Pay and Bonus Offer - Consultative Ballot
Prepared for:
April 2012
Contents

Background and objectives

How the ballot was conducted

Voter profile

Results


Awareness of proposals

Attitude to pay

Attitude to bonus

Attitude to whole package
Summary
2
Context
• Pay proposals were published on 6th December
• 2.5% pay-pot for grade A-D; 2.0% for E-G
• No increase in pay range for A-C; range for D-G increases by 2%
• Very little reference to performance assessment; only market rate
• Bonus dependent on performance assessment, announced in March
• Grades A-C: 0-9.5%
• Grade D: 0-19%
• Grades E+: devolved to manager
 Accord now seeking member guidance on negotiation of this offer
3
How the ballot was conducted
• 25,126 Accord members were eligible to vote in this ballot
• 4,307 valid responses received; a turnout of 17%, lower than previous years,
despite efforts to improve turnout
Approach
• An introductory e-mail sent to all members with valid e-mail addresses to:
• alert them to the upcoming consultation
• ensure email addresses were correct
• Members received either a letter (6,041) or e-mail (19,085) with voting
instructions on accessing the secure ERS website using PINs to prevent abuse
• Reminder e-mails sent by both Accord and ERS (latter targeted non-voters)
• Accord also sent out a text reminder to non-voters
• Fieldwork dates: 9th – 31st March; fieldwork delayed this year to assess opinion
of full pay and bonus proposals
4
Turnout higher among those receiving emails, particularly
at work
Method
Overall
Sent
25,126
Received
4,307
Turnout
17.1%
Post
E-mail
6,041
19,085
304
4,003
5.0%
21.0%
Home E-mail
Work E-mail
11,116
7,969
1,509
2,494
13.6%
31.3%
5
Voter profile: AB grades more likely to be female, part time
and newer employees
Gender
Status
Length of
service
Male
AB
25%
C
34%
D
46%
E
54%
FG
64%
Female
75%
66%
54%
46%
36%
Full time
57%
79%
87%
91%
95%
Part time
38%
20%
11%
9%
5%
5 yrs or less
22%
8%
5%
6%
1%
6-10
24%
25%
21%
18%
10%
11-15
16%
24%
24%
20%
15%
16-20
10%
12%
15%
14%
17%
21+
27%
29%
34%
42%
56%
Base: all voters (4,307)
6
Who voted
Older, male members, more likely to vote
Voters
Members
Numbers
Gender
Age
Male
1614
37%
31%
Female
2693
63%
69%
30 or less
577
13%
29%
31-40
1170
27%
26%
41-50
1606
37%
27%
51-60
872
20%
15%
61+
72
2%
2%
No information
10
*
Base: All members (25,126) and all voters (4,307)
8
Longer serving members and those in Group Ops more
likely to vote
Voters
Members
Numbers
Length of service
Less than 5 years
550
13%
25%
6 - 10 years
943
22%
26%
11 - 15 years
835
19%
17%
16 - 20 years
536
12%
9%
1413
33%
21%
30
1%
2%
2361
55%
64%
Wholesale
93
2%
2%
Group Ops
1033
24%
18%
Group Exec
480
11%
7%
Insurance
200
5%
6%
Wealth & Int.
113
3%
2%
Not given
27
1%
2%
21+
Not given
Division
Retail
Base: All members (25,126) and all voters (4,307)
9
Higher grades, full timers more likely to vote
Voters
Members
Numbers
Grade
Status
AB
1769
41%
57%
C
803
19%
16%
D
671
16%
11%
E
742
17%
10%
FG
281
7%
4%
No information
41
1%
Full time
3188
74%
67%
Part time
994
23%
26%
Maternity leave
35
1%
2%
Young
13
*
2%
Other
77
2%
3%
Base: All members (25,126) and all voters (4,307)
10
Assessment
Top Performer
Strong Performer
Good Performer
Developing Performer
Under Performer
Don't Know
Pay Zone
Primary/below
Market
Market Plus
Over Maximum
Don't Know
%
5
24
55
12
1
3
74% of members
are good/top
performers;
would have seen
reflection in pay
in previous years
20
25
17
8
30
Q10: What was your most recent appraisal rating? Q9: Which pay zone are you in?
Base: All voters (4,307)
30% of voters do
not know which
pay zone they are
in; factor which
will influence pay
11
Awareness of proposals
87% of members understand the proposals and their
implications
Do you understand
the proposals and
their implications for
you?
Yes
No
87
13
Awareness lowest in retail (82%) and AB grades (80%)
Base: All (4,307)
13
Attitudes to pay
In 2012 34% of voters said Account should sign an
agreement to implement the bank’s pay proposals; lower
than in 2011 (49%)
Yes
No
2011
2012
49
34
50
65
Opposition to signing highest in retail (75%) and AB grades (80%)
2011 Q2 Taking everything into account should Accord sign an agreement to implement the bank’s pay proposals
2012 Q2 Do you think Accord should sign an agreement on the Bank’s pay proposals for 2012
Base: All voters (2012 4,307; 2011 7,085)
15
Main reason for not wanting Accord to accept pay proposals is size of
pay pot; no link to individual performance assessment
All reasons
Proposed pay pot of 2.5% is too low
57%
No link to individual performance…
52%
