NEW DEPOT OPERATIONAL FOOTPRINT IN PARCELFORCE

[TrueBlueTerrier]

Letter to Branches




No. 269/2013
Ref: 118.04
Date: 25th April 2013


To: All Branches with Parcelforce Members
Parcelforce Representatives
Parcelforce Regional Organisers



Dear Colleagues

NEW DEPOT OPERATIONAL FOOTPRINT IN PARCELFORCE

In 2012 we established a National Table of Success Working Group to consider the flexing of our Depot structure to compliment the ‘Era of Growth’ in Parcelforce and the investment which is funding new hubs and depots.

We fully appreciate that growth, ironically, can be just as unsettling as decline and we have experienced both scenarios in Parcelforce. However the opportunity to grow Parcelforce and create many more decent jobs for decent people is a worthy challenge and one we must meet with a mutual interest solution.

The National TofS Working Party has now advised us on the more detailed arrangements needed to establish the right balance between operational and peoples interests as we expand our depot operational reach.

Against that backdrop an agreement has now been reached and is attached to this LTB for your information. The agreement ensures that the CWU are fully involved at all stages and that there is protection for our members as we adjust to this positive but unsettling change.

Any enquiries in relation to this LTB should be addressed to Terry Pullinger, Assistant Secretary, e-mail: dwyatt@cwu.org or lwright@cwu.org quoting reference number: 118.04


Yours sincerely


Terry Pullinger
Assistant Secretary




Joint Statement between Parcelforce Worldwide and the CWU on the Engagement Process for the Progression of Depot Network Expansion and Post Code Change Proposals


This Joint Statement compliments and does not replace the Table of Success National Depot Expansion Steering Group Terms of Reference and is to be used in conjunction with that document and its full spirit, intent and terms.

Background
Building on our return to profitability, Parcelforce Worldwide has experienced traffic growth in the years from 2006/07 to 2011/12 of 32%. This is planned to continue in the period from 2012/13 to 2017/18, with a similar level of growth expected of c.35%.

Parcelforce Worldwide and the CWU acknowledge that the current depot network is operating close to full capacity. Therefore in order to meet our joint aspirations to grow the business and create additional decent employment opportunities consistent with mutual interest commitments for our ‘Era of Growth’, investment has been secured for upgrading the capacity of the current depot network to ensure we cope safely and efficiently with the expected increased traffic volumes.

A key element of this programme is the Postcode realignment between depots to optimise capacity within the current depot network. The overarching joint priority is to position the business for profitable, sustainable growth with enhanced job security and rewarding employment for all employees. The Postcode moves will be prevalent in any new depot or replacement depot situation and potentially where depots currently have or are expected to have capacity issues.

Against this backdrop it is important that necessary change is deployed utilising capacity at new or existing depots in time for planned growth. It is accepted that whilst the necessity for these changes are positive moving Postcodes between depots can be unsettling for current employees and that it will require agreement at each affected site to ensure that our mutual interest commitments are observed. To that end this document is a guide to creating a framework for the progression of such discussions.

Timely decision making is important and much activity will be driven by the need to achieve results in time for the autumn pressure period of 2013 when volumes are expected to rise far in excess of previous years. There are many operational changes to be made following the proposal to realign Postcodes, which include for example, Hub sort plans, trunk dispatches/arrivals, IT, PSP, label changes and depot layouts, resolving people issues and recruitment plans, etc.






Involvement

Consultation, negotiation and final agreement on any proposals will be crucial to the success of this endeavour and will be conducted in line with the terms and spirit of the Depot Rationalisation and procedural agreements. The progress of negotiations across the Depot network will be monitored, supported and overseen by the Table of Success Depot Expansion Working Group. To this end it is reaffirmed that the following principles will apply:

Timely exchange of information at the planning stage before decisions are finalised.
The development of confidence that the CWU’s ability to contribute and influence is meaningful and worthwhile.
The development of a common understanding of the changes required.
The encouragement of dialogue at all levels with an open and honest exchange of views
A mutual desire to reach agreement on the required change so that deployment can be implemented efficiently and effectively.

