Pay policy statement 2022

Our policy statement

What is this Policy Statement about?  

This Policy Statement explains how Bassetlaw District Council makes decisions about pay and reward for staff, including its senior officers. 

The Statement includes information about the levels of pay and reward for the financial year 2022/23. Where information for 2022/23 was not available at the time of publication, the latest available information is provided.

Our Corporate Management Team

Who are they and what do they do?

The Authority’s senior officers are its Corporate Management Team, which currently comprises the Chief Executive, two Directors and six Heads of Service for Finance & Property, Corporate Services, People & Culture, Housing, Neighbourhoods and Regeneration.

Together, the Management Team is the key officer decision making body, and works alongside with, and for, the elected Councillors to deliver services for local people. These services include activities such as a refuse service for every household, street cleaning, parks and open spaces, housing, council tax and benefits, planning, and work to develop and regenerate the Bassetlaw area.

The Management Team is responsible for an annual gross expenditure budget of £53.1 million plus Housing Revenue Account expenditure of £21.1 million, making a total for 2022/23 of £74.2 million. The Council employs 544 staff (499 full time equivalent staff) and the Management Team leads and directs an organisation that represents the interests of the people of Bassetlaw to national Government and works in partnership with other organisations, including the local NHS and the voluntary sector, to secure a better quality of life for Bassetlaw residents.

Our policy on senior officer pay

How do we decide what to pay our Senior Officers?

In setting the pay and reward of its senior officers, the Authority has regard to the national guidance documents published by the Joint Negotiating Committees for Local Authority Chief Executives and Chief Officers.

In compliance with this guidance, the approach to pay and reward for senior officers was determined following an independent review and pay benchmarking exercise in 2006. The objectives in carrying out this review were:

  1. to ensure that pay levels reflected the appropriate market rates, and
  2. that the authority is able to attract and retain suitable and experienced senior staff.

Following the retirement of the previous Chief Executive, a benchmarking exercise was undertaken, examining typical salary levels for Chief Executive posts in comparable organisations. As a consequence of this work, the Council in December 2012 made a decision that, upon appointment of a new permanent Chief Executive, a new (reduced) salary would apply. A further independent review and pay benchmarking exercise took place following the transfer back in-house of the housing management function. This identified that the pay associated with the position of Chief Executive was out of step with the market, and Council subsequently approved that it be re-set at the average level of neighbouring district councils.

How do we decide on pay increases?

The Authority applies the nationally negotiated pay settlements agreed by the national Joint Negotiating Committees for Local Authority Chief Executives and Chief Officers.

What are Senior Officers paid?

The pay of the Chief Executive is based upon 3 incremental salary points, and that of individual Directors and Heads of Service is based on 4 incremental salary points, and the rates are as set out in the table 1.

Post

Point 1

Point 2

Point 3

Point 4

Chief Executive

£116,313

£118,368

£120,423

None

Director of Corporate Resources and Section 151 Officer

£82,914

£85,253

£87,584

£89,922

Director of Neighbourhoods and Regeneration

£82,914

£85,253

£87,584

£89,922

Head of Finance and Property Services

£61,892

£64,231

£66,565

£68,903

Head of Corporate Services

£61,892

£64,231

£66,565

£68,903

Head of Regeneration

£61,892

£64,231

£66,565

£68,903

Head of Neighbourhoods

£61,892

£64,231

£66,565

£68,903

Head of Housing

£61,892

£64,231

£66,565

£68,903

Head of People and Culture

£61,892

£64,231

£66,565

£68,903

 

Progression to a higher point within the grade is dependent upon satisfactory performance linked to the Authority’s performance appraisal system.

The Council Solicitor undertakes the role of Monitoring Officer, which is recognised through a separate allowance of £4,218 per annum in addition to annual salary at grade 12, which contains five pay points ranging from £47,969 to £52,743 per annum.

What other payments are made?

There are no additional bonus, performance, honoraria or ex-gratia payments made to Chief Officers for carrying out their duties.

Payment of Professional Fees

All staff, including senior officers, who are required to retain full membership of a professional body relevant to their current post may claim reimbursement of the one annual professional fee. Where an employee is undertaking an approved course of study, the relevant subscription may be reimbursed.  On completion of the approved course of study, any conversion fees to full membership will be paid, subject to the course of study being relevant to the employee’s current post.

Healthcare Cash Plan

The Council is committed to the health and wellbeing of all staff, and as part of this introduced a discretionary healthcare cash plan from 1 April 2020, accessible to all staff.

