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Rehashed Plans For Regional And Performance related Pay For Public Sector Workers Slammed

Monday, October 22, 2018

 

GMB CRITICISES REHASHED PLANS FOR REGIONAL AND PERFORMANCE RELATED PUBLIC SECTOR PAY

If the Government wants to talk about performance related pay maybe we should look at minsters’ record on public services says GMB Union

GMB has criticised rehashed plans to introduce regional and performance related public sector pay.

Senior Ministers - including Philip Hammond and Liz Truss - are pushing for the measures to be introduced, according the Telegraph. [1]

GMB says regional pay will introduce a postcode lottery which will widen inequality and see public sector workers forced to leave poorer areas just to keep the same salary.

Public sector pay rates are already 5.5% lower than those in comparable roles in the private sector, according to the ONS. The Treasury also estimates that public sector pay rates are lower than those in the private sector. [2]

The NHS Pay Review Body examined and rejected regional pay in 2012, concluding 'our research does not provide the firm evidence which would be essential to justify further investment in additional market-facing pay in the NHS at this time.' [3

Rehana Azam, GMB National Secretary, said:

“Regional pay in the public sector will create a post code lottery - people should be paid for the job they do and skills and experience they have - not where they live.

“It isn’t fair or practical and will weaken public services and lead to a talent drain from poorer areas.

“Performance related-pay just does not work in the public sector – how do you judge it? A paramedic who saves the most lives? It doesn’t make sense.

“The Government tried to introduce it in 2012 and was defeated then – why do they think it will work now?

“Meanwhile our public sector workers have got one hand tied behind their back because they are underfunded and understaffed thanks to this government.

“If the Government wants to talk about performance related pay maybe we should look at minsters’ record on public services.”

“The Prime Minister still hasn’t got a grip on why we have such a huge recruitment and retention problem in our public services.

“It’s because public sector works have faced a real terms pay cuts for nearly a decade. Pay rates have already fallen behind those in the private sector. These new plans won’t help.”

ENDS

Contact: GMB Press office on 07958 156846 or at press.office@gmb.org.uk

Notes to Editors

[1] Telegraph, 'Blanket public sector pay rises to be based on performance', 22 October 2018, https://www.telegraph.co.uk/politics/2018/10/21/blanket-public-sector-pay-rises-will-come-end-treasury-tells/

[2] 

Official estimates of the public/private pay differential, latest available figures (percentages)
 

 

Treasury

ONS – not adjusted for organisation size

ONS - adjusted for organisation size

2008

0.6

0.1

-4.0

2009

3.5

2.4

-2.0

2010

5.8

4.3

-0.4

2011

3.9

3.8

-0.7

2012

3.2

3.1

-1.0

2013

2.7

2.3

-2.1

2014

0.5

0.4

-3.8

2015

0.9

1.0

-3.4

2016

-0.6

-1.0

-5.5

Treasury Freedom of Information Act response to GMB, 18 October 2017 
ONS, Analysis of factors affecting earnings using Annual Survey of Hours and Earnings: 2016 (Figure 7), 26 October 2016 

[3] https://www.gov.uk/government/publications/market-facing-pay-how-agenda-for-change-pay-can-be-made-more-appropriate-to-local-labour-markets

 

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