British Gas Proposed Changes to Terms and Conditions Negotiations Update 08/20

We have now received the full set of proposals from the business and although some detail is still lacking, we have enough information to be clear about what the impact is on you as an employee of British Gas and a UNISON member

The summary of the main proposals is on the second page of this UNISON note. These contain only the highlights of the key issues.

We asked members in June (following the opening announcements from the business) to indicate your strength of feeling and what mattered most to you. Members were very clear that they were angry at the headline proposals and by a significant majority (97%) would support the union going into dispute with the business including also supporting full industrial action (91%)

UNISON is of the opinion that the package of measures proposed by Centrica/British Gas represents a significant detriment to you. During negotiations which have only just begun, we are seeking to improve the areas of detriment. We do however recognise the sheer scale of changes proposed and we are concerned that the business is not open to genuine negotiation or open to positive suggestions of change.

For that reason we are now moving to further understand your views as UNISON members and particularly your views on supporting UNISON moving to formally ballot members for industrial action. These views are important because if we are unable to improve the company proposals or members reject any revised proposals we would need to ballot formally for industrial action. For any ballot to be lawful, more than 50% of those eligible to vote (members) need to respond. We also need to be clear that the UNISON membership is fully on board and supportive of this stance and that we have the strongest mandate from you as members which will strengthen our hand.

The following link will be open for 7 days. Please go online and complete the questions asap. Please make sure your members colleagues have also completed this so we can drive participation up and get all members to respond.

Survey

We will update you if any progress is made during negotiations. UNISON is not seeking a dispute with your employer. It is the actions of British Gas that have led to this dispute with you. We thank you for your continued support and ask for your solidarity in the days and weeks ahead.

Summary of Key Changes that British Gas is seeking to impose on Staff.

Base Pay

Almost all staff will have their Base Pay frozen. For how long will depend on the difference from your existing pay level a new set of pay points fixed to a new market aligned rates. The bigger the gap the longer your pay is frozen but our early estimates suggest most staff will have pay frozen for 6-8 years and some by much longer.

Flexsa and Incentives

Flexsa allowances are to be totally removed and with it the value of purchasing benefits through this arrangement. Other incentive rewards are to be reduced although the impact is variable, overtime rates reduced to plain time and unsocial hour’s payments for evening and weekend work to be abolished. Night working payments are retained and a new share scheme / company bonus to be introduced.

Annual Leave

An immediate move to a standard 25 days plus bank holidays. Those who had more than 25 days will simply lose the additional days. 5 additional days can be purchased at your own expense from base salary.

Working Hours

An increase in the working week from 37 hours to 37 ½ for office based staff and to 40 hours for field based staff. This increase is without additional remuneration so is in effect another pay cut because your overall hourly rate decreases. Operational working hours will be 6am-11pm, 7 days a week.

Redundancy

Removal of the enhanced GSSO contractual redundancy terms to be replaced with a less generous but not defined package. The business is saying it will change its package according to circumstances at the time.

Health and Wellbeing

A reduction in overall sickness benefits to be applied with a further requirement to sign up to the Centrica private healthcare insurance plan. This plan is presented as being mostly free to staff (apart from a tax charge) but is actually costing employees some £4/5 million as its total cost is deducted from the overall reward package staff already get. If you refuse to sign up to the private health insurance you will only eligible for statutory sick pay which is a significant detriment.

Pay Date Change

Moving the pay date to an end of month position which would be four weeks in arrears. Currently you are paid mid-month 2 weeks in advance and 2 week in arrears. The move from one position to another, means a one off 6 week gap between pay dates. To cover those extra 2 weeks, the business proposed making a payroll loan available to be paid back over 9 months.

Contracts of Employment

Contracts of employment are to be changed and simplified but critically, the right for trade unions to negotiate future changes is largely removed meaning the business will be able to change terms in future simply by informing you of them. This opens the door to worse things happening down the line.

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