[UK] Lloyds boss acknowledges concern over use of staff data in pay negotiations

In the UK, the chief executive of Lloyds Banking Group acknowledged that there have been concerns over its decision to use information from employee bank accounts as part of pay negotiations, BBC News reports.

Charlie Nunn said, "We have definitely listened" after Lloyds received criticism for comparing staff spending habits to those of the wider public to see whether they had better withstood the cost-of-living crisis.

The group was reportedly found to have examined the data of staff banking with Lloyds, along with the savings rates and salary increases of its lowest-paid workers, assessing them against its customers.

In a recent town hall meeting with Lloyds staff, Nunn stated that the move "obviously has created some concern".

In comments reported by The Times, Mr Nunn said, "We haven't yet fully worked out what we will do differently going forward, although I think we should just do the investigation fully." 

During the same event, he reportedly clarified to staff that he stood by the approach that the bank had taken.

Lloyds said there is no formal investigation into the use of staff account data. However, it added that bosses were reflecting on such tactics ahead of next year's pay talks.

It faced questions from the Information Commissioner's Office (ICO) about the episode, yet did not undergo a formal ICO probe.

The banking group used what it described as "aggregated, anonymised data" to "ensure compliance with regulations and to reflect common practice of using data to underpin decision-making".

In a presentation, Lloyds reportedly told unions that its employees' finances had fared better than those of the wider public in recent years.

Staff are actively encouraged to bank with Lloyds and sign up for accounts as a condition of employment.

Following the pay talks, junior colleagues were offered increases of between 7% and 9%, with salaries increasing by £1,200 this year and next, to a minimum of £27,400.

At that time, unions recognised by the bank welcomed the pay agreement, with Accord general secretary Get Nichols describing the analysis as "really helpful".

Mark Brown - general secretary of the Affinity union, which represents Lloyds' employees but is not recognised by the group - said the bank had "no legitimate reason" to access staff accounts.

On January 16, a Lloyds spokesperson said, "Lloyds Banking Group is committed to fair and progressive pay that provides certainty and support for all colleagues, and in this case more junior colleagues.

"We have worked hard with our unions, using aggregated data and direct colleague input, and we are pleased that members of our recognised unions have voted to support our competitive multi-year pay proposal for 2026 and 2027 by a significant majority."

Source: BBC News

(Link and quotes via original reporting)

In the UK, the chief executive of Lloyds Banking Group acknowledged that there have been concerns over its decision to use information from employee bank accounts as part of pay negotiations, BBC News reports.

Charlie Nunn said, "We have definitely listened" after Lloyds received criticism for comparing staff spending habits to those of the wider public to see whether they had better withstood the cost-of-living crisis.

The group was reportedly found to have examined the data of staff banking with Lloyds, along with the savings rates and salary increases of its lowest-paid workers, assessing them against its customers.

In a recent town hall meeting with Lloyds staff, Nunn stated that the move "obviously has created some concern".

In comments reported by The Times, Mr Nunn said, "We haven't yet fully worked out what we will do differently going forward, although I think we should just do the investigation fully." 

During the same event, he reportedly clarified to staff that he stood by the approach that the bank had taken.

Lloyds said there is no formal investigation into the use of staff account data. However, it added that bosses were reflecting on such tactics ahead of next year's pay talks.

It faced questions from the Information Commissioner's Office (ICO) about the episode, yet did not undergo a formal ICO probe.

The banking group used what it described as "aggregated, anonymised data" to "ensure compliance with regulations and to reflect common practice of using data to underpin decision-making".

In a presentation, Lloyds reportedly told unions that its employees' finances had fared better than those of the wider public in recent years.

Staff are actively encouraged to bank with Lloyds and sign up for accounts as a condition of employment.

Following the pay talks, junior colleagues were offered increases of between 7% and 9%, with salaries increasing by £1,200 this year and next, to a minimum of £27,400.

At that time, unions recognised by the bank welcomed the pay agreement, with Accord general secretary Get Nichols describing the analysis as "really helpful".

Mark Brown - general secretary of the Affinity union, which represents Lloyds' employees but is not recognised by the group - said the bank had "no legitimate reason" to access staff accounts.

On January 16, a Lloyds spokesperson said, "Lloyds Banking Group is committed to fair and progressive pay that provides certainty and support for all colleagues, and in this case more junior colleagues.

"We have worked hard with our unions, using aggregated data and direct colleague input, and we are pleased that members of our recognised unions have voted to support our competitive multi-year pay proposal for 2026 and 2027 by a significant majority."

Source: BBC News

(Link and quotes via original reporting)