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Oct 28, 2013 (3 years and 9 months ago)

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UNISON Local Government NJC Pay 2014
-
2015

NJC Pay 2014


2015

Have your say on

local government pay

UNISON Local Government Service Group

UNISON Local Government NJC Pay 2014
-
2015

NJC 2014
-
15 Pay Claim: Context


NJC


the poor relation of the public sector


Meagre1% NJC pay rise after 3 year pay freeze


Widespread redundancies and cuts to terms and
conditions


Local Government facing unprecedented
funding cuts


40% by 2015


High profile pay campaign linked to possible
industrial action as part of wider strategy




UNISON Local Government NJC Pay 2014
-
2015

UNISON Options for the Claim

Two alternatives agreed by UNISON NJC
Committee for consultation:

Option 1


Living Wage (LW) hourly rate to be
minimum pay rate, with an equivalent percentage
increase on all other spinal column points

OR

Option 2


Flat rate increase of £1/hour on all pay
points which achieves the current Living Wage as
bottom NJC spinal column point and a flat rate
increase of £1/hour on all other spinal column points

UNISON Local Government NJC Pay 2014
-
2015

An NJC claim based on the LW

Both options are designed to provide:


Sector wide


not local
-

bargaining to achieve
LW


Maintenance of equal pay proofed single status
structures


Prevention of new rash of equal pay litigation


Clear focus for high profile campaign

UNISON Local Government NJC Pay 2014
-
2015

What does Option 1 mean?

A claim based on the Living Wage:


£1/hour on
scp

5 = £7.45


the outside London
LW rate


Equivalent percentage increase for
scp

6
-
49


Same increase throughout the pay spine


Addresses poverty pay at bottom and relative
low pay throughout structure









UNISON Local Government NJC Pay 2014
-
2015

What does Option 2 mean?

A claim based on flat rate increase of £1 an hour


£1/hour on new bottom NJC
scp

5 of £6.45
brings it to current LW level of £7.45 outside
London


Simple and also leaves grading structures intact


But increases existing compression in middle
and higher pay grades unless extension to spine

UNISON Local Government NJC Pay 2014
-
2015

Options Compared

UNISON Local Government NJC Pay 2014
-
2015

What is the Living Wage?



A wage sufficient to enable workers to live
decently and raise their families without hardship


A benchmark figure currently set at £7.45/hour
outside London and £8.55/hour in London



Below ‘official’ definition of poverty pay of
£7.47/hour


not a fortune


Paid on a voluntary basis


Updated each November


LW employer expected to implement new rate
within 6 months of announcement






UNISON Local Government NJC Pay 2014
-
2015

Where are we at with the

Living Wage?


Small


but


increasing number of councils have
adopted LW


Implementation methods vary


Growing number of councils making pay awards
above NJC and including LW


High proportion councils now considering LW


Talk of LW common across LG


important
UNISON not lag behind


Aim is to achieve LW through collective bargaining
and maintain single status pay structures


UNISON Local Government NJC Pay 2014
-
2015

Why a LW claim this year:

The Political Case


Growing public awareness and support for LW


TUC considering LW in Local Government
campaign


Think tank research continues to spotlight LW


Compass/IPPR Living Wage Commission


High level political support pledged from Labour
and supportive noises from Coalition




UNISON Local Government NJC Pay 2014
-
2015

Why a LW claim this year:

The Economic Case

Clear macro
-
economic case for LW:


IFS study
-

benefits for the Treasury


Queen Mary College research
-

multiple benefits
for employers

Economic benefits for local community because high
proportions of LG workers live in areas they work
and spend locally:


APSE and CLES research on LW & higher local
spending


every £1 spent generates further 64p


UNISON Local Government NJC Pay 2014
-
2015

Why a LW claim this year:

The Moral Case


Local government


the only sector with large
numbers of employees below LW


LW is below official poverty level of £7.47/hour


Partnership working and transfer of public health
staff puts spotlight on low pay in local
government


LW as means to tackle rising inequality falling
income and impact of poverty


LW as positive impact on social cohesion, health
and future wellbeing

UNISON Local Government NJC Pay 2014
-
2015

Why a LW claim this year:

The Recruitment & Organising Case


LW campaign provides clear focus and morale
boost for LG employees, members and activists


Branches, activists and paid officials will need to
engage very directly with members and non
members to explain campaign and commitment
to ending poverty pay in LG


Recruitment potential of high profile LW
campaign is clear


Option 2 has major recruitment potential



UNISON Local Government NJC Pay 2014
-
2015

Is a LW claim realistic?


Councils and employers can’t have it both ways


local implementation of LW but no


or low



NJC increases


Many councils want to address pay of middle
and higher earners


Councils are leaving


or threatening to leave


NJC to do better deals with staff


LW will boost morale and productivity

UNISON Local Government NJC Pay 2014
-
2015

Is a LW claim affordable?


Local government pay bill has fallen for last 3
years in real terms and is now 23.09% lower


In the last year the gross pay bill fell by 10%


Many councils have significant reserves


School funding has been protected
-

although
not inflation proofed


The LGE has mooted a ‘clean up’ of the NJC
pay spine to get money into the system



LG section is modelling implementation options

UNISON Local Government NJC Pay 2014
-
2015

Your pay


your say


Branches are asked to consult as widely as
possible


return results to regions by 4 October


The UNISON NJC Committee will consider
results on 11 October


GMB and UNITE are ending their consultations
to a similar timetable


The NJC Trade Union Side will agree contents
of the claim on 15 October


It’s time to end poverty pay in local government!


UNISON Local Government NJC Pay 2014
-
2015