Pay commission for council workers issues report

PUBLIC SECTOR

Pay commission for council workers issues report

The Local Government Pay Commission last week published its report on the way forward for future pay and reward arrangements for local authority employees.

The commission was set up in November 2002 as part of the settlement which ended last summer's dispute -- the first national strike involving local government workers since 1989.

A set of wide-ranging terms of reference required the commission to provide an independent perspective on a vast array of issues related to the pay and reward of local government services staff, state its view as to how matters might be progressed, and recommend action.

National pay bargaining

According to the commission, the national agreement provides sufficient flexibility within which the individual local government employers can develop different approaches to pay and rewards. "The existing national agreement is in our view generally fit for purpose, although we suggest some important fine-tuning. It continues to provide an appropriate mix of local freedom and advantages of national determination," said Professor Linda Dickens, chair of the commission.

But the commission recommends that "consideration be given to moving towards having agreed national principles on remunerating certain working arrangement in the national agreement to be implemented locally rather than, as now, having detailed national specification rates which may be modified locally". So, for example, the national agreement might embody the principle that unsocial hours working should attract a premium unless an inclusive (higher) rate of pay recognises this, rather than stating the rate at which specified working time should be remunerated. This would allow local flexibility in jointly determining what constituted "unsocial" working hours since these may vary for individuals.

Pay for contribution

The commission supports a move away from the existing systems of long, service-based, incremental pay scales. "This move would support greater gender equality," it says.

An alternative to seniority or service-based progression is some form of pay for contribution. Says the commission: "We suggest consideration should be given to a combination of a limited number of service-related increments followed by some form of contribution-based pay progression. This could include progression based on the acquisition of skills, competencies, qualifications etc as appropriate."

Terms of reference for pay commission for local government services staff

1. To establish an agreed statistical basis for comparison between pay and rewards in local government and those prevalent in national, regional, and local labour markets in the UK and to make recommendations on how this statistical information should be collected in future.

2. To comment and advise upon the distribution of pay and rewards throughout local government, giving particular attention to low pay, equal pay, and the pay of part-time workers, managers, and professional staff.

3. To establish the extent and causes of recruitment and retention difficulties in local government, and to advise on their relationship to pay and rewards.

4. To consider and advise upon the implications of the use of agency and temporary staff for pay and rewards in the sector.

5. To examine the barriers to implementation of the 1997 single status agreement, and advise upon action needed to ensure its implementation throughout local government.

6. To consider and advise upon the pay and rewards for all patterns of work, including term-time working, giving particular attention to the need to encourage flexible working patterns to underpin service improvement and provide for a better work-life balance.

7. To consider and advise upon gender and race issues in relation to pay and rewards within the local government workforce.

8. To consider and advise on the implications of a mixed market in service provision on the pay and rewards of local government employees.

9. To advise on how pay and reward systems in local government should develop and the means to ensure the increased effectiveness of current bargaining arrangements.

A final word

"In dealing with the many complex issues before us we have tried throughout to be comprehensive and constructive. While many of our recommendations are aimed at the NJC parties, it is clear that there are other, important, stakeholders who must also play a full part in addressing particular issues. Given the complexity of the sector and issues we recognise that there are no 'quick-fix' solutions and this is reflected in the presentation and substance of our recommendations.

It is of vital importance to local communities and to the country as a whole that there is a well trained, motivated and suitably rewarded and respected workforce able and willing to provide high quality local government services. Our report is designed to help achieve that objective. There is in our view no contradiction between investing in staff and investing in improving services the two are inter-linked. We have encouraged various measures, such as training and development of staff at all levels within the context of strategic human resource planning, which can further this connection." -- Professor Linda Dickens, chair of the Local Government Pay Commission.

Want to know more?

Title: Report for Local Government Pay Commission, October 2003.

Availability: You can download the 148-page report in PDF format, free of charge, from the Local Government Pay Commission's web site at www.lgpay.org.uk

The Local Government Pay Commission has been established as part of a package of measures brokered by the Advisory Conciliation and Arbitration Service (Acas) which settled the local government services pay dispute in 2002. It has been set up by the Local Government Services National Joint Council (NJC), with assistance from Acas, but operates independently from the NJC, Acas and the government. The NJC secretaries are representatives from the National Employers' Organisation for Local Government Services and national unions UNISON, TGWU and GMB.

The negotiations of the NJC cover over a million employees, encompassing a wide range of occupations, from architects to cleaners, school meals staff to social workers. A large proportion of these employees are woman.

The chair of the commission was Professor Linda Dickens, University of Warwick. The four other commissioners were:

  • Michael Greenwood, then chief executive of Tameside MBC
  • Ian Kessler, Oxford University
  • Professor Aileen McColgan, King's College, London
  • Frances O'Grady, deputy general secretary of the TUC.

Posted 1 November 2003