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BT strike negotiations ended by new pay deal

BT awards staff annual three per cent pay rise for next three years

12 July 2010

Strike negotiations between BT and the Commercial Workers Union (CWU) have ended following BT's offer of an annual pay rise.

The telecoms giant will award 55,000 staff represented by the union a three per cent pay rise in each of the next three years.

It follows months of union bargaining as CWU initially demanded a five per cent salary increase, while BT was only willing to pay two per cent plus a one-off cash payment.

Members of the union then planned to hold a strike ballot, although this was called off last week after doubts were raised over the legality of the vote.

BT chief executive Ian Livingston said in a statement: "This agreement is good for BT, its employees, shareholders and customers.

"BT will benefit from a long period of certainty whilst our employees will have financial stability during uncertain economic times. Industrial action would have been in no-one's interest."

BT has cut 35,000 jobs over the past two years, although the CWC has helped ensure none of these were compulsory redundancies.

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