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Union news

Read the latest union news, including the recognition changes and new skills agreement in LBG, and the latest on pay and reward in LBG & TSB.

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Recognition changes in LBG

Major changes to representation arrangements were introduced by Lloyds Banking Group (LBG) on 1 January 2025.

For colleagues in grades D to G, consultation on matters such as collective redundancies will now take place through elected employee forums, rather than through collective bargaining with Accord and Unite. However, there are no changes for staff in grades A, B, and C, where Accord and Unite will continue to collectively represent all colleagues.

While these changes, announced by LBG on 28 October 2024, are far from welcome, it’s important to emphasise that they do not affect the right to be a member of a union or to individual representation on issues like grievances, absence management, or disciplinaries.

The changes were agreed following lengthy, intense, and challenging negotiations. During this process, Accord sought expert and legal advice to consider all available options.

We remain steadfast in our belief that trade unions provide the most effective and independent representation for all employees, irrespective of grade.

Although we no longer have the right to negotiate pay, terms and conditions, importantly, Accord has retained engagement with the business for individual members in grades D to G - ensuring that the matters that are important for our D+ members can be resolved, and we can support you in the same way we have previously. This includes being informed about restructures and other significant business changes.

LBG has committed to reopening discussions if we can grow our membership to meet statutory thresholds in each grade, and we are determined to rise to this challenge. Over the coming months, we will campaign to strengthen our collective voice by encouraging more colleagues to join Accord.

In the meantime, we know that our members in senior grades value the professional advice and individual support we offer during personally challenging situations, such as business changes, restructures, or health concerns. The access to representation in formal meetings and specialist legal advice — fully funded by the union — remains a vital part of your membership.

As we work together to grow our union and represent the collective voice of LBG employees, it’s worth reflecting on what your Accord membership has already achieved:

  • Pay security: Your 2025 pay deal has been secured through a collective agreement between Accord and LBG
  • Job protection: We’ve negotiated commitments to minimise compulsory redundancies and secured enhanced redundancy compensation terms
  • Direct influence: We maintain access to senior business leaders, ensuring your voice is heard on key issues, including Group strategy and policy changes.
  • Exclusive benefits: From legal services and tax advice to our BUPA excess rebate scheme and lifelong learning grants, your membership provides valuable additional support.

We’re here for you now and in the future.

Every member strengthens our ability to represent you effectively. If any of your colleagues are not yet members of Accord or Unite, please encourage them to join us online. Together, we can ensure that everyone’s voice is heard and their rights are protected.

    Sharon Doherty at Accord's 2024 Conference
    Sharon Doherty at Accord's 2024 Conference

    Our relationship with Accord and Unite remains a hugely important one and one I personally value deeply. We have a long and proud history working with the unions and they will continue to play a key role in our transformation.

    Sharon Doherty, People and Places Director, LBG

    Engagement Sessions

    Subject to demand, we’re planning on running some virtual town hall style sessions for staff in grades D – G to discuss the recognition changes and answer any questions. If you’d be interested in attending, please complete this form. Members and non-members are welcome – so please share with colleagues.

    To whet your appetite, there’s a new Podcast available with the following chapters:

    • 00:24 – The history: Union recognition in LBG prior to 2023
    • 04:10 – Developments in 2023
    • 06:55 – Why LBG made the decision to change the agreement
    • 08:40 – Can Accord win back collective bargaining rights for all staff?
    • 10:08 – What does it mean for the members impacted?
    • 13:06 – Can LBG change the redundancy terms through the new forum?
    • 15:00 – Closing message from Ged

    Member feedback

    I just wanted to assure you that I know exactly what Accord offers and how you, Accord, support me, you’re invaluable to me and whilst I am working, I will never stop being an Accord member.

    It's hard to get across to members and non-members sometimes what exactly it is Accord offers and not everyone gets it, but I have been a member and a rep for some time now and I see all the good you guys do and that’s why I would never ever give up on Accord.

    It goes without saying, but keep doing what you’re doing, because Accord does make a huge difference to a lot of people directly and indirectly, members and non-members alike.

    I love working for CME, Clerical Medical, HBOS, LloydsTSB and now Lloyds, but honestly what shenanigans would they get up too if they didn’t have Accord to keep them grounded.

    Thanks again Ged and the team for all your amazing work and I’m not worried about my future because I have Accord in my corner.

    Anthony

    I’m a band F colleague and line manager and have been with Accord for over 35 years. I’ve been lucky enough to never need to call on Accord until recently when I needed support with an issue that had arisen at work. 

    The support and response I had from Linda was second to none, she was there for me, listened to me and my concerns and was incredibly supportive at a very upsetting time. Linda reassured me and really helped me to put things into perspective whilst being realistic about what the outcome could be. This honest appraisal was a massive help to me. 

    Additionally, Linda talked me through the process, what would happen and as well as helping me to prepare was there with me in the meeting giving me moral support. 

    I have always been an advocate of Accord but now I’ve made use of the services myself I would strongly encourage anyone to become a member, you never know what’s around the corner.

    Member, Band F
    Woman viewing Accord Vs People Forum infographic on tablet

    Accord Vs People Forums

    The new employee forums introduced by Lloyds Banking Group for Grades D and above do 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 the 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.

    Skills for the Future: What the New Agreement Means for You 

    At Accord, we’re always working to secure the best opportunities for our members. That’s why we’re proud to announce the signing of a new Skills Agreement with Lloyds Banking Group (LBG) and Unite. This agreement is a big step forward, ensuring that our members in Grades A – C have access to the tools and support they need to thrive in a changing workplace.

