Collective Bargaining — Pay Dispute Letter: Free Template and What to Include

If you need to open formal collective bargaining negotiations on pay with your employer, a written letter is the recommended first step — it creates a clear record and shows you're pursuing the matter formally. Below is what a strong collective bargaining — pay dispute should include.

What this letter needs to cover

• Confirm the union is recognised
• Set out the pay claim and the basis for it
• Request a formal negotiating meeting
• Warn of further action if negotiations fail

Opening formal collective bargaining on pay

Where a union has recognition (or is seeking it), formal collective bargaining allows pay and terms to be negotiated on behalf of the workforce collectively, rather than individually — this letter formally opens that process, setting expectations for a genuine, good-faith negotiation.

What to include before you send it

• Confirmation of the union's recognition status for collective bargaining purposes
• The specific pay matters you wish to negotiate
• A proposed timetable for negotiations
• A request for relevant information needed to negotiate meaningfully, such as company financial data relevant to pay decisions

Your right to relevant information for meaningful negotiation

Employers have a duty to disclose information reasonably required for collective bargaining to be conducted properly — refusing to share relevant financial or workforce data without good reason can itself become a separate dispute under the relevant statutory framework.

Frequently Asked Questions

Does the employer have to agree to whatever the union proposes?
No — collective bargaining is a negotiation process, not a mechanism that guarantees any specific outcome, though it must be conducted in good faith.

What if negotiations reach a genuine impasse?
ACAS collective conciliation can help facilitate a resolution, and in some circumstances, industrial action may become a considered option if formally balloted for.

[Your Name]
[Your Union Position, e.g. Branch Secretary]
[Union Address / Email / Phone]
[Name / Job Title, e.g. Head of HR]
[Company Name]
[Company Address]
[Company Postcode]
[Date]

Dear [Name],

Subject: Pay claim for [Year, e.g. 2026/27] – request to negotiate

I am writing on behalf of [Name of Union], which [Company Name] recognises for collective bargaining on pay for [group of workers], under our agreement dated [Date].

Our pay claim for [Year] is:
• [e.g. a [percentage]% increase on all basic pay rates from [date]]
• [e.g. [other items, e.g. an increase in the night shift premium]]

The basis for the claim: [e.g. inflation of [percentage]% over the past year / increased workloads / pay rates at comparable employers].

Please meet us for formal negotiations by [Date]. We propose [e.g. meetings every two weeks until [date]].

To negotiate meaningfully, please give us [e.g. the pay bill for this group and the company's latest financial results relevant to pay].

[Optional, if talks have already failed: Our members have rejected the offer of [details]. We are now using the dispute procedure in our agreement dated [Date].]

We hope to reach agreement. If negotiations fail, we will consider further action, which may include balloting members on industrial action in line with the Trade Union and Labour Relations (Consolidation) Act 1992.

Yours sincerely,

[Your Signature]
[Your Printed Name]
[Your Union Position]