A round-up of news for members in Lloyds Banking Group
2025 pay rises confirmed: great news for members
We’re pleased that the pay rises we negotiated in our October 2023 agreement with LBG will bring greater financial certainty for members and their families through to 2026.
The agreement followed a record-breaking ballot, with 70% of eligible Accord members voting. Nearly 4 out of 5 votes backed the deal we negotiated - an overwhelming show of support.
Here's what the pay deal means for you
Staff in grades A to E:
- A minimum pay increase of £1,500 or 4% (whichever is higher), capped at the maximum of the pay range.
- Any amount over the maximum (up to £1,500) will be paid as a non-consolidated cash payment.
- For those already above the maximum pay range, a £1,500 non-consolidated payment will be made.
Staff in grades F and G:
- A 3.5% budget for pay increases, allocated at Line Managers’ discretion.
(All pay awards and non-consolidated payments will be pro-rated for colleagues working reduced hours.)
If you’re in Grades A to E, you can use the Workday modeller to view your estimated pay increase from 1 April 2025. Thanks to this agreement between LBG, Accord and Unite, 29,000 colleagues will get pay increases above 4% in 2025.
Pay ranges increasing from April 2025
We’ve also had constructive talks with LBG to adjust pay ranges in line with the higher salaries. Key changes include:
- A new minimum salary of £25,000 from 1 April 2025.
- Updated pay ranges, now available on LBG’s systems - access them here.
Spread the word
These pay increases were made possible by Accord members like you. Make sure that any of your colleagues who aren’t Accord members know that the pay rise they’ll be getting is a direct result of the positive engagement between Accord and LBG. Now is a good time to encourage them to step up and join us in making a difference!
Updates to the 2024 Group Performance Share (GPS) Plan
LBG has announced enhancements to the Profit Share Plan for GPS 2024, broadening recognition opportunities for staff in all grades.
What's new?
For the first time, staff in grades A, B & C will be eligible for both ‘Excellence’ and ‘Exceptional’ awards.
The three award tiers for GPS 2024 are:
- Standard Award: which most people will get (subject to an award being payable).
- Excellence Award: “celebrating significant contributions that exceed expectations”.
- Exceptional Award: “acknowledging extraordinary contributions that have a transformative impact”.
Each tier is tied to a fixed percentage of pay, with higher tiers delivering a “meaningful” percentage uplift on the Standard Award.
What drives the GPS?
The Group Performance Share (GPS) is directly linked to LBG’s overall performance and profitability. While profitability in 2024 has been lower than in 2023, the Group remains “on track” to make a GPS award for 2024.
Key dates to note:
- The 2024 GPS pool and profit share percentages will be revealed during the Annual Results on 20 February 2025.
- Individual awards will be communicated to staff by their line managers by 7 March 2025.
This enhanced structure reflects LBG’s commitment to recognising and rewarding the contributions of colleagues in all grades – a change that Accord fully supports.
Performance management concerns: we need your feedback
Recent reports from members have raised concerns about how performance management processes are being applied at Lloyds Banking Group.
Feedback suggests that some managers are being directed to place colleagues on action or support plans without clear justification, raising questions about fairness and transparency.
Accord has asked LBG for a meeting with their Performance Management Team to understand the current approach and ensure it aligns with fair and supportive practices.
We want to hear from members. Feedback will help us advocate for fair treatment.
Performance management feedbackFlexible working - still falling short for LBG colleagues
Earlier this year, the Employment Rights (Flexible Working) Act 2023 introduced minor changes to flexible working rights. Unfortunately, the changes didn’t address the key challenges faced by some LBG colleagues trying to get their applications approved.
LBG already allowed unlimited requests and provided reasons for rejections, so the law didn’t significantly change how the Group handles applications. The main updates were:
- Employers must respond to requests within 2 months (down from 3) - LBG has adjusted its policy accordingly.
- Employers must provide a specific reason for refusing requests – something LBG was already doing.
