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£4,600 for some as Tube bosses agree strike deal
Dick Murray, Transport Editor20 Aug 2008
Tube workers who threatened eight days of strikes will receive pay increases of up to £4,600, it was revealed today.
The deal will push the pay of track points technicians to about £37,000. Senior signals staff already earning up to £52,000 will get an additional £2,600 in the first stage of a two-year deal.
Leaders of the RMT union called off the strike, which was due to start at noon today, after forcing Tube Lines to increase its pay and conditions offer.
In the face of the strike threat Tube Lines agreed a two-year deal, increasing pay by 4.99 per cent this year (up from 4.95 per cent) and RPI plus 0.85 per cent (up from 0.75 per cent) from next April.
A subsidy on travel also goes up, from 80 per cent to 90 per cent of its cost from then.
The offer, which was revealed in final editions of last night's Standard, includes a minimum £1,000 salary increase for lower paid grades and apprentices, while points technicians will receive an additional increase of £3,000 on their basic salaries plus the
4.99 per cent rise in the first year of the deal.
Mayor Boris Johnson said it was "very good news for all of London" that the strikes had been called off. "I congratulate the parties for reaching an agreement that has avoided causing unnecessary disruption to many Londoners." But the RMT's victory by using its industrial muscle to improve pay and conditions will only increase fears that it will use the same tactic in future disputes.
The union is engaged in half a dozen other, separate, disputes across the Tube network, used by 3.3 million people a day, affecting various lines. They still have to be resolved and more strikes are threatened.
A further four days of strikes by Tube Lines staff were scheduled in two weeks. They have also been " suspended" while the 1,000 employees vote on whether to accept the new offer - if they reject it the strikes will be back on, said RMT leader Bob Crow.
Tube Lines looks after the Northern, Jubilee and Piccadilly Lines, together used by nearly two million passengers a day, which would either have been brought to a stop or, at best, suffered severe disruption.
Other lines across the network could also have been affected. Maurice Fitzpatrick, analyst at accountants Grant Thornton, estimated losses of £50 million to the national economy had the three lines came to a stop this week. The deal followed five hours of lastditch talks between the union and Tube Lines.
Mr Crow admitted it had been "hard negotiating" but members were being recommended to accept the new package. "If the deal is rejected, strike action will be back on," he said.
A spokeswoman for Tube Lines refused to discuss details of the deal. But John Edmonds, Tube Lines human resources chief, in a letter sent last night to Mr Crow, said he was "willing to review and discuss" further demands from the union which fall outside the final pay offer.
The RMT is certain to push for further negotiations on pensions. It wants all Tube Lines staff to have a final salary pension scheme but this has been refused.
Staff at Metronet - now back in the public sector, under Transport for London, after it went bust last year - have a final salary scheme and the RMT is determined to achieve parity.
Terry Morgan, Tube Lines chief executive, said a deal had been agreed "that will satisfy all parties".
Reader views (12)
Its strange how working people band together to complain about other workers who fight for better pay and conditions. I could say that people in the city earn a 100k a year and get drunk after work on a Friday when they should be home with their families but I know that's not true the vast majority work hard and on low or average pay they struggle just like tube workers to pay bills and try and live a normal life as best they can. The people who earn the most money in the country are their bosses and the bosses in Tube Lines and Metronet who earn up to 200k per year.To the people who say "I could do that job" all I can say to them is apply to work on the tube but be aware you will need to work nights and weekends,no more family outings at the weekend no more going to the pub with friends on a Saturday night, people who work on the tubes can,t consume alcohol eight hours before work and only two pints or two glasses of wine 24 hours before work and if you think Its hot and humid on the train to work think of working for four hours in the tunnel. One other thing all the people complaining could do of course is join a trade union that will fight to get them better pay and conditions.
- Martin, London England, 21/08/2008 17:00
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One more example of what a useless Mayor we have with Boris. No ability to do anything but say one thing and do another. We were better off with Ken, at least he had some grasp of detail.
- Richard, London England, 21/08/2008 12:29
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Well done Bob! Its good to see that the same tactics being used by corporate fat cats (that are much applauded by this government) are being used by the RMT. At least ordinary people this time will benefit.
- Paul, London, 21/08/2008 11:58
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Holding Londoners to ransom again... When will they stop?
Suppose fares will rise again in January for a more appalling service.
- Darren, Stevenage, 20/08/2008 17:18
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unreal....
our military should demand better pay by threatening to shoot us. The fact that such a vital part of our infrastructure can be denied by what amounts to 'fat tony's' mob is a disgrace.
- Jon, london, 20/08/2008 16:01
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52.6k per annum and a council house, purchased for a very small fraction of its market value.
Oh long suffering (ha ha) hard working (guffaw) LU staff,
I feel for them.
I think I'll dump my city job, I wonder whether LU wants any more signal staff.
The streets of London are paved with gold - for some.
- Private Sector Slave, London, 20/08/2008 15:45
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I fancy a job on the tubes, more pay than a graduate with many years experience can get, final salary pensions, long holidays plus extra strike days off for match finals, guaranteed lifetime employment, sitting around in store rooms drinking beer and refusing to do anything on health and safety grounds. I wonder who pays for this all, must be the tooth-fairy.
- Tom, Watford UK, 20/08/2008 15:27
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The bosses ALWAYS cave in to RMT's demands. I lived and worked in London for over 30 years, things never change. I disagree with Mayor Johnson's optimistic view that this is "very good news for London". I doubt commuters will agree when they see the hike in fares that these wage rises will inevitably mean.
- Yvonne, Doncaster, UK, 20/08/2008 14:55
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There already earning to much money no wonder the tube is so expensive to use and falling apart. All the monies are going to the staff and we the tax payer are lumbered with the bill.
- Simon, hemel uk, 20/08/2008 14:46
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I think they should sack the whole lot of them and then recruit new people on new contracts with a new strike agreement.
- Kuldip, London, 20/08/2008 13:56
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Just goes to show what the right to strike can do. Pity that the Prison Officers and Police don't have the same basic right.
- Peter, SW France, 20/08/2008 13:54
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I agree with Mayor Boris Johnson "very good news for all of London". A victory for common sense.
- Mick, London, England, 20/08/2008 13:13
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