Capita pay up after VMO2 and Tesco Mobile contract members accept CWU-brokered deal 

Telecoms & Financial Services, Capita


Members across Capita’s VMO2 and Tesco Mobile contact centre operations who are covered by the CWU collective bargaining agreement have voted by more than four-to-one to accept a pay deal that delivers a £1,400 flat rate pay rise that will be paid pro-rata for those working more or less than 37.7 hours per week.

Thrashed out against the difficult backdrop of large-scale redundancies across the VMO2 contract, the settlement is fully consolidated for those earning less than £30,000 pa – fulfilling, for around 70% of the workforce, one of the CWU’s key negotiating aims that the deal should flow through to redundancy entitlements.

For those earning more than £30,000, the settlement will be paid in two lump sum instalments – the first in November’s wages and the second in the January 2024 pay cycle – with the company ultimately conceding that if any of that group leaves the company within the instalment window, that Capita will pay a pro-rata proportion of the relevant sum.

Commenting on members’ 85% acceptance of management’s final offer in  consultative ballot that closed this morning (Monday), CWU national officer Tracey Fussey told CWU News: “This year’s pay talks have been exceptionally challenging – with the union’s national negotiating team acutely focussed throughout on the fact that many  members on the VMO2 contract will be exiting the company via redundancy over the next few months, or redeploying to other contracts in Capita where the CWU is not recognised for collective bargaining purposes.

“As such, our primary goal was on achieving a decent a pay rise for ALL members, whether they are leaving or staying.

“While we remain disappointed that we couldn’t ultimately persuade Capita to consolidate the rise for 219 its longest-serving and most experienced employees, the concession we secured on the pro-rata apportionment of the lump sum payments for higher paid individuals who leave the company within the instalment window has at least gone some way to narrow the gap.

“Today’s (Monday) ballot result demonstrates that members have appreciated the complexity of this extremely challenging situation – and above everything I’d like to thank them for their patience and resolute support for the national team’s negotiating position throughout the discussions.”