Proposal to Remove Point 1 from Norfolk County Council Salary Scales
The proposal aims to remove Point 1 from Norfolk County Council's salary scales, impacting employees in NCC services and schools. Option 2, out of four options considered, is suggested as the solution. The impact on employees in schools is significant, with considerations for skills shortages and future pay reviews. Implementation is targeted for April 2023.
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Salary scales review Salary scales review Removal of point 1 on 1 April 23 Removal of point 1 on 1 April 23 Update to Schools forum Update to Schools forum Kate Philpin, HR Business Partner (Schools) 23 February 2022
Background/objective Background/objective To address National Minimum Wage pressures the 2022-23 pay review outcome for Local Government Services (Green Book) employees included a commitment to remove Point 1 from the national salary scales with effect from 1 April 2023. Norfolk County Council (NCC) uses the national salary points to make up its salary scales A-J. It is not a requirement to use the national points, but was agreed under the Modern Reward Agreement. Locally set pay points are used for Scales K and above. NCC s scale A is paid at the national point 1 rate (currently 20,258). Local implementation of this element of the national award therefore requires an adjustment to NCC s salary scales. Norfolk maintained schools are also covered by the change. The 2023-24 pay review will likely result in a further uplift to these rates and will consider the 2024 National Minimum Wage rates. Other wider changes to the salary scales including a commitment to consider shortening scales E-G are outside the scope of this review and will be considered post-April 2023 (agreed with Jonathan Dunning, UNISON). Objective Explain the proposed solution for removing point 1 from NCC s salary scales (option 2).
Impact The following number of employees and full time equivalent (FTE) roles are paid on NCC salary scales A-C. Figures for maintained schools exclude academy trusts that may use NCC salary scales. Scale A Scale B Scale C Head count FTE Head count FTE Head count FTE NCC Services 72 16.8 20 14.6 117 61.5 Schools 1417 273.87 108 44.84 163 (Pt3) 89.10 (Pt3) 1050 (Pt4) 1330 539.58 (Pt4) 690.18 Total 1483 290.67 128 61.64 The impact in NCC Services is minimal compared to the impact in schools. Some schools have Scale B/C roles overseeing the work of Scale A roles (eg caretaker/senior cleaner overseeing cleaners). Schools also report skills shortages at the lower end of the pay scales and would welcome solutions. This has been considered in the proposed approach but analysis of any wider issues/impact in NCC should be done before big investments in pay are agreed.
Options After considering four options, option 2 is proposed as the solution: Option 4 was considered to help address skills shortages in schools but was ruled out due to the cost and insufficient time to analyse the impact on all services, consult and implement by April. Considering further reform to the bottom scales will however form part of the strategic review of NCC salary scales.
Option 1 - Merge Scale A and Scale B Korn Ferry job evaluation point boundaries used to determine which scale a job falls into would be amended so points 1-103 fall into Scale A/B. Cost 53,393 schools and 7,076 NCC services. 1417 people (schools) 273.87fte; 72 people, 16.8 fte (NCC services) move from pt 1 to 2. Salary point 1 Salary (2022-23) 20,258 Scale Scale A/B Scale C Issues: Differential between Scale A and Scale B are lost. Scales B roles overseeing work of Scale As in schools. Restructuring or other measures would be needed. No wider benefits of addressing skills shortages in schools. 2 3 4 5 6 20,441 20,812 21,189 21,575 21,968 22,369 22,777 23,194 23,620 24,054 Scale D Scale E 7 8 9 Benefits: Retains use of national salary points. Simple for employees to see and understand. No requirement for system reconfiguration in myOracle. Allows a more fundamental review in future. 10 11
Option 2 (Proposed approach) - Reduce Scale C to one point (point 4) with Scale A using point 2 and Scale B using point 3 No change to the Korn Ferry job evaluation point boundaries. Cost 106,877 schools and 39,057 NCC services. 1417 people, 273.87fte (schools); 72 people, 16.8 fte (NCC services) move from pt 1 to pt 2. 108 people, 44.84fte (schools); 20 people, 14.6 fte (NCC services) move from pt2 to 3. 163 people, 89.10fte (schools); 21 people, 8.6 fte (NCC services) move from pt3 to 4. Scale C reduces from a two point to a single point scale. Salary point Salary (2022-23) 20,258 20,441 20,812 21,189 21,575 21,968 22,369 22,777 23,194 23,620 24,054 Scale 1 2 3 4 5 6 7 8 9 Scale A Scale B Scale C Scale D Issues: More expensive than options 1 and 3 but schools may support the additional spend. Scale E Benefits: Retains use of national salary points. Differential retained between Scale A and Scale B. Resolves the supervision issue in schools. May have a small positive impact on recruitment/retention to roles in Scales A-C. 10 11
