Now that our budget is open for consultation, a question has arisen about pay increases when we are proposing to lose 65 FTE in the next financial year.
This is a good question, so to put the record straight, salary increases for most Councils including Derby City Council are set by National Agreement with the National Joint Council (NJC) for local government services. The national settlement agreed in 2015 for the next two years is 1%, the second year of which is payable from 1st April 2017. Senior managers, teachers, and elected members are not covered by this agreement.
In a nutshell, we are not in a position to not pay the 1% increase. It’s agreed nationally with Trade Unions and so we have to budget for the increase, much as you would if you knew that your bills were going to go up at home.
The proposal to lose 65 FTE (full time equivalents, not necessarily 65 members of staff) is regrettable, and we only ever consider job losses when there are no other alternatives, but we will need to do so to balance the budget. There is more information on this proposal on our web site as part of our budget consultation.
You can find out more about the national pay award here on the Local Government Association’s website.
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Published: Monday 19th December 2016