Our Ref: BR4/15/4
18th April
Dear RMT Member,
RATES OF PAY & CONDITIONS OF SERVICE 2024 — NETWORK RAIL
Further to previous correspondence, please find below a summary of the offer made to your negotiating team by Network Rail today:
- Length of the Offer: Network Rail offered a 1-year deal.
- Pay: Network Rail offered a 3.5% pay increase, saying it would be a real-term increase based on average expected inflation of 2.1-3.1% for the year ahead. It has always been the case that pay offers have been based on RPI for November of the previous year. RPI was 5.3% in November 2023. The RMT rejected this on the basis that using forecast inflation rather than the November RPI figure for negotiations is wrong.
- Minimum Uplift: The company rejected our claim for a minimum uplift.
- Bands 5-8 Pay Cap: Network Rail had previously committed to removing the cap on Bands 5-8 salaries but have removed this from their offer.
- No Compulsory Redundancies: Network Rail rejected our claim to extend the current No Compulsory Redundancy offer that is due to end on 31st January 2025
- Family Friendly Policies: Network Rail accepted our claim for an improved premature baby policy and has proposed an increase of 1-day extra leave for parents of premature babies. They have indicated they are open to discussing other family-friendly policies separately.
- Expenses: Network Rail proposed a common expenses policy with this being the current Network Rail policy with no proposed increase to any of the amounts.
- PDTA and Mileage Payments: Network Rail proposed harmonising the amounts rather than increasing them, as per the RMT claim, although they were not prepared to deal with this as part of the pay talks.
- Reduction in the Working Week: Network Rail rejected the RMT requests regarding a reduced work week although said that they would meet separately to the pay deal to discuss those who have contracts greater than 35 hours.
- Bands 5-8 Contracts: A working group will continue but will be dealt with outside of the pay talks. In the initial discussions, Network Rail offered the removal of performance-related pay for Bands 5-8 for the duration of the pay offer only to withdraw this in their pay offer.
- Travel Facilities: Network Rail rejected an improvement in the current travel facilities.
- Bonus Scheme: Network Rail rejected our claim to scrap the bonus scheme.
- London and South East Allowance: Network Rail rejected our claim for an increase in London and South East allowances as they thought that these were already fair.
- Annual Leave Increase: Network Rail rejected our claim for improvements to annual leave but proposed instead the ability to sell, buy, and bank annual leave.
- Grade 10 Signaller and Grade 11 Supervisor: Network Rail rejected our claim to raise the grading structure to Grade 10 for Signallers and Grade 11 for Supervisors. They said that they would continue discussions in the job evaluation forum. The job evaluation forum exists to regrade existing roles. This forum cannot renegotiate the grading structure.
- Pensions: Network Rail said that it would be unaffordable to improve pensions and rejected this.
- Managed Stations: A working group will continue at the National Operations Council but will be dealt with outside of the pay talks.
- Signaller General Purpose Relief Premium: Network Rail rejected our claim for an increase to the premium from 4% to 10%.
- Union Learning Representatives: Network Rail said that this is a mutual area of interest that they would like to discuss separately away from pay talks.
The offer has been formally rejected by your Union. I have written today to the company following the rejection of this offer seeking fresh negotiations and for the company to table an improved offer for your consideration.
I will keep members informed of any further developments once I have received a formal response from the company.
Yours sincerely
Michael Lynch
General Secretary