Agenda item

The Deputy Chief Executive and Section 151 Officer presented the Pay Policy 2025 – 2026 report for Cabinet’s consideration.

It was reported that the Localism Act required all English and Welsh Local Authorities to produce a Pay Policy statement. The Act required the statement to be approved by Full Council and to be adopted by 31^st March each year for the subsequent financial year. The Pay Policy Statement for Bromsgrove District Council 2025 – 2026 was included at Appendix 1 to the report.

The purpose of the statement was to provide transparency with regard to the Council’s approach to setting the pay of its employees by identifying the following:

a)    the methods by which salaries of all employees were determined.

b)    the detail and level of remuneration of its most senior staff i.e. ‘chief officers,’ as defined by the relevant legislation.

c)     the Committee(s) responsible for ensuring the provisions set out in this statement were applied consistently throughout the Council and for recommending any amendments to Full Council.

The Council’s pay and grading structure comprised of Grades one to eleven. These were followed by grades for Managers, Assistant Director 1, Assistant Director 2, Director WRS, Executive Director, Deputy Chief Executive and Chief Executive; all of which arose following the introduction of the Shared Services agreement between Bromsgrove District and Redditch Borough Councils.

It was explained that within each grade there were a number of salary / pay points. Up to and including Grade eleven scale, at spinal column point forty-three and that the Council used the nationally negotiated pay spine scale. Salary points above this were locally determined. It was clarified that the Council’s Pay structure was set out in point 6 in Appendix 1 to the report.

All Council posts were allocated to a grade within this pay structure, based on the application of a Job Evaluation process. Posts at Managers and above were evaluated by an external assessor using the Hay Job Evaluation scheme.

Bromsgrove District Council, like the majority of Local Authorities was committed to the Local Government Employers national pay bargaining framework in respect of the national pay spine and annual cost of living increases negotiated with trade unions.

All other pay related allowances were subject of either nationally or locally negotiated rates.

Bromsgrove District Council was managed by a Senior Management Team who managed Shared Services across both Bromsgrove District and Redditch Borough Councils. These management roles had been job evaluated on this basis, with the salary costs for these posts split between both Councils.

It was reported that the Pay Policy also set out the following:

·       The recruitment of Chief Officers

·       Additions to the salaries of Chief Officers

·       Termination payments

·       Advertisement/publicity of posts

Members were informed that like most Local Authorities, Bromsgrove District Council did not operate a performance related pay scheme.

The Council’s definition of lowest paid employees were persons employed under a contract of employment with the Council on full time (37 hours) equivalent salaries,in accordance with the minimum spinal column point currently in use within the Council’s grading structure. As at 1^st April 2024 this was £23,656 per annum.

Following the presentation of the report Members queried what the Hay Job Evaluation Scheme was. It was explained that this was a standardised system of evaluating the size of roles within an organisation.

Members further queried why there was a difference between the percentage paid by Bromsgrove District Council to the Assistant Director Environmental and Housing Property Services and the Assistant Director Community and Housing Services. It was noted that the percentage paid by the Council for these roles was thirty five percent,whereas the percentage paid for the remaining Assistant Director roles was fifty per cent. It was also clarified that in addition to the Bromsgrove responsibilities, these roles were also responsible for service areas more specific to Redditch Borough Council, such as Strategic Housing. As a result of this the larger percentage was paid for by Redditch Borough Council.

RECOMMENDED that

the Pay Policy 2025 – 2026 be approved.