Other Conditions of Service

Other Conditions of Service are prescribed by the Joint National Council (JNC) conditions of service for Chief Executives/JNC conditions of service for Chief Officers.

Returning Officer Fees

Special fees are paid for Returning Officer duties which are not part of the postholder’s substantive role.  These fees are payable as required and can be made to any senior officer appointed to fulfil the statutory duties of this role.  The Returning Officer for this Authority is the Chief Executive, who is appointed under the Representation of the People Act 1983. Whilst appointed by the Authority, the role of the Returning Officer is one which involves and incurs personal responsibility and accountability and is statutorily separate from the Officer’s duties as an employee of the Authority.  As Returning Officer a separate allowance is paid for each election for which the Officer is responsible.

The allowance payable is determined on an annual basis by the Nottinghamshire Group of Electoral Services Managers by reference to the national guidelines and rates set.  Any administration fees paid to other officers for election duties are set by this Group and approved by the Returning Officer.

Senior officer recruitment

How are Senior Officers recruited?

The Chief Executive is the Authority’s designated Head of Paid Service. The Authority’s Constitution sets out the process that will be followed when making an appointment to this post. In particular:

  • The Appointments Panel has delegated authority, within relevant legislation, Council policies and agreed appointment procedures, to recommend to Council the appointment for the position of Chief Executive (Part 3, page 3.35). The Appointments Panel is made up of nine elected members.
  • The Council has the authority to confirm the appointment of the Head of Paid Service (part 3 page 3.1). The Council is made up of all 48 elected members.

In confirming the appointment, the Council will also approve the remuneration package that will apply. Any changes that are subsequently proposed to the remuneration package of the Chief Executive that fall outside the scope of the nationally negotiated pay settlements will be subject to approval by the Council.

The appointment of Chief Officers is governed by the Authority’s Constitution, which sets out in particular:

The Appointments Panel has delegated authority, within relevant legislation, Council policies and agreed appointment procedures, to make appointments to posts of Directors and Heads of Service within the Council’s agreed officer structure (Part 3 page 3.35).

In confirming the appointment, the Appointments Committee will also approve the remuneration package that will apply, within the established pay range for the post (subject to the threshold set out in the subsequent paragraph of this statement).

Full council will vote before a salary package of £100,000 or more is offered in respect of a new appointment. A salary package includes annual salary, fees and allowances routinely payable to the appointee and any benefits in kind to which the officer is entitled as a result of their employment.

Staff below chief officer level

How do we decide what to pay staff below Chief Officer level?

Grades of jobs are determined by an evaluation of the job duties and the knowledge, skills and experience required to undertake those duties. This ensures that grades are fair and non-discriminatory. Basic pay is in accordance with the evaluated grade and the agreed pay structure.

The agreed pay and grading structure is that defined by the National Joint Council for Local Government Services, known as the National Pay Spine. Nationally agreed changes to the National Pay Spine came into effect on 1 April 2019.

The Authority applies the nationally negotiated pay settlements agreed by the NJC for Local Government Services. The most recent pay settlement provided for a 2.75% increase for 1 April 2020. No pay award has yet been agreed for 2021 or 2022.

The Authority has introduced a Living Wage payment from 1 April 2013, which means that for 2021/22, every employee will receive a minimum of £9.90 (rate at 1 April 2022) for each hour they work. The Authority received formal Living Wage accreditation in November 2013, in recognition of this achievement.

The Council undertook an extensive pay and grading review which was implemented from 1 April 2020. This provides for 12 grades using the national pay spine, which has been extended to scp 48 providing for a maximum pay of £52,743 below Chief Officer level.

Other Conditions of Service are prescribed by the NJC National Agreement on pay and conditions of service.

What is the "pay multiple"?

The Authority has regard to the Department for Communities and Local Government’s Code of Recommended Practice for Local Authorities on Data Transparency. This sets out the requirement to publish a pay multiple, which is defined as the ratio between the highest taxable earnings for the given year (including base salary, variable pay, bonuses, allowances and the cash value of any benefits-in-kind) and the median earnings figure of the whole of the authority’s workforce.

The salaries attributable to apprentices depend on age and progression through the apprenticeship, and are based on a proportion of the full rate for the job, to mirror national agreements. Given the specific nature of these appointments, it is felt inappropriate to include apprentices within the definition of lowest paid for the purposes of this policy statement and calculation of the pay multiple.

The calculation is based on the full-time equivalent staff and taxable earnings at 31 March 2021.

