The union said it had negotiated an up to 23% pay rise for drivers and up to 10% for warehouse staff employed by GXO, at sites across the nation. The 15-month award runs to 1 January 2023.
The sites covered include Coventry, Derby, Hams Hall in Warwickshire, Livingston, Minworth in the West Midlands, Newton Heath in Manchester, Thatcham in Berkshire and Wakefield.
Unite national officer for the food and drinks sector Joe Clarke said: “This inflation-busting increase goes some way to address the cost of living increases our members are currently experiencing.
“It also helps the employer in relation to the labour shortages they are now facing within the food drinks sector post-Brexit and as we come out of the pandemic.
“Our members fully deserve this increase – and credit goes to the reps’ negotiating team within GXO. This increase follows on from a 4% increase within GXO drinks logistics for our beer delivery members.
“Thanks to our reps’ negotiating skills and solidarity we have achieved a massive milestone during these very difficult times, leading to a solid foundation as we move forward.”
There had previously been planned strike action by 1,000 draymen before the improved pay offer from GXO was put forward and it was postponed.
Unite had recommended the draymen, which it estimated were responsible for about 40% of beer deliveries across the UK and were based at 26 sites, accept the 4% pay offer.
The trade union labelled GXO’s previous pay offer of 1.4% as “paltry” and 97% of its members voted in favour of strike action and for industrial action short of a strike by 99% over the company’s offer of 1.4% for 2021.
The dispute was settled after the workers voted in favour of accepting a higher pay offer. Unite members voted by an 80% majority on a 94% turnover to accept the new offer of 4% from GXO for this year.