CSC staff working on the UK armed forces pension administration contract are on a five-day strike after being offered a 9p per hour pay rise, following months of work-to-rule.
In 2012, the Ministry of Defence (MoD) awarded CSC a seven-year contract to administer pay and pensions for 1.25 million armed forces personnel.
CSC has 250 staff at the MoD in Glasgow and Gosport, most of whom are in IT and pay and pension administration.
In January 2015 the Public and Commercial Services (PCS) union said the derisory pay offer comes at a time when CSC bosses earn millions. CSC attempted to impose a pay freeze this year, but renegotiated to a 0.3% rise - in 2014 only the threat of a strike forced CSC to give a pay rise.
Most employees working on the contract earn around £18,000, according to the union. CSC posted pre-tax profits of more than $1bn last year.
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- CSC staff at the Ministry of Defence have rejected a 0.3% pay increase and the Public and Commercial Services Union has initiated a ballet for strike action.
- The union also has concerns about CSC’s suitability for running the contract following its NHS National Programme for IT.
- Over 1,000 IT workers in government departments will go on strike for 24 hours.
The union's 200 members are ex-MoD staff. In April 2012, the PCS Union raised concerns about the job security of staff at the MoD pay and pensions administration, after an IT contract shifted from HP to CSC, which the union described as the lowest bidder.
PCS union said staff have been working-to-rule in opposition to the “obscene and insulting” pay offer and are striking for five days from 20-24 April. There is the possibility of more action if CSC “continues to refuse to move”, said the union.
“It is nothing short of obscene that this billion-dollar company is offering staff such an insulting pay increase,” said PCS general secretary Mark Serwotka. “The workers are proud of the work they do for the armed forces but they are not even given crumbs from the table by this eye-wateringly profitable US firm.”
CSC said in a statement: "In relation to the proposed strike action by CSC employees who are members of the Public and Commercial Services Union (PCS), we can confirm that CSC is working closely with our employees and the PCS. We will do our utmost to ensure the high level of service we provide to the Military Veterans & Personnel Agency throughout any strike action."
CSC generated global revenues worth about $12bn in 2013, split almost equally between the public and private sectors. CSC is targeting growth in the private sector to increase the proportion of sales this sector contributes compared to the public sector. About 6,500 of the supplier's 80,000 staff are based in the UK.