Penneys staff secure pay rise

Three thousand Penneys staff have secured a 3.5% pay rise, it was confirmed today.

Workers in the company’s 38 clothes stores around the country earned the salary hike after negotiations with management.

Trade union Mandate said it was vital firms offer wage increases if business is doing well despite the recession.

Linda Tanham, Mandate’s assistant general secretary, said: “While Mandate recognises that some companies in Ireland are experiencing some difficulties as a result of the recession, there are others who have not been as affected as others.

“It is vital for this country, and indeed this economy that companies in a position to pay the terms of the negotiated National Wage Agreement do so in order to help get this country back on track by generating more consumer spending in the economy.”

The increase is due under the Towards 2016 pay agreement.

Mandate asked Penneys management last year about pay rises before the two sides entered talks at the Labour Relations Commission.

Under the agreement, the 3.5% increase will be paid in two separate instalments. Two per cent will be paid from January this year while a further 1.5% increase takes effect from June 2010.

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