Three-year pay deal worked out at NAB

Staff at National Australia Bank can expect more secure pay rises than colleagues at other banks, though they will still have to meet performance hurdles in order for their pay packets to keep up with inflation over the next three years.

The bank and the Finance Sector Union have this week publicised the terms of the new enterprise agreement proposed for NAB.

For lower level staff (or group one and group two under NAB's terminology) there will be a pay rise of four per cent in October 2011, or double the percentage rise paid in October 2010.

In 2012 and 2013 staff need to receive a performance rating of "valued contributor" or better at their annual performance review in order to receive a four per cent increase in each of those years.

Staff who receive a lesser rating at their performance review will receive an increase of two per cent in these years.

More senior staff, including technology specialists, will continue to have their pay reviewed in line with "market and performance criteria", though the bank will now circulate comparative wage data to assist staff prepare their case.

According to the FSU none of the other major banks - ANZ, CBA and Westpac - guarantees a pay rise for all employees in the respective groups as NAB has done.

Full-time staff working in MLC and NAB Wealth will continue to have to work half an hour a week longer, on average, than staff working in the core bank.

Staff working at the NAB data centre at Knox, in Melbourne's eastern suburbs, and at related "production" facilities (looking after cards, ATMs, electronic banking and so on) will continue, for now, to follow abnormal shift patterns, including 12 hour shift patterns.

However, the wording of the agreement suggests the bank may be more accommodating to the union's long-running wish to shift to more conventional work patterns for these staff in the future.