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Co-op Group - Pay 2013

Co-operative Group
Pay 2013

Further to our communication on February 4th, we are pleased to confirm that the NACO Co-operative Group Council Negotiating Team and the Co-operative Group have concluded negotiations for the 2013 annual salary review.

Please read this information carefully before making any decision. A copy of this communication, along with a ballot form, will be posted to your home address. Please contact NACO if you have not received a hard copy by Monday 15th April.

A 2.5% Pay Pot
The final position from the business is of an overall pay pot of 2.5%. NACO recognises that the economic situation continues to be difficult for members and their families. Acknowledging the difficult trading conditions in which we are currently operating, NACO firmly believes that an overall pay pot of 2.5% is very competitive when compared with the wider market and we recommend that members accept the offer.

In line with the pay claim lodged on the 12th November 2012, NACO has negotiated further concessions as detailed below:

  • Funeral Hub Managers: A review will be undertaken into the increasingly slim salary differential between Hub Managers and Principle Funeral Directors. This will be reviewed through the Funeralcare Operational Management Grading Panel.
  • London Weighting: The business has committed to undertaking a full survey of all London Weightings paid in all divisions during 2013. This information will then be shared with NACO in order to understand how practices differ.
  • Variable Pay Matrix: The matrix will now be administrated centrally rather that division by division, department by department, or manager by manager.  This will ensure a consistent approach where, dependent on performance level and salary range position, all colleagues will be treated fairly and the pay pot distributed equitably.
  • Shift allowances: Shift allowances will not be included when establishing colleagues' positions in the salary range.
  • Role Band 5 Managers: If endorsed at ballot, the Group will apply a flat-rate increase of 2.5% for all RB5 Managers. The business have also committed to fully review the Role Band 5 reward package as part of the planned review of the managerial reward proposition.

Distribution of the Pay Pot
At the commencement of negotiations, NACO members indicated that they were looking for an increase above inflation (currently CPI 2.8% and RPI 3.2%). Based on the appraisal rating distribution for 2012 52% of colleagues would receive an award of 3% or greater, and 63% of colleagues would receive an award of 2.5% or greater.

Proposed Pay Matrix
80-85% 86-90% 91-95% 96-100% 101-104% 105-109% 110-119% Band max
& above
Outstanding 5.25% 5.00% 4.50% 4.25% 3.75% 3.25% 2.50% 0.00%
Excellent 4.75% 4.25% 4.00% 3.50% 3.25% 2.75% 2.00% 0.00%
Good 4.00% 3.50% 3.25% 3.00% 2.50% 2.25% 1.75% 0.00%
Needs Improvement 2.50% 2.00% 1.75% 1.25% 1.00% 0.25% 0.15% 0.00%
Unsatisfactory 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%

* Colleagues will receive an increase up to pay range maximum.
** Please note each section of the matrix covers up to .99% in range.

The 2013 approach differs to ‘Variable Pay’ operated in the past as, for those colleagues in Role Band 2-4, the matrix is not indicative.  Subject to approval at ballot, increases within the proposed matrix are what will be applied. Salary increases will be implemented in 16 May payroll and will be effective from, and back dated to, 24 March 2013.

Those colleagues over their pay band maximum with a performance rating of ‘Outstanding’, ‘Excellent’, and ‘Good’ will receive a non-consolidated award of £200, £175, and £150 respectively. This will be paid at the same time the pay review is implemented.

Click here to view the salary scales for 2012/13

Role Band 1 Managers
Individual salaries will be assessed against market data and increases will be based on colleagues' position to market and performance rating.  Each Group Executive Member will review and agree all proposals.  The overall spend is based on the proposed pay pot of 2.5%.
Cast Your Vote

The decision on this pay offer rests solely with NACO members. You will shortly receive a hard copy of the communication, along with a ballot form. The ballot will close at noon on Tuesday 23rd April 2013. We urge all members to cast their vote as soon as possible.

Should you wish to discuss any matter with a NACO Official, please contact the NACO National Office