The real problem: rejections and limited recourse
Despite the changes, if members’ reasonable applications have been rejected and we’ve supported them through to Employment Tribunals, the outcomes often fall short:
- Tribunals cannot force LBG to agree to flexible working. At best, they can award compensation (up to 8 weeks’ pay) and order the employer to reconsider the request.
- Reconsideration often leads to the same result. Some applications are unreasonably rejected again, leaving members no further forward, aside from a small compensation payout.
This limited power of Employment Tribunals highlights the inadequacy of the current law. It focuses on process rather than outcomes, meaning even procedurally flawed or discriminatory decisions may not result in approved flexible working arrangements.
What we're doing
We believe the law doesn’t go far enough to protect employees’ rights to flexible working. To tackle this issue, we are:
- Challenging LBG internally: We’ve called on LBG to adopt a more transparent and fair process, such as independent panels to review rejected requests that we believe warrant further consideration.
- Engaging with policymakers: We’re submitting evidence to both the Employment Rights Bill Committee and the Business and Trade Select Committee’s inquiries into the Act. The deadline for the Select Committee’s call for evidence is 6 December.
- Advocating for change: We’re pressing for stronger laws that ensure employees have a real chance of securing flexible working arrangements, particularly in cases involving carers, health needs, or other exceptional circumstances.
Supporting members
We’ll continue to fight for fairer outcomes for our members, both through internal negotiations with LBG and by campaigning for legislative reform. While the current law might improve procedural standards, it does little to ensure that flexible working requests are approved where they are reasonable and justified.
If your flexible working request has been unreasonably rejected, get in touch – we’re here to help.
Find local supportHybrid working: clarifying expectations
We’ve noticed a rise in enquiries from members concerned about fairness when they’re unable to meet the 40% in-office requirement each week. We’re actively engaging with LBG to seek clarity on these expectations and to ensure a fair approach for all colleagues.
We’ll keep members informed as soon as these discussions are concluded.
Changes to Diversity Data Review in OD Processes
Lloyds Banking Group has introduced a new approach to Diversity, Equity, and Inclusion (DEI), which has resulted in changes to how diversity data is reviewed during organisational design (OD) and redundancy selection processes.
LBG have said that the current approach to masking data does not provide sufficient granularity or transparency to fully understand the impact of organisational design (OD) changes on diversity, particularly when the changes involve small numbers. To address this, LBG are keen to gain a more comprehensive understanding of how OD changes affect diversity, enabling them to ensure fair, inclusive, and non-discriminatory practices are followed before confirming any outcomes. They believe that this controlled and robust approach to data analysis will provide the necessary assurance prior to finalising decisions.
While Accord supports the goal of eliminating bias, we have raised concerns about the transparency of these changes, including the potential risks of processing sensitive data.
We have also expressed concern that LBG does not proactively notify employees when updates are made to its Data Privacy Notices (DPN).
The Colleague Data Privacy Notice informs you about how your personal data is collected, used, stored and shared by LBG. It’s a key requirement under data protection law. The purpose of the DPN is to ensure transparency and enable individuals to understand and exercise their data protection rights.
Privacy matters
The latest Data Privacy Notice is dated 7 August 2024.
We strongly encourage members to actively check the DPN on the Workday platform to stay informed about how their personal data is being used. If you notice any changes or have concerns about the processing of your data, please get in touch for further advice.
Supporting all members - protecting independent representation
From 1 January 2025, Lloyds Banking Group will introduce new employee forums for Grades D and above, which will not have the ability to negotiate pay, terms, or conditions of employment.
While there is no change for Grades A-C, as their collective bargaining rights are fully protected under a new agreement, we must now rally behind our colleagues in Grades D+ to ensure they remain supported and represented.
Accord firmly believes that independent trade unions cannot be replaced by employer-led forums. Unlike forums, we provide independent advice, representation, and the ability to negotiate binding agreements. Our comparison chart clearly shows the stark differences in the level of support and influence between Accord and the new forums.
