Penneys update: Managers receive 2% pay increase – workers receive zero

Friday 22 March 2013, 09am

Following a week of persistent rumours that management grades in Penneys had received a pay increase, the Penneys National Negotiating Team wrote to the company to seek clarification.

Senior company representatives have now formally advised that the majority of management in the company will receive a 2% pay increase, back dated to September 2012.
The Penneys National Negotiating Team has written to all Penneys members to inform them of this development stating:
“The decision to pay the increase, coming as it does at a time when your union has been forced to refer a claim for a pay increase of 3% for you and your fellow members to the Labour Court, can only be seen as a slight and a total disregard for the contribution made by the vast majority of workers who are principally responsible for driving the significant success of the Penneys business in recent years. 
“The hurt and despair being experienced by our members must be deepened even further when one considers that a pay increase was granted last year to your fellow workers who are employed in the sister business located in Northern Ireland.”
The National Negotiating Team reassured all Penneys members that these recent developments only served to double the commitment to achieve a satisfactory result for the members at the Labour Court.
“Along with a pay increase we are also attempting to ensure that established average weekly earnings are protected, particularly for the significant amount of union members who currently have no contractual rights in this area.
The Negotiating Team concluded by urging members to “take every legitimate opportunity to directly express to management your disappointment at the way you are being treated.”
The full letter from the Penneys National Negotiating Team can be read here.


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