In previous Pay Policy statements the mean average has been used to calculate the pay multiple. Using the same calculation of the mean average, the pay multiple at 31 March 2021 is 4.66 to 1 (a slight increase from 31 March 2020 which was 4.4 to 1).

The calculation has also been undertaken using the median point. The pay multiple at 31 March 2021 based upon the median point is 5.32 to 1 (a slight increase from 31 March 2020 which was 5.03 to 1).

The Authority will track the pay multiple year on year in order to identify and analyse any shifts in the relationship.

Pay on recruitment and termination

How do we decide on starting salaries?

The Authority’s policy on starting salaries is the same for all staff, including senior officers, which is to offer an appointment to the minimum point of the appropriate salary scale or range that is attached to the post. However in order to secure the services of the best candidate, the Authority recognises that it may be necessary to offer appointment at a higher point within the appropriate salary scale or range. Individual members of the Corporate Management Team have the authority to make such a decision, subject to the approval of the Head of People and Culture, except in relation to the appointment of Chief Officers. In the case of Chief Officers the Appointments Panel (or the Council in the case of the Chief Executive) makes the decision, as set out in Section 4.

How do we exercise our discretions on pay when staff leave?

The Authority’s policy on discretionary payments when employment ends is the same for all staff, including senior officers. The power to award various discretionary payments is contained within a range of Local Government Regulations. Under the current Local Government Pension Scheme ("LGPS") Regulations 2013 (as amended), as a Scheme Employer the Authority must publish and keep under review a Statement of Policy to explain how it will apply certain discretions allowed for under the Pensions Regulations.

Local Government (Early Termination of Employment) (Discretionary Compensation) (England and Wales) Regulations 2006

Note: These regulations apply to current local government employees, regardless of whether or not the employee has joined the local government pension scheme.

Regulation 5 - the Authority may use its discretion to calculate redundancy payments by reference to an individual’s actual week’s pay, rather than the statutory maximum, where it is greater than the statutory maximum.

Council Policy: the Authority has resolved to use actual pay in the calculation of a redundancy payment, rather than restricting pay to the statutory maximum amount, ie the amount set from time to time by the Secretary of State as the maximum week’s pay for redundancy purposes.

Regulation 6 - where an employee’s employment is terminated due to redundancy or in the interests of efficiency the Council may pay the individual lump sum compensation of up to 104 weeks’ pay.

Council Policy: the Authority has resolved not to adopt this discretion at this time. The overall value of compensation in the event of redundancy will be established by applying the statutory rules governing the calculation of redundancy compensation payment (using actual pay). The payment is capped at a maximum of 30 weeks’ pay based on the last 20 years’ service.

No redundancy payment will be made where employment is terminated in the interests of efficiency.

Full Council will vote before any discretionary severance compensation payment award that is in excess of £100k is offered, mainly:

  • Salary paid in Lieu of Notice
  • Outstanding Holiday Payment
  • Redundancy/Compensation awarded under the Discretionary Compensation Regulations 2006
  • Any discretionary increase to pension entitlement awarded in accordance with the Local Government Pension Scheme Regulations 2013 (as amended)

Local Government Pension Scheme Regulations 2013, as amended by the Local Government Pension Scheme (Transitional Provisions, Savings and Amendment) Regulations 2014

Note: These regulations came into effect on 1 April 2014 and apply to active LGPS pension members and those former members of the LGPS who left after 31 March 2014. They amend and bring forward certain discretionary provisions from the previous Local Government Pension Scheme Regulations, 2007.

Regulations 16(2)(e) and 16(4)(d) - this discretion relates to whether, how much, and in what circumstances the Authority (as the Pension Scheme Employer) may contribute to an active pension members APC (Additional Pension Contributions) scheme.

Council Policy: the Authority has resolved not to adopt this discretion at this time.

Note: This does not relate to cases where a member has a period of authorised unpaid leave of absence and elects within 30 days of return to work to pay a shared cost APC to cover the amount of pension "lost" during that period of absence. In these cases the employer must contribute 2/3rds of the cost (Regulation 15(5) of the LGPS Regulations 2013).

Regulation R17(1) & TP15(1)(d) & A25(3) - An employer can choose to pay for or contribute towards a member’s Additional Voluntary Contribution (AVC) arrangement entered into on or after 1st April 2014 via a shared cost AVC.

