Suncorp has hosed down Finance Sector Union (FSU) criticism of the company for imposing a four-year pay deal on employees with no guaranteed pay increases.

The union says Suncorp’s proposed pay deal offers no guaranteed across-the-board pay increases over four years, with workers on base pay entitled to a one-off 2% increase. Any further increases would come from a discretionary pool tied to measures such as performance.

The FSU and Suncorp are currently negotiating on a collective agreement for the company’s 17,000 strong workforce.

“It has taken 12 weeks of meetings to get to the all-important issue of pay in the negotiations, and we’re flabbergasted that all that’s on offer at the moment is not much more than a big fat zero,” FSU Queensland Executive Secretary Michael Clifford said.

But Suncorp spokesman Jamin Smith told insuranceNEWS.com.au the proposal is far from finalised and the group will continue to consult with employees.

“As the FSU would know by now, having been involved through the entire process to date, this is an initial proposal,” he said. “The proposal will develop and change as negotiations with nominated bargaining representatives continue.”

Mr Smith says the current proposal includes a guaranteed pay increase pool for base pay employees to be made available annually, at the level of 4% in 2011/12, 3.5% in 2013 and 3.5% in 2014.

He says Suncorp is moving to a single enterprise agreement across the group, with the company undertaking an employee survey and extensive meetings as part of that process.

“It is important to us that this agreement is competitive, equitable and fair,” Mr Smith said.