    Here’s what it means for you as an Accord member:

    A Future-Ready Workforce

    LBG and the Unions are committed to helping you develop new skills or build on what you already know. This isn’t just about keeping up – it’s about staying ahead in a fast-evolving industry. Whether it’s learning cutting-edge technology, adapting to new roles, or tackling challenges with confidence, the agreement has your back.

    Union Power in Action

    The agreement strengthens the role of Accord, ensuring that your voice is heard loud and clear. With 30 new Union Skills Champions and a dedicated LBG Skills Council, Accord will play a vital role in shaping the skills agenda and ensuring fair access to opportunities for all.

    Innovative Alternatives to Redundancy

    One of the standout features? A commitment to exploring options like retraining and reassignment before considering redundancy. This means more pathways for you to grow within LBG, even if your current role changes.

    Investment in Research

    The partnership will invest in academic research, helping us stay ahead of industry trends and ensuring your skills remain relevant and in demand.

    A More Inclusive Future

    The agreement focuses on advancing equality by making opportunities accessible to everyone. From diverse hiring to developing roles for the future, this is about creating a workplace where all members can thrive.

    Why Being an Accord Member Matters

    As a member of Accord, you’re not just getting representation – you’re gaining access to career-enhancing opportunities. Our partnership with LBG means we’re at the forefront of initiatives like this Skills Agreement, which directly benefits you.

    Together, we can ensure a brighter, more secure future for everyone.

    Pay & Reward in LBG & TSB

    Pay Increases in LBG for 2025


    At this time of year, Accord would usually be communicating with members about pay negotiations before an April settlement. However, last year, for the first time, Accord and Unite jointly negotiated a two-year pay deal for 2024 and 2025.

    Our rationale was that, with high inflation driving major increases in the cost of living, we wanted to give members greater certainty about their finances. 

    As always, the proposals were put to members in a consultative ballot, in which nearly 70% voted. And of that 70%, almost four in five voted yes. This was a clear mandate in favour of the two-year pay deal.

    A year on, that deal is looking good against the current rate of inflation. 

    For April 2025:

    • We secured a £1,500 pay rise (or 4% if this is higher) for full-time staff in grades A to E.
    • For staff in grades F & G the budget is 3.5%.
    • As a result of the union agreement 29,000 colleagues will receive increases of between 4% & 7%

      As a result of successive union agreements, the starting salary for new employees in grade A has increased by a third since 2021. From April 2025, the minimum salary in LBG will be £25,000.

      TSB Pay


      Talks between Accord & Unite and TSB about reward in 2025 are ongoing.

      If past practice is repeated, TSB will publish the variable pay award for last year and the outputs from the joint talks on the 2025 pay review together. This is currently expected to be in early February.

      The unions have approached the pay negotiations positively, trying to jointly build an outcome that members will support.

      Since January 2023, flexible benefits for staff in grades B - D have been 5% higher than other grades, providing guaranteed payments throughout 2024. Any variable pay award (VPA) is also worth 5% of salary. Staff in grades E - F continue to receive a 10% VPA with no additional Flex. In good performance years, a little more is paid out. But in poor performance years, their awards are lower.

      Whilst the variable pay award looks backwards and will hopefully provide a share in TSB’s success in the last financial year, the 2025 pay review looks forward from April 2025 against a (thankfully) much lower inflationary environment than in the recent past. However, people are still feeling a squeeze on their incomes.

      So, Accord won’t make an agreement with TSB on the 2025 pay proposals until we’ve consulted members.

      Look out for more news in February.

      Doctor wearing cancer ribbon holding woman's hand in support - stock photo

      GPS Awards for Members Undergoing Cancer Treatment

      Accord is calling on LBG to make full GPS awards to members undergoing lifesaving treatment.

      Alison McMillan had worked for LBG for 34 years when, last July, she was diagnosed with breast cancer. She began treatment and, for many months, worked while she was undergoing chemotherapy. But ultimately it was too much, and Alison had to take some time off.

      Like many colleagues in similar situations, Alison was distressed to realise that her GPS award would be reduced due to her period of absence. Under current LBG policy, any period of sick leave longer than 28 days triggers a reduction in GPS. The only exemptions are for pregnancy-related illness, disability change management leave, and workplace adjustment leave.

      “Having turned up and worked well in difficult circumstances, I felt let down by the group,” Alison told Accord in an email.

      This is an issue that members have raised with Accord on multiple occasions, and Accord has in turn raised it with the business. For many people, whether living with serious health conditions or not, it seems unreasonable to reduce payments to colleagues who have had no choice but to take time off to seek essential treatment. We also know that many members feel it's unfair to treat pregnancy-related illness in one way and life-threatening health conditions and disabilities in another.

      Alison has raised the question internally, including in a People and Places cancer support call. She says: “I got a hugely positive response from dozens of colleagues who agreed GPS should be paid for lifesaving treatment, or at least managers could have discretion where the colleague clearly worked as best they could during that difficult time.”

      While Accord appreciates the challenges of developing a blanket policy when serious illness affects people in so many different ways, we believe the Group could do more to recognise colleagues’ hard work in the most challenging circumstances.

      That's why we’re calling on LBG to revisit the policy and find a way to support colleagues more.

      In sharing this article with LBG, they pointed out the support they currently provide, including up to full sick pay for six months, followed by half pay for an additional six months, access to private medical care for primary cancers, options for critical illness benefits, and enhanced cancer cover. While we recognise these provisions, we will continue to campaign for further improvements.

      If you have a story about your GPS award being reduced while you were going through cancer treatment, get in touch with us: [email protected]