Do you think there isn't a negotiation to be had? I know the rmt have asked for 11% but do you not think that this is a negotiation tactic? Start high cause they know they'll be pushed down.
I'm sure that's their process, yes. My overriding point was about the value of the profession. As it stands they're asking for an arbitrary number using cost of living as a weapon in negotiations. For example I can't recall them asking for a pay decrease when they worked less hours and inflation was negative.
The “free market” is a sham entirely designed to exploit workers for the benefit of those at the top.
Seems to work fantastically for our staff who state what they've been offered elsewhere and say we either need to beat it or they're off. When demand is high and supply is low (such as over the last 18 months) you need to give inflation busting increases every few months. Between Sept 2020 and now we've given factory workers 20% increases, most whilst inflation was 0.
I fully understand that question and it would be stupid of me to say that it would not have any effect.
However, it would also be stupid to say that workers should not try and get the best wage they possibly can.
And remember.
This huge increase in the cost of living has nothing to do with wage increases.
I have no issue with workers receiving a market rate for their work. However they don't need unions for that, it happens automatically. If trains weren't able to run as there were 10,000 vacancies due to poor pay and poor conditions, the train operators would have no choice but to increase the salary and ensure better conditions to fill the positions. They aren't asking for equitable pay though, they're stating that they will breach their contract of employment en masse if they don't get more than this. It would be like me refusing to fulfil my end of the contract that I sign with them by not paying them as a salary negotiating tactic. Breaching a contract either way should be grounds for repudiation.
Dear god what are you on about?
Paying people a fair wage is bad because it means competition?
What determines a fair wage? A fair wage would be you earning the same as another person who could do your job as proficiently as you. If a job is oversubscribed by a factor of 2, 3 or 10 to 1 by those equally proficient then you know it's not a fair wage, it's an overinflated one. The net result being that you're depriving someone else of a job that would be theirs at a lower pay and forcing consumers to foot the bill. If you want a fair wage you don't need a union as you would have no concerns that someone else could do a more productive job.
Funny how the free market rarely seems to work like this for the top jobs... or are we just going to pretend only a special select few are capable of doing them.
It absolutely does. We've just employed a sales director on over £150k per annum and our judgment is he'll be comfortably worth that salary. It was the lowest salary we could have got someone of his capability. The next best choice was either much more expensive and similarly effective or was cheaper but much less effective.
Likewise shareholders don't pay CEO's seven figures out of the goodness of their hearts. They would much prefer to save the cost and take it out in dividends. However their judgment is that the seven figure investment will provide a greater return.
Rolls-Royce understand the need to maintain the wages of their workers.
And I am sure other companies will be doing the same thing. Higher wages does not always mean higher inflation.
https://www.bbc.co.uk/news/business-61874786
No, Rolls-Royce understands they need to retain staff and believes £2k and a 4% increase is a fair offer to do so. You're correct other companies are doing the same as mine is one of them with 20% increases to staff earning less than £30k over the last 18 months. Whilst I'd love to say it was out of the goodness of our hearts; it was simply because without those salary increases (with many EU staff leaving the UK) we'd have lost staff to other companies. Our competitors have all had to increase wages to shop floor staff likewise.
Note also a factor is almost certainly that Rolls-Royce sacked 8,500 workers last year and now know that in a busier environment (higher demand for product and lower supply of staff) they need to pay more to retain the staff they have left.
