Thomas Cook has defended its 2% pay rise for shop workers this year, dismissing trade union accusations that Cook “threatened” it into recommending the deal.
The Transport Salaried Staffs’ Association (TSSA) told Travel Weekly it had written to its 2,000 Thomas Cook members saying it was pressured by the retailer into recommending its 2% offer or else it would be withdrawn.
However, a Thomas Cook spokeswoman denied the claim, saying: “We never threatened to take the deal off the table – that is not our style and not how we operate.”
Thomas Cook said the deal came on the back of last year’s above-inflation settlement, set against the Retail Price Index (RPI), and vowed to agree a fair deal for workers.
Thomas Cook chief executive Manny Fontenla-Novoa said: “Last year RPI was zero yet we gave a pay increase above that. Sometimes we will pay staff above RPI and sometimes we won’t.
“Discussions are going on and we will pay them fairly.”
The TSSA said last year that 80% of members rejected a 1.5% performance-related pay rise but Thomas Cook did not improve its offer.
Jessica Fenn, TSSA regional organiser, said: “This year we let our members decide whether to accept the deal rather than recommending it as a union.
“But Thomas Cook said it would take the offer off the table if we didn’t recommend it. Our members are very angry – they can see the company has made record profits but the staff aren’t getting a share.”
The 2% pay rise is performance-based for agents in shops, which means, according to the union, 71% will receive no pay rise.
“There should be an increase in base pay. Most of our members are on the minimum wage,” Fenn said.
TSSA general secretary Gerry Doherty added: “We’ve been left with no choice but to recommend a deal that we’re not comfortable with and is below inflation.”