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JCB shopfloor gets 2.6% pay rise

19 Dec 13 Shopfloor employees at JCB have voted to accept a 2.6% pay rise for 2014 as part of a new three-year wage deal.

The agreement on the pay proposal was reached following a vote by GMB members this week and will see around 3,200 shopfloor employees receive the pay rise from 1 January 2014. The increase is linked to November’s retail price index (RPI). Increases in 2015 and 2016 will also be linked to those years’ respective November RPI figures.

The latest deal follows the expiry on 31 December of a 3½-year pay deal agreed in 2010, which was the longest pay deal ever agreed at JCB. The deal affects employees at JCB’s factories in Rocester, Uttoxeter, Cheadle, Rugeley, Wrexham and Foston, Derbyshire.

Chief executive officer designate Graeme Macdonald, who takes over as CEO on 1 January, said: “We are pleased to have reached agreement again on a long-term pay deal for JCB’s UK shopfloor employees.  It’s very welcome news and gives us the stability and forward visibility we need to plan ahead as we gear up to face the challenges and opportunities we will face in 2014 and beyond. The agreement also demonstrates a very responsible approach by all concerned.”

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The new deal comes on the back of the recent announcement that JCB is to invest £150m in the next five years to create 2,500 jobs expanding its UK manufacturing operations.

GMB works convenor Gordon Richardson said: “A three-year pay deal does give us some guarantees for the future.  This year’s team of GMB negotiators for the group has achieved an excellent outcome under some very tough bargaining conditions. The deal compares very favourably to those being struck at other companies both regionally and in the UK but our members have worked very hard over the term of the last deal and the outcome of the latest negotiations is a reflection on their efforts.”

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