Unionised staff have voted for the first time in favour of industrial action against the Financial Conduct Authority.
Three quarters (75 per cent) of Unite union members have voted in favour of the action against the regulator over disputes around changes to pay and conditions.
Some 90 per cent voted to support industrial action short of strike action.
Sharon Graham, Unite general secretary said: “For the first time ever, the employees at the FCA have voted for industrial action.
"The employees have made it clear that the proposed changes to staff pay and conditions are completely unacceptable," she added.
“The FCA management must now address the serious concerns of their employees.”
Alan Scott, Unite officer, said FCA staff have not taken the decision to vote for industrial action lightly.
“Unite has made it clear that the pay cuts and unfair appraisals are extremely detrimental to thousands of staff and it is time for the FCA to rethink these plans.”
He said the watchdog’s continued refusal to recognise an independent trade union further damages the standing of the organisation.
“The management could still avoid the reputational and business damage caused by strike action by meeting with Unite to resolve the dispute.”
The vote follows a non-binding ballot earlier this year in which 87 per cent of members voted for strike action, which paved the way for a full industrial action ballot.
Key concerns by staff included the loss of routine payments labelled ‘bonuses’ which represents 10 to 12 per cent of salary, the narrowing of pay bands, lower pay bands for Scottish staff, cuts affecting graduate trainees, and a threat of future cuts to pensions.
Other concerns by members included a perceived unfair appraisal system and a high level of pay inequality, which Unite said was “unusually high by the standards of public sector regulators”.
The union claimed that while pay bands for most staff were being squeezed, those for senior managers were being uprated.
The regulator is currently consulting on changes to its employment package.
An FCA spokesperson said: “Our new employment package is highly competitive, providing fair, competitive pay at all levels and rewards strong, consistent performance. Most colleagues are receiving an average 7 per cent increase in base pay this year and over 12 per cent over the next two years, with an additional one-off cash payment of 4 per cent in May. Our lowest paid and strongest performers will receive more. The changes we have made ensure the FCA’s pay and benefits package remains one of the best, if not the best, of any regulatory or enforcement agency in the UK.
“While we acknowledge the recent vote, we respect colleagues’ decision and understand the strength of feeling about some of the changes we have made.”
sally.hickey@ft.com