Each initiative involving the proposed realignment of Postcodes either to new sites or between existing depots, will require the appointment of lead negotiators, who will normally be the relevant Area General Manager and CWU Regional Organiser. Where any changes cross over the areas covered by Area General Managers and/or CWU Regional Organisers, both parties will nominate a respective lead negotiator to ensure that there is transparent coordinated activity and interface.

The lead negotiators will establish respective negotiating teams (consistent with that as detailed in the TofS Depot Expansion Group TofR) responsible for the consultation and negotiation relating to the proposed change. This structure will allow for the early exchange of information and create the opportunity for CWU Reps to fully understand the plans and rationale on which they are based and where necessary to formulate and propose alternative plans which mitigate the impact while producing a workable, efficient operational solution which meets the overall expansion plan requirement. This may include the development of alternative Postcode realignments or phasing solutions. All ideas will be meaningfully considered, in line with the above principles.

The role of the CWU representatives within these processes is fully recognised, as is the requirement for appropriate release in order for them to meaningfully prepare, participate and obtain the views of their members. It is agreed that in line with the IR Framework, CWU representatives undertaking this work will not suffer financial loss. To this end it is agreed that local managers will facilitate this release and that all reasonable requests for release will be agreed. There will be facility for CWU representatives to consult with members and have proposals ratified during work time. The timing of any such meetings will be agreed locally in advance to minimise any operational impact.

In line with our agreed IR interface and the joint principle of mutual interest it is the intention of this agreement that full agreement will be achieved on proposals at all affected sites prior to realignment of traffic. Phasing arrangements for testing assumptions and creating the opportunity to resolve people issues may be agreed as part of the overall solution.

In the event that delays in reaching agreement at any site threaten the operational timetable and needs of the plan, then the relevant leads will refer the issues back to the National Steering group.

Peoples Issues

Preference Exercises

Any requirement for Preference Exercises will be agreed by the Lead Negotiators for each affected site. This will be based on the magnitude of the proposed change at the locations involved. Where Preference Exercises are considered appropriate they will be created and deployed in line with Annex A of the Depot Rationalisation Agreement.

MTSF

People’s issues will be progressed in time to meet scheduled deployment dates. Where a route or Postcode area is realigned between depots, opportunities may exist for drivers to follow the work or to be redeployed onto alternative duties within their existing site. In all instances the agreed current terms of MTSF will apply as appropriate. Immediately following deployment this will be supplemented by the following interim arrangements.


Interim Arrangements

Parcelforce Worldwide and the CWU anticipate that where workload changes within a depot through a Postcode realignment this will be replaced by the expected traffic increases. There is an acceptance however that this may happen over a period of time and as such to ensure that displaced staff are not disadvantaged the following interim arrangements are agreed.

From the date of deployment at offices which have a changed workload:

All displaced staff at the affected depots, who do not follow the work, will be temporarily redeployed within their existing depot on alternative work. Full account will be taken of personal circumstances in identifying suitable alternative workload or attendance times. Workload where possible will be aligned to meet the individual’s current Scheduled Attendance commitments. This will be done, taking into full consideration existing attendance patterns (i.e. Staff will not be expected to make additional attendances to maintain earnings).

Where this is not immediately possible the interim arrangements will ensure that agreed current scheduled attendance/overtime levels immediately prior to the postcode/traffic changes will be maintained for affected staff. All staff will be expected to work up to their times of attendance and may be asked to perform other work in line with the Blueprint Agreement.

As workload in the depot increases in line with expected traffic growth all affected staff will be expected to perform the available workload in line with the above terms.

In the event that the growth in volume does not reach the forecast level the matter will be subject to further discussions by the lead negotiators to reach a resolution.

