"We just ended up agreeing on a figure, funded by savings that would be driven through the business supported by the GPMU," said Polestar Direct managing director Geoff Mordt.

The savings will be made by productivity increases on an ongoing basis which will be agreed by the union and the firm. "The company has agreed to the 2.75% claim made by the chapel members, which will be backdated to 1 January," said Ted Scott, deputy branch secretary central Midlands GPMU.

"It's where we wanted to be and it is better for both parties," added Mordt.