Jaguar Land Rover workers are in line to receive an extra £1,000 if they approve a new pay deal.
Trade union Unite has agreed an inflation-beating, two-year pay and conditions deal for their members at the automotive giant.
Under the terms of the new deal, workers will receive a two per cent pay increase in the first year and in the second year will get a pay increase in line with the retail price index inflation rate, plus 0.5 per cent.
In addition, if workers approve the deal, which has an anniversary date of September 1, they will receive an additional £1,000.
In a statement, Unite said it believed it was reasonable to calculate that the two-year pay deal was worth 8.4 per cent for the workforce.
The union said it had also secured recognition for the first time for many junior managers at the company as part of the deal along with improvements in the company’s defined benefit pension scheme.
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Jaguar Land Rover is headquartered in Coventry and operates factories in Birmingham, Solihull and Wolverhampton alongside a plant in Halewood, Merseyside.
Unite national officer Des Quinn said: “This is a welcome pay increase and rewards the hard work and dedication of Jaguar Land Rover’s workforce.
“Securing recognition for junior managers at Jaguar Land Rover is particularly significant and Unite will ensure that the concerns and aspirations of this section of the workforce are fully accounted for in future.”
The pay deal, which is being recommended by Unite, is subject to approval by the union’s membership at the company.
JLR said in a statement: “Jaguar Land Rover is pleased to confirm that the company has reached an agreement with trade unions following its recent pay and conditions negotiations.
“The unions have agreed to unanimously recommend the offer to the workforce and a ballot will take place in the near future.”