The details of the pay awards for Cambridgeshire County
Council employees have now been announced.
The agreement is for a 1% pay rise for the majority of staff, 0.8% for
the middle management band and 0.5% for the most senior staff.
It is interesting to see the conflicting pressures and views
on this – our two biggest opposition political groups called for 0% for the top
two tiers (albeit the Lib Dem member of the committee voted at the committee just for 0% for the
most senior management - more of which later) whereas the Unions called for 1%
across the board – that suggests to me that the recommendation that Cabinet put
to the Appointments and Remuneration Committee was probably about right.
I found the Liberal Democrat stance on this
extraordinary. The proposed pay rise
went through our group leaders before the recommendation went forwards. To be fair to the UKIP group, they were
consistently opposed to a rise in the top two tiers – and they were the only
group to oppose at group leaders.
So having nodded the change through at group leaders,
imagine my surprise when all of a sudden the Lib Dems chose to release details
of a confidential paper to the media and, in my view, blatantly lied.
Their press release said this:
“High-earning Cambridgeshire County
Council officers could get a pay increase just weeks after the rest of the
staff were told they face a pay cut and even possible redundancy.”
The Lib Dems know (they know because
they tried to spin this before and had the truth pointed out to them) that if
the reduction in salaries we are consulting on is implemented it will apply to absolutely
all staff – so if the proposed
reduction was combined with the pay rise which is 1% for the lower tier, 0.8%
for the middle tier and 0.5% for the top tier, senior staff would face a bigger
reduction (2.5%) than more junior staff (3%).
The Lib Dems have since spun this to talk about specific figures – but
the basic truth is clear, if we went forwards with a salary reduction, senior
staff would be hit hardest both in percentage and numerical terms (although it
is worth pointing out for accuracy that the reduction would
start next April whereas all the agreed pay rises will be backdated to April).
Does this matter? It does for two
reasons:
1. The
electorate deserve to be told the truth; I want opposing groups to challenge
when they think we have got it wrong and to put forward alternative arguments –
but if they have to bend and twist the truth like this, then it helps
no-one.
2. This particular deceit has the potential to drive
a wedge between senior staff and the employees of the Council. We have amazing staff who are facing tough
times, they do not deserve to be lied to, things are tough enough financially
in Cambridgeshire without this.
Next year there are elections taking
place in Cambridge and in some of our Districts. Ask yourselves this question – do you want to
elect someone to power who is willing to mislead you in the way the Lib Dems
have here?
The issue about salary reductions is
being sold by some almost as a done deal; it is absolutely not the case. The proposal is part of a wider review of pay and
conditions which encompasses a number of options, we decided to include
a possible 3% across the board reduction in salaries in light of the fact that we have
£33m of savings to find for FY2014/2015; it was right to ask the question – but
I made it clear at the last full council meeting that we had to be very mindful
of the impact of such decisions on staff morale and on recruitment and
retention - so we will listen to the voice of staff.
I have also consulted with a few other Council Leaders who have already made
decisions to reduce salaries so I can get their views on the impact on their staff. I, and my Cabinet colleagues, are waiting to see the
responses from the consultation before we make any recommendations (and of course we will consult other political groups as well). I am pretty sure that any final outcome will
have a number of significant tweaks to what was consulted on, because I am
determined that this should be a proper consultation and not tokenism.
For information, here are a few basic
facts about salaries in Cambridgeshire:
1.
Government
indicated to Council’s that it should challenge the ratio between the lowest
paid council employees and the highest and if it was higher than 1:20 then it
should do something about this. Cambridgeshire’s
ratio is well below this at 1:15.
2.
Cambridgeshire’s
workforce has been reducing over recent years and this has included the senior
leadership team; for example from our CLT team over the last 2 years we have
seen a reduction in the number of Executive and Service Directors, which has
resulted in 15% less capacity and equivalent reduction in cost of over £300,000
per annum.
3.
The
pay increases announced were not just concerned with Directors and senior
managers, in fact these were the minor number - it included over 1,000 of our
employees that deliver services to our communities on a daily basis – senior
social workers, children’s centre managers, engineers, education advisers; senior
professionals/managers whose average salary is 36k.
A final point, we could of course have
given absolutely nothing to our most senior managers, and some would say they can
afford it. However – we do have a duty
to ensure that we keep the best staff in Cambridgeshire. The Leader of the UKIP group has challenged
whether there is a real issue here – in fact he said on the radio:
“At the end of the day it’s a captured
market. So these executives move from council to council, constantly raising
the costs, and claiming that they’d earn twice the money if they were out in
the public sector.”
The accuracy of that comment will
unravel in the next few weeks. But the
truth is that our Strategic Directors are responsible for budgets that can run
into hundreds of millions of pounds, they run services that keep children and
vulnerable adults safe and are responsible for leveraging millions of pounds
into the County Council’s coffers – so I want the best people in Cambridgeshire
because 2nd best means less safe people and less money coming in
from outside sources; our view was that the differential pay rise sends a
message that we recognise the value and the great work that all of our staff do
from the top to the bottom of the organisation whilst providing some balance.
UPDATE: The news was released late last week that one of our Strategic Directors is moving to take up a Directorship in Royal Mail - this means that the last two Directors to leave the employ of Cambridgeshire County Council have not moved from "council to council" - which is the claim made by UKIP.