Fujitsu workers at HM Revenue & Customs (HMRC) are set to strike for two days this month after union members voted for industrial action over a pay dispute. The Public and Commercial Services (PCS) union reports that while their Fujitsu colleagues received a 1.5% pay rise, HMRC staff doing the same jobs got a much larger increase of 5%.
More than 300 Fujitsu employees at HMRC will walk out on January 30 and 31. This action follows previous discontent, as Fujitsu staff turned down a 3-4% pay rise last January after discovering workers in Japan received raises up to 29%.
The backdrop to this dispute is the ongoing criticism of Fujitsu, especially related to the Post Office Horizon scandal. Many are calling for the company to be removed from government contracts, and this industrial action adds to the scrutiny of Fujitsu’s operations in the UK.
Even though the strike coincides with the January 31 deadline for online self-assessment tax returns, HMRC reassured the public that it wouldn’t disrupt return submissions since the striking workers are from Fujitsu, not HMRC itself.
PCS general secretary Fran Heathcote expressed frustration, stating it’s unacceptable for Fujitsu staff to earn less than their HMRC counterparts. She urged government ministers to step in and resolve the pay issue to prevent disruption to tax services.
An HMRC spokesperson mentioned they have plans to maintain service continuity during the strike. Meanwhile, Fujitsu had not responded to inquiries when this news broke.
Fujitsu is already facing pressure in the UK due to the fallout from the Post Office scandal. Sales to the public sector have plummeted, as the company agreed to stop bidding for new contracts until the inquiry into the scandal concludes. Just before the holidays, Fujitsu’s UK staff received a memo outlining steep cuts in travel, recruitment, and other expenses.
Moreover, Fujitsu reported a loss of over £170 million for the year ending in March 2024, a significant drop from the previous year’s loss of £99 million. Last September, the company informed UK employees there would be no pay rise due to budget constraints, further fueling dissatisfaction among a demoralized workforce.