PUBLIC SECTOR PAY
Ministers must consider options to help councils implement equal pay
Ministers must consider legal reforms that would ensure employers and unions can reach agreements on equal pay via a process of arbitration, according to council leaders.
They are also urged to consider allowing councils to capitalise back pay in order to rectify anomalies in equal pay in local authorities.
Local authorities have until the 31 March 2007 to fully implement equal pay reviews of their workforce to bring the pay of women and men into line.
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In a recent report, “Unblocking the route to equal pay settlements in local government”, council leaders urged ministers to reconsider the capitalisation limit, which is currently set at around £200million, so that authorities can ensure that equal pay is met without jeopardising services.
As well as needing to find ways to fund equal pay, authorities need to be confident that they can strike deals with unions without the risk that settlements will be overturned by mass equal pay claims at employment tribunals.
One way of doing this is to have third party arbitration to ensure that the process is fair to all concerned.
A final word
"Councils want equal pay within their workforce and are working hard to achieve it. We are not holding out a begging bowl to central government. This is asking for the flexibility for councils to be allowed to access their own resources.” - Steve Bullock, chair of the Local Government Employers, which represents councils across the country on pay
Want to know more?
The Local Government Association (LGA), formed on 1 April 1997, promotes the interests of English and Welsh local authorities - a total of just under 500 authorities. These represent over 50 million people and spend around £74 billion a year on local services. For more details visit www.lga.gov.uk
To read the full press release online visit www.lga.gov.uk/PressRelease.asp?lsection=344&id=SXBA90-A7840AF1&ccat=344