Pay and Reward Meeting
description
Transcript of Pay and Reward Meeting
Pay and Reward Meeting
Today’s meeting
• Background to the proposed changes to the Council’s pay structure
• Overview of proposed changes• What happens next
Background• 50% reduction in Government funding to SCC
by end of 2015/2016• Savings have had to be found across the
organisation• Increment freeze for the past three years• Continuing with the increment freeze is not
sustainable• Increments unaffordable - £4.7 million next
year
Pay principles– Protection for the low paid - Living Wage– Maintaining national pay bargaining– Protecting as many jobs as is reasonable for as
long as possible– Affordability– Pay that allows the Council to retain, motivate and
attract staff– Implementing this approach across the board -
Soulbury, JNC, LGS, Craft
Out of scope
• Former Sheffield Homes• Former Public Health• Other staff TUPE’d into the Council• Teachers • School based staff
Pay proposal
• Move to fixed (‘established’) point for each grade
• Fixed points would be set as follows:• Grades 2 & 3 - one point below the highest point in
the current grade• Grades 4 & 5 - at the upper mid point of the current
grade • Grades 6 and above - at the lower mid point for the
current grade
Pay proposal
•Movement to the new rates would be in three equal instalments, from April 2014
• Entry level rate for new starters– Removes potential of existing staff being paid less
than new starters– Interim to April 2016
Pay proposal
•National pay awards will continue to apply•Grade structure and role profiles would be maintained
• 12 month protection for lower paid
Pay proposal
• Under the proposals:– 69% of employees will move up the pay scale– 23% of employees will receive less pay– 8% of employees will stay the same
•We estimate these changes would cost £1.7m in 2014/15, and less than half the cost of increments over a three year period
Proposed GradesSCC Grade Proposed Salary
Grade 1
£12,915
Grade 2 £14,880
Grade 3 £16,604
Grade 4 £18,638
Grade 5 £21,734
Grade 6 £24,892
Grade 7 £28,992
Grade 8 £32,072
Grade 9 £36,676
SCC Grade Proposed Salary
Grade 10 £41,148
Grade 11 £46,442
DG 7 £55,577
DG 6
£65,375
DG 5
£75,086
DG 4
£80,590
DG 3
£85,737
DG 2
£94,736
EX DIR
£123,066
Impact on Basic pay
SCC GradeMax % Impact On Grade If There Is a
Decrease
Max % Impact on Grade If There is
an Increase
Grade 1
no impact
Grade 2 - 2.03% +11.70%
Grade 3 - 2.03% +9.32%
Grade 4 - 5.95% +9.65%
Grade 5 - 6.27% +9.67%
Grade 6 - 8.90% +7.35%
Grade 7 - 7.18% +5.85%
Grade 8 - 8.09% +5.81%
Grade 9 - 6.80% +5.11%
SCC GradeMax % Impact On Grade If There Is a
Decrease
Max % Impact on Grade If There is
an Increase
Grade 10 - 6.04% +4.57%
Grade 11 - 5.39% +6.05%
DG 7 - 4.55% +2.43%
DG 6
- 4.54% +2.3%
DG 5
- 2.39% +2.51%
DG 4
- 1.29% +2.33%
DG 3
- 4.56% +2.45%
DG 2
- 4.82% +2.50%
EX DIR
-13.04% +5.27%
Numbers impacted in each grade
Number of Employee’s Impacted by Grade If there Is:
SCC Grade a Decrease an Increase No change
Grade 1 7 29
Grade 2 10 221 29
Grade 3 235 371 75
Grade 4 283 857 22
Grade 5 174 624 235
Grade 6 215 564 34
Grade 7 105 447 78
Grade 8 134 551 29
Grade 9 143 334 32
Number of Employee’s Impacted by Grade If there
Is:
SCC Grade a Decrease an Increase No change
Grade 10 82 106 14
Grade 11 43 97 6
DG 7 24 14 3
DG 6 6 5
DG 5 2 3 2
DG 4 1 5 5
DG 3 2
DG 2 2
EX DIR 2 1 1
Other issues
• The principles• Protection for staff in MER processes• Living Wage• Enhancements - no proposal• Pension
Wider aspects of pay and reward• Career and learning and development • Enhanced salary sacrifice schemes
– Green travel– Training expenses– Annual leave/career breaks, etc
• Performance management - career record and create a career path
• Work/Life balance • Physical environment• Pension employer contributions
Trade Unions
• Trade Unions are planning to ballot members on the proposal - aim to complete by end December
• If the ballot result is a Yes – collective agreement and the proposal is implemented without any additional process
• If the ballot result is a No - they may ballot for industrial action
Next steps/more info
• New pay structure would be implemented from 1 April 2014
• You can find more information by:• Visiting the pay and reward section of the
Intranet – http://intranet/payandreward• Reading the FAQs on the Intranet• Raising a question through the
payandrewardenquiries mailbox