Fujitsu forced to disclose subsidiary staff pay

Arbitration body forces Fujitsu to reveal subsidiary pay structure after staff request disclosure through union Unite

Fujitsu is being forced to reveal the pay structure of one of its subsidiaries after Fujitsu Services staff, suspicious they were being undercut, requested disclosure through union Unite.

Staff at Fujitsu Services feared they were being undercut by lower cost workers in Fujitsu Services (Engineering Services) Limited (FSESL). Unite suspected staff at FSESL were being used to undercut its members, particularly on overtime.

Fujitsu rejected a request from Unite to reveal the pay structure. It said Unite was not entitled to the information on the basis that FSESL was a separate legal entity which does not recognise Unite.But Unite complained to Central Arbitration Committee (CAC), which concluded that FSESL was established and continues to operate as an extension to the services provided by Fujitsu. The CAC said Fujitsu must disclose the pay structure.

“This is a significant step forward for our members in Fujitsu but also a significant step forward for the trade union movement as a whole,” said Howard Beckett, Unite executive director for legal, membership and affiliated services.

“This decision goes to show that employers cannot hide behind separate legal entities to deny our members the information they need to consider pay offers,” he added.

Unite and the Public Commercial Services (PCS) unions co-ordinate their work at the IT firm. Last year the two unions signed an agreement to ensure workers who join the company as a result of public sector and private sector outsourcing deals will be equally represented.

Fujitsu is facing the loss of three government IT services contracts.

The supplier is set to lose contracts, including the Cabinet Office, the Treasury and the Department of Environment and Climate Change (DECC)

The Cabinet Office’s Fujitsu Flex outsourcing deal is due to end in January 2015, and Computer Weekly has learnt this will not be renewed.


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