Employers and unions on the Construction Industry Joint Council have concluded their negotiations and agreed an 8% rise in the general operative rate from 10th July 2023.
They further agreed a two-stage increase in all other rates, with a 6% rise from 10th July and an additional 1.5% rise from 1st January 2024 –a compound increase of 7.59%.
The general operative hourly rate, the lowest on the scale, goes up from the current national minimum wage of £10.42 to £11.25.
The craft rate rises from £13.64 per hour to £14.46 from 10th July and to £14.68 in January.
With effect from the 10th July 2023 the subsistence payment will be £49.08 per night. Industry sick pay, which is in addition to statutory sick pay, will be £154.02 per week, rising to £156.33 per week in January.
The CIJC is the largest of the construction agreements and predominantly covers civil engineering. Approximately 500,000 workers are affected by the agreement.
Sharon Graham, general secretary of the Unite trades union, said: “This is an important deal that not only increases workers’ wages but also establishes a pathway for improved conditions for a huge number of construction workers.
“Unite is totally committed to enhancing the jobs, pay and conditions of its members and both the pay increase workers will receive coupled with planned improvements in conditions, demonstrates the value of being a member of Unite.”
Unite national officer Jerry Swain said: “Following lengthy negotiations Unite was able to secure a significant increase in construction pay rates. The union will now be building on these negotiations to ensure that the CIJC agreement is fit or purpose and meets the needs and aspirations of construction workers.”
The union added that “the employers’ side for the first time have made a genuine commitment to modernise the agreement and are committed to meaningful review with Unite to improve the existing rules on holiday entitlement, sickness provision and pensions”.
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