Issue - meetings

This report provides Members with a variety of options to consider in determining the pay award for employees for 2024/25.

The report of the Interim Chief Executive presented Members with five different options to consider in determining the pay award for employees for 2024/25, as set out in detail in 1.7 of the report.

Members noted that the Borough Council employees had a term in their contracts which read ‘Salaries will be revised on 1 April each year by an amount determined by the Authority having regard to movements in the Retail Price Index, comparative pay settlements and prevailing economic conditions’ and the Borough Council therefore determined its own pay awards and was not tied into the national process of collective bargaining.  The Borough Council’s current salary scales were attached at Annex 1 of the report and UNISON’s pay claim for 2024/25 at Annex 2.

The Chair proposed and it was seconded that Council Procedure Rule No 10.11 be suspended, to allow representative of UNISON to address the Committee on behalf of its members, during which concern was raised in respect of the significant fluctuation in cost of living, with particular reference made to the below inflation pay rise and its impact on members of staff of all grades.  Following the statement from UNISON, Council Procedure Rules were reapplied.

Particular attention was drawn to the significant rise of the National Living Wage (NLW) from 1 April 2024 as announced by the Government – a rise of 9.8% from £10.42 to £11.44 per hour, an increase of £1.02 per hour.  It was acknowledged that the Borough Council had a legal obligation to not pay below the NLW and due regard was given to the impact of the NLW rise as detailed in 1.3 of the report.

During discussion, Member further noted that a budget provision of £600,500 had been made for pay award inflation within the Medium Term Financial Strategy.  In order to address the pressures the Borough Council was facing both in response to the significant rise in the NLW and in recruitment and retention with particular reference made to M grade staff, Option 5 was identified as a preferrable pay award option for employees for 2024/25 and its financial implications were noted.  Members recognised the importance of sufficient and appropriate remuneration in securing valuable employees for the Borough Council.

RESOLVED:  That the Borough Council’s current pay structure be maintained by applying a fixed monetary amount of £1,900 increase to all ‘Local’ grades (scale 2 to Senior Officer (SO)) staff and a flat rate increase of 5% to all Management grades (M grade) staff, with effect from 1 April 2024 (as set out in Option 5).