Council Policy: "The Council will pay SCAVC contributions where an employee has elected to pay AVCs by salary sacrifice. The amount of these employer SCAVC contributions will not exceed the amount of salary sacrificed by the employee. This is a Council discretion which is subject to the employee meeting the conditions for acceptance into the salary sacrifice shared cost AVC scheme and may be withdrawn or changed at any time".

Regulation 30 (6) and 30 (8) - this discretion relates to whether all or some benefits can be paid if an employee, who is an active pension scheme member who has reached age 55 or over, reduces their hours or grade, with employer consent (flexible retirement), and if so (under Regulation 30 (8)) whether to waive, in whole or in part, actuarial reduction on benefits paid on flexible retirement.

Council Policy: the Authority has resolved to consider the adoption of Regulation 30 (6) on a case-by-case basis in consideration of the factors set out in the Flexible Retirement Policy, as follows:

  • The needs of the employee;
  • Cost and associated savings arising from allowing the request (the outcome should be cost-neutral within the current financial year);
  • Service implications;
  • Ongoing workload management implications (which should be the subject of consultation with the trade unions and affected staff before any decision is made);
  • Whether any structural changes are proposed or underway;
  • Whether any disciplinary, attendance management or capability procedures are underway in respect of the employee.

The Authority will not waive any actuarial reduction in benefits payable under flexible retirement.

Regulation 30 (8) – this discretion relates to whether to waive, in whole or in part, actuarial reduction on benefits which a member voluntarily draws (at age 55 or over) before normal pension age, other than on the grounds of flexible retirement.

Council Policy: the Authority will not waive any actuarial reduction to benefits payable under voluntary early retirement.

Transitional Provision Schedule 2, Para 1(2) – under these 2014 amendment provisions to the 2013 LGPS Regulations, the 85 year rule does not automatically apply to members who would otherwise be subject to it, when voluntarily drawing benefits on or after age 55 and before age 60 (other than on the grounds of flexible retirement). Under the provisions, the Authority has discretion to "switch on" the 85 year rule.

Council Policy: the Authority has elected not to adopt this discretion at this time.

Transitional Provision 3 (1) and Schedule 2, Para 2(1) – under these 2014 amendment provisions to the 2013 LGSP Regulations, and certain provisions carried forward from the LGPS Regulations 2007, the Authority has the discretion, under a number of retirement membership scenarios, to waive actuarial reductions on compassionate grounds. "Compassionate grounds" is not defined in the Regulations.

Council Policy: request for early release of pension benefits without actuarial reduction on compassionate grounds may be agreed by the Council. The grounds for compassionate early retirement are recognised by the Council as being where the beneficiary needs to care full time for a close relative, spouse, partner or other dependent who, through illness, requires full-time or substantial care for the rest of their life expectancy which is anticipated to be in excess of 12 months from the date of the agreed medical advice.

Regulation 31 - this discretion allows the Authority to grant additional pension, up to a specified maximum, reviewed annually (rate at 1 April 2016 is £6,675 per annum), to an active member or within 6 months of ceasing to be an active member by reason of redundancy or business efficiency.

Council Policy: the Authority has elected not to adopt this discretion at this time.

Discretions in relation to pension scheme members and who ceased active membership prior to 1 April 2014.

Under various historic Local Government Pensions Scheme Regulations and Transitional Scheme Provisions, there is a range of different discretionary pay elements, which change dependent upon a series of date bands when active membership ceased. These would be appropriately considered in regard to requests relating to deferred or suspended pension benefits from former employees, having regard to the Authority’s policy on discretions in place at the time. Further information in this regard is available from Human Resources.

Redeployment

The Authority’s Recruitment and Selection Policy recognises the importance of making appointments on merit, and ensuring equality of opportunity. Consequently, as a general principle, individual applicants for employment will be considered in accordance with this Policy and will not be denied employment purely on the basis of having previously been employed by the Authority.

However, an individual in receipt of a severance payment and/or early retirement pension will not normally be immediately re-employed or re-engaged by the Authority, either under of a contract of employment or a contract for services. It is expected that the Authority, when agreeing severance arrangements, will do so in the context of anticipated future requirements and plan its resources accordingly.

It is, however, recognised that in some limited, exceptional circumstances re- employment or re-engagement would be in the Authority’s interests, in which case approval may be given by the relevant Director, in consultation with the Head of People and Culture and the Chief Executive.

Where an employee retires on the grounds of ill health and later applies for employment this will be considered carefully in the context of the Equality Act and advice from the Authority’s Occupational Health Advisor.


Last Updated on Thursday, March 17, 2022