Following the conclusion of 2014 pay negotiations, DWP have now
published their pay offer for 2014.
Main Points of the offer:
·
A 1%
consolidated increase to all staff
·
No pay
progression
·
A 3% increase in
the AA Minimum
·
No
non-consolidated payments to staff with a ‘Must Improve’ box marking
· No consolidated
increase to staff with both a ‘Must Improve’ marking and who have commenced
formal poor performance action during the 2013/14 year
For the third year running DWP’s pay offer is again restricted by the
decision of George Osborne to limit consolidated pay increases in the public
sector to just 1%. PCS rejects this 1% cap on our members pay and is committed
to opposing it and arguing instead for our pay claim of a £1,200, or 5%, pay
increase for our members.
Enough is enough
Another year of a miserly1% pay rise cannot be tolerated. A 1% increase
in the total DWP pay bill means there was just an additional £28.2 million
available for consolidated increases this year. This sum, when divided between
the 95,000 staff in DWP means there is nowhere near enough money available to
meet the concerns of PCS members on pay.
A 1% pay increase means:
·
There is no
money to pay for pay progression. Members will again remain stranded on the pay
scales with no idea of when, or even if, they may ever reach the max for their
grade.
·
Another below
inflation pay rise. Whichever indicator of inflation you choose, a 1% increase
is well below the current rate of inflation. This equates to a pay cut for
members in real terms.
·
No money to
bring our members out of poverty pay, as prices keep on increasing while the
value of their pay declines.
·
40% of DWP staff
have to rely on tax credits to supplement their low wages. A 1% increase does
nothing to address this appalling situation.
·
DWP pay remains
lower than most other government departments, let alone comparable outside
organisations and allows for no element of catch up.
·
Again DWP
members are again being made to suffer under the government’s austerity
programme. Why should DWP staff continue to have to pay the price for the
economic crash?
·
Members
constantly receive messages of thanks from Ministers and senior managers for
the high performance of DWP. But these are just empty words unless backed up
with a real monetary reward.
·
This is the seventh
year of pay restraint in DWP and the third year of a 1% cap. Enough is enough!
Unsatisfactory performers
Members who have had formal poor performance action recorded on RM at
any time during the 2013/14 performance year, and who have received a ‘Must
Improve’ box marking will not be eligible for a consolidated pay rise.
AA Minimum
PCS persuaded DWP to increase the AA Minimum by 3%. This ensures that
everyone in DWP is paid more than the national Living Wage of £7.65 per hour
and goes a little way to addressing the issue of low pay in DWP. As a result
AA’s on the minimum will receive a consolidated increase of 3% and those just
above the minimum will receive an increase slightly higher than 1%.
Non Consolidated payments
The non-consolidated money has been distributed as follows:
|
Exceeded –
c. 20% of staff
|
Achieved –
c. 75% of staff
|
Must Improve –
c. 5% of staff
|
AA
|
£500
|
£450
|
Nil
|
AO
|
£600
|
£475
|
Nil
|
EO
|
£700
|
£500
|
Nil
|
HEO
|
£800
|
£500
|
Nil
|
SEO
|
£950
|
£500
|
Nil
|
Grade 7
|
£1,350
|
£500
|
Nil
|
Grade 6
|
£1,750
|
£500
|
Nil
|
Again DWP have refused to pay a non-consolidated payment to staff with a
‘Must Improve’ marking.
PCS is completely opposed to the refusal to pay the ‘Must Improve’ staff
a non-consolidated payment. Again in this year’s negotiations we made the case
for all staff to receive a non-consolidated payment. However DWP refused to
budge on this issue. The refusal to pay to the ‘Must Improve’ staff raises the
possibility that, in future, they may prefer to reduce or, even stop, making
non-consolidated payments to members with an ‘Achieved’ marking and concentrate
all the non-consolidated money on the top box marking.
Several other government departments have already stopped paying any
non-consolidated payments to staff with an ‘Achieved’ marking and there is no
doubt that DWP is under pressure to do the same. DWP have made it clear that
such changes to the non-consolidated pot are the preferred direction of travel
for the future.
With consolidated pay rises so restricted, and with pay progression
being non-existent the non-consolidated payment is an essential element of pay
for all members. It is unjustifiable to deny this to staff with a ‘Must
Improve’ marking.
Members have little confidence in the people performance appraisal
scheme. Year after year the appraisal system has been shown to be
discriminatory and to favour the higher grades. It is wrong for DWP to base any
decisions on pay on a flawed appraisal system. PCS argued instead for all of
the non-consolidated money to be converted into consolidated pay increases that
could have been used to fund, at least in part, a decent pay rise or pay
progression. However DWP were forbidden from doing this by Treasury-imposed
rules.
PCS Response – We all need a
pay rise
The DWP GEC has met and rejected this pay offer in line with PCS policy.
This is a derisory pay offer and goes nowhere near meeting the concerns of
members.
The GEC has decided not to run a formal ballot on this pay offer given
that a pay offer artificially restricted by the Treasury-imposed 1% cap cannot
be acceptable. Also as PCS nationally is launching a ballot of members on the
national campaign for a fair pay rise across the civil service this week there
is no sense in running a separate ballot in DWP at the same time. DWP intend to
pay the award in July 2014 salaries.
Charles Law Fran Heathcote
Industrial Officer Group President