Both parties will consider all options open to them in safeguarding individual earnings within existing agreements, including the relocation of routes back to their original depot and a full review of all resourcing options within the depot to ensure that directly employed routes are fully utilised.

The requirement for the interim arrangements will be reviewed initially by end of January 2014 by the lead negotiators. Subsequent review periods will be agreed by the respective lead negotiators on a Depot by Depot basis.

All of the above could potentially be resolved by robust phasing arrangements and this should be a key factor in the planning of such changes.

Process

Following the nomination of the respective Area/Regional Lead Negotiators and the creation of the Negotiation Groups, an inaugural meeting will take place for the National Leads to launch the process and remind all parties of their roles and responsibilities, and then a schedule of meetings will be convened to progress discussions on the proposed changes.


Area Level Information Share

Area General Manager (AGM)/CWU Regional Organiser (RO)/Area Planner (AP), CWU Area safety Representative discuss background to include swaps required and reasons why.

Key inputs
Draft postcode realignment proposals
Depot capacities
End state routes
Flight path to capacity milestone (93m items per annum nationally)
Schedule required (implementation date)
Equipment plan for vehicles, hand held devices, cages, etc.
Manpower planning/people issues plan.

Key outputs
Agree local negotiating teams
Timing of results (agree reporting timings and also go live dates, remembering wider business implications and communication)
Timing of launch meeting
Agree Communication plans to local planning team and all depot staff in respect of both joint and separate briefings.
Release time as required.


Local Launch Meeting

AGM/RO launch local planning sessions. To include draft plans and reasons for changes and overall expansion picture (business-wide).
Local negotiating group expected to be, all PFW Operations managers/CWU Representatives from all affected depots and Area Planners (other members where specific expertise, i.e. industrial engineers, is required by agreement from AGM/RO)

Key inputs
Rationale for change
Working together basis (PFW and CWU working together in a spirit which underpins growth and the need for timely action)
Escalation process
Health & Safety

Key outputs
Schedule of dates for local discussions
Reporting back dates (including regular reports to the National Working Group)
Joint communication plan.
Agree regular joint meetings (AGM/RO/Area Planner/Local PFW/CWU Planning Team)


Local Engagement Process

Local negotiating group work through and discuss detail of plans.
Key inputs
Draft postcode realignments
Depot capacities
End state routes
Schedule required (implementation date)
Equipment plan for vehicles, hand held devices, cages, etc.
Alternatives considered
Staff lists and duties covered

Key outputs
Depot Change Plan covering:-
Details of changes (which postcodes, when they move, staff affected (PFW/OD), number of parcels, customers affected, vehicle transfers, equipment transfer, ETE)
Communication plan (staff, customers, PFW HQ/IT, Network, Hubs)
People plan (by person – no change, opportunity to move to new depot or stay behind).
Consideration of a requirement for a Depot Revision. Where a subsequent revision is required it is anticipated that the deployment of the revision will not delay the implementation of the proposed Postcode realignment changes.
Identification of training needs, i.e. route familiarisation etc.
Resourcing/recruitment plan.

All local negotiations will be conducted in line with our agreed procedural framework and joint locally supported deployment proposals/plans will be referred to the Lead negotiators for sign off prior to deployment.

Reporting

To help ensure changes are delivered in a timely manner, regular reports should be sent back to the area and national leads from the local planning teams.

Local negotiating team to report in a timely manner into AGM/RO (via Area Planners).
Regular reports to the TofS Steering Group.
Concerns / issues raised to Table of Success Steering Group for resolution
Share good practice/lessons learned with Steering Group for wider communication.

Any questions of interpretation, implementation or application of this agreement shall be referred to the National signatories of this agreement as a matter of urgency and will be dealt with inside the provisions of the National IR Framework Agreement.



Peter Fuller Terry Pullinger
Operations Director Assistant Secretary
Parcelforce Worldwide CWU


Date: 19th April 2013