JOINT STATEMENT: AVERAGE PAY ON ANNUAL LEAVE (HOLIDAY PAY) IN ROYAL MAIL GROUP – LGV DRIVERS
Further to previous updates that have been provided and LTB 283/22, Branches and Representatives will be aware that extensive discussions have been taking place with the business to address the long-standing issues relating to the calculation of LGV Holiday Pay.
We are now pleased to announce that discussions have concluded and a Joint Statement has been agreed, which has been endorsed by the Postal Executive. A copy of the Joint Statement is attached for your information (Annex A).
Colleagues will be aware that LGV Drivers have a single rate for all overtime, whether it is classed as pre-scheduled or ad-hoc. Pre-scheduled overtime has been covered by the 2014 National agreement and is paid on annual leave, whereas ad-hoc overtime was not covered by this agreement. For ease of reference a copy of the Pay Directive associated to the 2014 Improved Holiday Pay agreement and criteria for payments is attached (Annex B).
With the introduction of the 2021 agreement in relation to Regular Overtime Holiday Pay (Annex C), a complication regarding LGV holiday pay was identified due to the fact that each VOC has had a different system of recording overtime. Some VOCs have paid all overtime under the terms of the 2014 National agreement, whilst others have recorded the two types of overtime separately. It has not been easy to distinguish between the two on a historical basis.
The attached Joint Statement now provides an agreed definition for both pre-scheduled and ad-hoc overtime and, more importantly, an agreed verification process for calculating the historical arrears payments to our members. Due to the time that has passed, this now includes not just the four back pay periods but also the two interim blocks.
The verification process will be completed on a VOC by VOC basis, starting with the two interim periods covering:
- 27th September 2021 to 27th March 2022;
- 29th March 2021 to 26th September 2021.
Once the above has been completed, activity will then progress to the four additional back-pay periods:
- 28th September 2020 to 28th March 2021;
- 30th March 2020 to 27th September 2020;
- 30th September 2019 to 29th March 2020;
- 1st April 2019 to 29th September 2019.
This approach is designed to build some momentum due to the fact that the most recent data is the most reliable.
The VOC manager and CWU Representative will have to be satisfied that the verification process has been completed correctly prior to the submission of the data for these periods.
Going forward, from Monday 26thSeptember 2022, there will be changes to the inputting of overtime for LGV drivers, to reflect the agreed differentials and this should prevent similar problems from occurring in the future.
As the longer-term IT solution has been implemented in the rest of RMG covered by the National agreement, RMG are unable to add LGV drivers to the automated system part way through a financial year, due to the complications this would cause. It was therefore necessary to also reach agreement for a further two interim payments for our LGV members to cover the following periods and this is also reflected in the Joint Statement:
- 28th March 2022 to 25th September 2022;
- 26th September 2022 to 26th March 2023.
Branches and Representatives will appreciate that due to the length of time taken to resolve the issues relating to LGV Holiday Pay, there are likely to be voluminous enquiries from individuals about their payments, as such the Joint Statement also contains an agreed enquiry process.
Divisional, Area Distribution and LGV Representatives were briefed on Friday 22nd July 2022 in relation to the Joint Statement and activity to take place.
We thank Branches and Representatives for their patience, during what have been protracted and difficult negotiations in regard to this issue and we are sure that you will be pleased that our LGV members can have confidence that their regularity calculations are now going to be completed. We would ask that our LGV members are made aware of this LTB and the attached Joint Statement at the earliest opportunity.
Any enquiries in relation to this LTB should be addressed to Davie Robertson, Assistant Secretary, email: dwyatt@cwu.org quoting reference: 202.09.
Yours sincerely,Terry Pullinger
DGS(P)Davie Robertson
Assistant Secretary
319-22 JS LGV Holiday Pay – 25.07.22
319-22 Annex A – Final LGV Holiday Pay Agreement
319-22 Annex B – Pay Directive 18-2014 – Introduction of Improved Holiday Pay 2014
CWU Eastern No5 Branch 
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