LTB 076/23 – Post Office: Pay Agreement

No 076/23

24th March 2023

Dear Colleague


We are pleased to report a resolution has been reached to end the pay dispute via a three year pay agreement with Post Office covering the years 2021/22, 2022/23 and 2023/24, which has been unanimously endorsed by the Postal Executive.  The attached Joint Statement and pay letter from Jane Davies, Group Chief People Officer, confirm the details of the agreement.

The key headlines are as follows:

  • A consolidated pay increase of 9% from 1st April 2023 flowing through to all allowances, overtime, SA rates and London Weighting

  • Lump-sum payments to cover arrears as follows:
    • A £650 lump sum payment for all members currently on a basic pay of less than £24,000 (not pro-rata for part timers)
    • A £500 lump sum payment for all members whose basic pay is currently more than £24,000 (not pro-rata for part-timers)
    • A further lump sum payment (pro-rata for part-timers) with the amount dependent on members’ current base pay as per the following bands:
      • Less than £24,000 –        £1,325
      • £24,000 to £26,000 –      £1,425
      • £26,000 to £28,000 –      £1,600
      • £28,000 to £30,000 –      £1,725
      • £30,000 to £36,000 –      £2,000
      • £36,000 plus –                £2,500

For a full-time member (working outside of London), the total payments will therefore be as follows:

Lump Sum

Further Lump Sum


Less than £24,000




£24,000 to £26,000




£26,000 to £28,000




£28,000 to £30,000




£30,000 to £36,000




£36,000 plus





London Weighting one-off lump sum payments (pro-rata for part-timers) in addition to the payments described above as follows:

    • Inner London – £300
    • Outer London – £219

      In addition, the following benefits will apply from 1st April 2023
    • Annual leave – maximum of 30 days annual leave entitlement to apply after 7 years’ service rather than 10
    • Scheduled Attendance to be rolled out across Supply Chain Cash Centres for Postal Assistants and Postal Officers (SA is already in place in the Depots)
    • Family policies will be improved as follows:
    • Paternity leave to increase from 2 weeks to 3 weeks fully paid
    • Parental Bereavement leave to increase from 2 weeks to 3 months
    • Removal of the entry rate for a Counter Clerk. This means an extra pay uplift (on top of the 9% from 1st April) for members currently with less than six months’ service, and will also benefit new starters
    • Night Duty Allowance in Supply Chain to be paid for all eligible time worked within the 19:00 – 07:15 window rather than the current 1-hour minimum before becoming eligible.

The next pay review date is 1st April 2024.

Sick Pay

During Covid-19, Post Office agreed to temporarily suspend its policy on sick pay whereby new entrants would receive Company Sick Pay from day 1 rather than SSP.  The full pay policy has continued to date.  We have agreed as part of the overall pay agreement that new entrants will now receive SSP for the first 6 months of employment and Company Sick Pay thereafter.  This is the only conditionality attached to the three year pay agreement.

Ballot Timetable

The pay agreement will now be the subject of an individual members’ ballot and if ratified by the members, Post Office have confirmed every effort will be made to process the pay uplift and lump sum payments with April salaries.  The ballot timetable is as follows:

  • Ballot papers despatched by 1st class post – Tuesday 28th March
  • Ballot closes – Tuesday 11th April


We would like to thank our Post Office members for their support throughout the dispute.  This agreement could not have been reached without their unwavering commitment.  We would also like to thank our Representatives for their valuable assistance.  This agreement is the best that can be achieved via these negotiations and as such, the Postal Executive is recommending our members support the agreement by voting YES in the forthcoming ballot.

Yours sincerely

Andy Furey
A/Deputy General Secretary (Postal)    

Dave Ward
General Secretary

LTB 076/23 – Post Office – Pay Agreement

Attachment 1 to LTB 076/23

Attachment 2 to LTB 076/23