How you can help
- Encourage D+ colleagues to join Accord – Every new member strengthens our case for reinstating collective bargaining rights.
- Share your experiences – Whether you’re in Grades A-C or D+, your feedback helps us represent you more effectively.
We’ve already seen an increase in D+ members joining Accord, but we need to keep this momentum going.
If you know colleagues in Grades D+ who are not yet members, encourage them to join us today. For every new D+ member who joins, we’ll make a £20 donation to Cancer Research UK, demonstrating our commitment to making a positive impact both in and beyond the workplace.
Together, we can show LBG that the majority of its workforce values the independent representation that only a trade union can provide.
Let’s stand together to ensure every colleague’s voice is heard.
Holiday carry-forward and Flex concerns
Recently, members raised concerns about a perceived new policy that seemed to prevent buying additional holidays through Flex if they also carried forward holiday from the previous year. This caused confusion and concern, as it appeared to contradict the Group’s established policy and the Flex Terms and Conditions.
We took this issue directly to LBG, seeking clarification. The business has confirmed there has been no change to the policy. The current Terms and Conditions require colleagues to notify their line manager in advance and gain approval to ensure resource planning is effective. However, decisions are expected to be based on individual circumstances and business needs, not as part of a blanket ban.
Following discussions, it appears the issue stemmed from a misunderstanding in a specific area, which has now been addressed. LBG has reiterated that individual conversations with line managers should guide decisions.
If you encounter challenges with holiday approvals, please let us know - we’re here to support you.
Our input on Careerwear redesign recognised in final collection
We’re pleased to share that Accord played a key role in shaping the design of the updated 2025 Careerwear range. We’ve worked closely with LBG to ensure important considerations, including inclusivity, menopause support, sustainability, and practicality, were integral to the new designs.
The new collection, combining navy and teal, unifies the careerwear across the Group, replacing the previous three separate ranges.
Feedback from the four-week wearer trial highlights a number of successes:
- Colleagues welcomed the shift to a less formal, more versatile range.
- Comfort-focused features like elasticated waistbands, stretchy materials, and temperature-regulating fabric support all colleagues, including those experiencing menopause or requiring modest designs.
- Gender-neutral options and made-to-order availability ensure inclusivity for all.
Sustainability has also been prioritised, with garments made from recycled materials, partnerships with ethical suppliers, and a focus on reducing environmental impact.
We’re pleased with the thoughtful improvements made to this range and believe it demonstrates the positive outcomes of collaboration. If you have questions or feedback, please get in touch.
Work in a branch? Share your feedback & help shape the future of branch operations
At every Accord reps’ meeting this year, one of the hot topics raised was how much time colleagues spend with customers that simply isn’t recognised by current systems. So we’re really pleased to support Lloyds Banking Group’s survey which will look at how much time branch colleagues spend on non-customer-facing activities.
The aim is to explore ways to increase the time available for quality interactions with customers.
This is a fantastic opportunity for all branch colleagues, regardless of role, to provide valuable feedback on how current processes impact their time. By sharing your experience, you can help identify potential solutions to streamline operations and enhance customer service.
The survey takes less than 10 minutes to complete and is an important step in shaping future initiatives to improve branch efficiency.
Have Your Say! The survey is on LBG systems, so if you’re opening this at work you can complete the survey here.
If not, you can find the link in the email sent to all branch colleagues on 26 November, with the subject heading: ACTION REQUIRED – House of Research – Creating more quality customer facing time for colleagues.
Your participation will directly influence decisions and help create a more customer-focused workplace. Don’t miss the chance to make your voice heard!
Winter weather advice for members
With freezing temperatures and weather warnings across much of the UK, we've prepared guidance for members on travel and workplace concerns during wintry weather.
Guidance for membersLet us know your thoughts
If you have any feedback on the above items or would like other items to be included in our discussions with Lloyds Banking Group, please contact: [email protected]
