The report of the Director of HROD is enclosed

The Committee considered a report of the Director of Human Resources / Organisational Development (HROD) which sought approval for changes to the Authority’s existing pay structure for staff employed on Grades 1 – 12.   Subject to approval through the established channels those changes would be implemented in 2019-20.

It was explained that the changes had been developed in consultation with the City Treasurer, the Executive Member for Finance and Human Resources and the Trade Unions at national level. The Committee noted that formal endorsement of the proposed changes by local trade unions would also be sought prior to implementation.

A summary of the changes were described in the report; the Committee noted that they had been developed with aim of:

?     Maintaining the integrity of the Council’s agreed pay and grading structure and focusing proposals and discussions on the practical implementation of the pay award and not broader issues of pay and grading

?     Ensuring the award implementation reflects national guidance issued by the NJC

?     Assuring implementation pays due regard to equality (a full Equality Impact Assessment has been conducted). 

?     Implementing the award within the parameters of affordability.

?     Continuing to ensure the Council’s lowest paid employees are paid at least the UK Living Wage. It is worth noting that subsequent to the pay ward being agreed, in November the Living Wage Foundation recommended an increase to the Living Wage to £9.00 per hour for 2019 - the Council operates on a standard working week of 35 hours, therefore the minimum hourly rate for the Council will equate to £9.51 per hour following the Award’s implementation.

With regard to how the award would be implemented, the committee noted that a straight line transition from the current pay structure was proposed with three variations in order to accommodate the new pay spine.  The rationale for each of those variations was explained in full in the report. This also included arrangements for new starters.

Comments from the Trade Unions were submitted for consideration: in essence these amounted to broad support for the new pay structure, particularly concerning he positive impact on the organisation’s lowest paid workers.

The Committee noted that opportunities for career progression within the new pay spine remained aligned with established corporate standards and would therefore remain unchanged.

The Committee agreed the proposals.

Decisions

1.            To agree the adoption of the new grade structure and spinal column points, as set out in Appendix 2 (attached), to be applied across staff employed by the Council on Grades 1 – 12 with effect from 1 April 2019.

2.            To agree the sequence of implementation for existing staff  and the arrangements for new starters as set out in sections 4 and 5 of the report

3.            To agree that the bar for enhanced overtime payments will remain at the top of Grade 6, which will now be (new) SCP 25.

4.            To note that whilst the National Joint Council pay award covers staff up to (new) SCP 43 in Grade 10, the Council’s grade structure will continue to extend up to Grade 12 (new) SCP 51.

5.            To recommend that Council approves the new pay line, with the intention that the new grade structure be formally endorsed as part of the Pay Policy Statement.