CWU Pleased Uncertainty On Openreach Has Ended As BT And Ofcom Reach Agreement On Future Governance

BT and Ofcom have reached an agreement, on the future governance of Openreach, which will see Openreach, become a distinct, legally separate business within the BT Group. The settlement is based upon proposals issued by BT, which the regulator has said meets its competition concerns.

Andy Kerr, Deputy General Secretary, Telecoms and Financial Services, commented on the outcome: 

“We are pleased that the uncertainty for our members in BT and particularly those in Openreach has now come to an end. 

However, nothing will happen straight away for our members, and there are a number of pre-conditions that need to be agreed before our members transfer; this might take some time.  

For the CWU it’s vitally important that our members in the BT Pension Scheme are fully protected and their pension benefits are not affected. 

In addition, we will be doing all we can, during the TUPE consultation process to ensure that our Openreach members’ terms and conditions and job security are fully protected.” 

The settlement agreement will require CWU members (32,000 employees,) working in Openreach to be transferred from BT Group to Openreach Limited as a wholly owned subsidiary of BT Group.

Prior to the transfer of members to Openreach Limited, the agreement will be required to meet the following pre-conditions:

• Arrangements are in place for people to continue in their pension scheme when they transfer to Openreach Limited

• The BT Pension Scheme Trustee consent to Openreach Limited becoming a participating employer in the pension scheme

• Consultation with CWU and Prospect relating to the TUPE transfer of people to Openreach Limited.

Source: CWU

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