My role/responsibilities not properly…
44%
Pay range for A-C not increasing
41%
Will not get pay rise as am above pay…
Still to far below the market rate of…
Other
Q3a Which of the following best describes your reasons?
Base: those not wanting Accord to sign pay proposals (2,810)
32%
16%
6%
16
Issues affecting those on lower pay zones and grades
Pay pot too low
Responsibilities not
reflected in salary
• Highest in Market pay zone, under 30s, less 10 yrs service
• Highest for Market Primary pay zone, top performers, full time, under 30s
• Lowest for D,E,F,G grades, Group ops
Pay range not increasing
for A-C grades
• Particularly high for C grade, Market Plus/max pay zone, less 1% pay rise, part
time, women
No pay rise as above pay
range
• Higher among AB, over maximum, top performer, zero pay rise, part time, 51+
years, women ,21+ yrs service, retail
Q3a Which of the following best describes your reasons?
Base: those not wanting Accord to sign pay proposals (2,810)
17
Issues affecting high performers and higher grades
No link to individual
assessment
Below market pay rate for
role
• Highest for D,E grades, top/strong
performers, full timers
• Highest for E grades, Market Primary
pay zone, full time, under 30s, men,
less 5 yrs service, wholesale
Q3a Which of the following best describes your reasons?
Base: those not wanting Accord to sign pay proposals (2,810)
18
Attitudes to bonus
44% of members say bonus is less than expected
More
Is your bonus..
about what I expected
14
Less
41
DK
44
1
Opinion divided as to whether bonus is fair
Fair
Do you think your
bonus outcome for
the 2011 financial
year was, all
things considered,
fair?
Base: All voters (4,307)
49
Not fair
50
20
Who thinks bonus is less than expected and not fair
Bonus less
than expected
• A,B,C grades, developing performer,
incentivised bonus scheme,
retail/wholesale
Bonus not fair
• A,B,C grades, developing performer,
incentivised bonus scheme,
retail/wholesale
Base: All voters (4,307)
21
Main reason given for thinking bonus is unfair is that it
does not reflect individual’s performance in 2011
All reasons
Bonus does not properly reflect my
individual performance during 2011
61%
Bonus payable for my grade too low
compared to higher grades
41%
Bonus does not fairly reflect performance
of LBG
25%
Individual bonus too low compared to
peers
23%
Other
Q6a Which of the following best describes your reasons?
Base: those saying bonus not fair (2,165)
15%
22
Reasons for thinking bonus unfair
Does not reflect my individual • Highest among D,E,F,G; top & strong performers,
performance in 2011
wholesale
Bonus for grade is too low
compared with other grades
Bonus does not reflect the
performance of LBG
Individual bonus too low
compared to peers
• C grade, Group, insurance
• A,B grades, developing performer, retail
• F,G grades, developing performer
Q3a Which of the following best describes your reasons?
Base: those not wanting Accord to sign pay proposals (2,810)
23
Attitudes to total package
38% say total package poor in current economic climate;
particularly high among AB grades
Taking everything into account how would you
describe your total remuneration for the last year
taking into account pay, bonus and other benefits in
the current economic climate
Very poor
10%
Poor
28%
Neither
31%
Good
Very good
Those more likely
to say poor: AB
grades (51%),
over max pay
zone (43%),
developing
performer
(48%),part time
(46%), 61+ yrs
(56%)
27%
5%
Q7
Base: all voters (4,307)
25
Summary
Summary
• Turnout lower for this ballot than in previous years
• 65% opposed to Accord signing pay agreement; higher than last year. Retail and
AB grades most opposed
• Size of pay pot main reason for being opposed (57%); followed by no link to
individual performance assessment (52%)
• 50% say bonus not fair; 44% say it’s less than expected. A,B andC grades and
retail/wholesale less positive about bonus
• Individual’s performance not reflected in bonus main reason for saying bonus
not fair (particularly higher grades). C grade more likely to say bonus unfair
because bonus payable is too low compared to higher grades
• 38% say total package is poor even in current economic climate, particularly
among AB grades
27
Contact Details
Project Director
Project Manager
Cynthia Pinto
Tim Robinson
Director and Head of Research
Research Executive
Direct line: 020 8829 8409
Direct line: 020 8829 8412
Switchboard: 020 8365 8909
Switchboard: 020 8365 8909
[email protected]
[email protected]
This report has been written to meet the
requirements of ISO 20252, the International
Standard for Market Research.