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BT Pay Claim 2009 - No Increase

28 March 2009

BT responded to the CWU pay claim on Monday 10 February 2009, stating that, due to economic and financial pressures, there will be no pay increase this year for any employees right across the company.

BT cited the instability of the current economic climate, negative RPI (headline inflation) forecasts, flat underlying revenue, weak cash flow, and the impact of the pensions deficit on the share price as factors in reaching this decision.

The CWU negotiating team, led by Deputy General Secretary Andy Kerr, said CWU members would be shocked by the companyís decision, and stated that it is wholly unacceptable to impose a pay freeze on CWU members who have worked hard to ensure BTís continued profitability and competitive market position.

BT said that they have not taken this decision lightly and stated they need to control costs to meet the companyís commercial and competitive challenges. The CWU team emphasised that our members will be instrumental in successfully meeting these challenges, and said they deserve to be rewarded accordingly.

The CWUís Executive will be meeting early next week to consider BTís decision.