruction to the employer and obligations under the disability discrimination act has not changed.

 

A meeting was held with Royal Mail Group on Monday the 22nd March 2010 and additional wording has been placed into all of our existing attendance procedure agreements to accommodate the new ‘Fit Note’ procedure.  Branches should be aware that although additional wording has been placed into the procedures there are no other alterations in respect of how the attendance procedure should be applied.  Royal Mail Group intend to produce a questions and answers document covering a whole range of questions that may materialise on the introduction of this new system.  Once the business sends CWU Headquarters a copy of the questions and answers we will communicate a copy to all branches.

 

"The New Fit Note" - Statement of Fitness for Work - DWP Guidance for Employees, Employers, GPs and Hospital; Doctors:

 

The DWP has finalised and published guidance on the 'New Fit Note' for

 

Employees,

Employers,

GPs and

Hospital; Doctors.

 

Some important points from the DWP 'Fit Note' guidance:-

 

Return to work tick boxes

Where a doctor has advised that the employee may be fit for work they will include some comments on their patient’s condition and, where appropriate, will tick one or more of the four tick boxes on the Statement. These are common ways to help someone with a health condition return to work. The tick boxes are:

 

Phased return to work. A doctor will recommend this where they believe that an employee may benefit from a gradual increase in the intensity of their work duties or their working hours.

For example, agreeing that:

 

An employee following an operation could return to work on reduced hours, gradually increasing to their normal hours over an agreed period of time; or

An employee with a back or shoulder problem, whose job involves lifting, gradually increases the quantity or intensity of their work. This could help them return to work earlier whilst rebuilding their capacity for manual work.

 

Altered hours. A doctor may recommend this where they believe that an employee will benefit from a change to the hours that they work, in order for them to return to work. This does not necessarily mean working fewer hours.

For example:

Providing the option to start (and/or leave) later could support someone who is unable to drive and struggles with rush hour public transport to continue working.

Allowing more flexible hours could support someone who is still receiving treatment to return to work and attend treatment sessions during working hours.

 

Amended duties. A doctor may recommend this where they believe your employee may be able to return to work if their duties are amended to take into account their condition.

 

Examples of amended duties:

 

Removing heavy lifting from the job of someone who has a back injury could help them return to work whilst recovering from their injury.

Reducing or removing a more pressured part of a job role (such as dealing with complaints), could help someone off work with stress return to work.

 

Workplace adaptations. A doctor may recommend this where they believe your employee may be able to return to work if their workplace is adapted to take into account their condition.

Examples of workplace adaptations:

 

A ground floor workstation for an individual who has problems going up and down stairs (this may occur in cases of arthritis, for example).

Arranging for a parking space near the entrance to the workplace, could help someone who has reduced mobility post surgery return to work.

 

Revised workplace risk assessment and TU Rep involvement

In determining what action an employer is able to take as a result of advice given on a 'fit note', they will need to consider whether a revised workplace risk assessment is required and to keep it under review. The guidance recommends that

It may be helpful to discuss this process with the employee or their Representative.

 

Disagreement and TU Rep involvement

The guidance recommends that the employers aim should be to ensure that both the management and the employee are comfortable with the support that is being offered. If there is disagreement the employer may wish to suggest that

the employee seeks advice from their trade union or an advice centre.

 

The TUC have reported that the DWP guidance attached has greatly improved following their input and now make reference to employee and trade union rep/safety rep involvement.

 

 

Click the links below for:

 

An example fit note

 

DWP Guidance to employers

 

DWP Guidance to GP's

 

DWP Guidance to Hospitals

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