Option 3 - Realign A and B scales New scale B rate could be established in a few ways (eg by percent or fixed amount). We ve split the 371 difference between existing A and pt 3 of C to give a new Scale B amount. No change to the Korn Ferry job evaluation point boundaries. Cost 62,439 schools and 7,139 NCC services (the cheapest option). Employees remain in the same scale as now. Salary point Salary (2022- 23) 20,258 20,441 20,627* 20,812 21,189 21,575 21,968 22,369 22,777 23,194 23,620 24,054 Scale Scale A Scale B Scale C 2 2b 3 4 5 6 Issues: Moves away from national salary points at scale B only. Very small distinction between grades A and B and B and top of C, ( 46.83 a month full time gross but most employees are part time/work part year), so not sufficient to resolve the supervision issue in schools. Benefits: Goes a small way to resolve the supervision issue in schools. Easy to explain to employees Minimal cost. Differential between Scale A and Scale B reduces but not lost. Improved starting salary for teaching assistants at scale C. Scale D Scale E 7 8 9 10 11
Option 4 - Retain single point Scale A (pt2), single point Scale B (pt 3), two point Scale C (pts 4 and 5), two point Scale D (pt 6 and 7) and reduce Scale E to four points (pts8 and 11) Issues: Cost 960k, schools (4638 affected employees) and 301k NCC services (1245 employees). Employees remain in the same scale as now. No change to the Korn Ferry job evaluation point boundaries. Most expensive option. Goes over and above implementing national agreement, so requires wider consultation/authorisation and may result in people wanting more radical changes. Insufficient time to introduce by 1 April 2023. Doing standalone outside 2023-24 pay negotiations and wider review of pay and benefits means the wider impact hasn t been assessed. Benefits: Resolves the supervision issue in schools. Retains use of national salary points. Impacts more employees (positive impact). Improved salary for Teaching Assistants at Scale C and D and higher starting salary for Teaching Assistants Scale E. May help address recruitment difficulties resulting from reduced differentials between these roles and jobs in support, catering, etc but won t increase the top of scale E (there is already provision to appoint above the starting point for scales).
Cost/equalities impact option 2 The year one cost of option 2 would result in an additional cost 106,877 spend for schools ( 633 average per school) and 39,057 for NCC services including oncosts. The NCC finance team (Harvey Bullen) supports this option. The Finance Education team have been made aware of the option. There are no equality concerns arising. It will have a positive impact on those in lower paid jobs (often women and people who work part time).
Proposed approach and feedback Given the small impact in NCC compared to schools, a school-led solution has been sought. Options 2 or 3 would mean schools do not need to reorganise their structures where a scale B role supervises Scale A colleagues. Option 2 gives a bigger distinction between the bottom three scales. Option 2 also means we maintain use of the national salary points and may have a limited impact on recruitment and retention for some jobs. While it costs slightly more than options 1 and 3, the impact on each individual school will be manageable and the impact in other areas of NCC is minimal and affordable. Option 2 has been agreed in principle by Jane Naumkin, Director for People. Option 2 has been agreed by NCC Executive Directors. The Trade Unions (UNISON, GMB and Unite) have been consulted and support option 2. Proposed approach:That option 2 is implemented on 1 April 2023. To help understand option 2 in comparison to the other options, please see the spreadsheet Overview of options (following deletion point 1) .
Appendix A Current NCC Payscales Salary scales 2022/23 Scale A Scale B Hourly rate 10.5003 10.5951 10.7874 10.9828 11.1829 11.3866 11.5944 11.8059 12.0221 12.2429 12.4678 12.6969 12.9312 13.1701 13.4132 Salary point Hourly rate Salary point Hourly rate Salary point Scale Scale Scale 1 2 3 4 5 6 7 8 9 20,258 20,441 20,812 21,189 21,575 21,968 22,369 22,777 23,194 23,620 24,054 24,496 24,948 25,409 25,878 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 57 58 59 60 61 100,316 51.9964 62 103,268 53.5265 39,248 20.3433 40,271 20.8735 41,324 21.4193 42,410 21.9822 43,517 22.5560 45,395 23.5294 46,355 24.0270 47,345 24.5402 48,368 25.0704 49,379 25.5944 51,791 26.8446 53,048 27.4962 54,320 28.1555 55,637 28.8381 56,984 29.5363 60,188 31.1970 61,862 32.0647 63,584 32.9572 65,354 33.8747 67,160 34.8108 70,739 36.6659 72,692 37.6782 74,711 38.7247 76,784 39.7992 78,917 40.9047 89,345 46.3098 91,967 47.6689 94,667 49.0684 97,448 50.5098 63 103,268 53.5265 64 106,307 55.1017 65 109,439 56.7251 66 112,658 58.3936 67 113,750 58.9596 68 117,098 60.6950 69 117,098 60.6950 70 120,560 62.4894 71 124,112 64.3305 72 127,778 66.2307 73 131,558 68.1899 74 135,446 70.2052 75 135,446 70.2052 76 139,448 72.2795 77 143,576 74.4192 78 147,827 76.6226 79 152,198 78.8882 80 156,710 81.2269 Scale K Scale Q Scale C Scale D Scale L Scale E Scale R 10 11 12 13 14 15 Scale M Scale F Scale S scp 16 not used by NCC 17 26,845 18 27,344 19 27,852 20 28,371 21 28,900 22 29,439 23 30,151 24 31,099 25 32,020 26 32,909 27 33,820 28 34,723 29 35,411 30 36,298 31 37,261 13.9145 14.1731 14.4364 14.7054 14.9796 15.2590 15.6281 16.1194 16.5968 17.0576 17.5298 17.9978 18.3544 18.8142 19.3133 Scale N Scale G Scale O Scale H Scale I Scale P Scale J
