Agenda item

To consider a report by the Head of HR / Pay & Reward Specialist (copy attached) to seek Council’s agreement to the changes to the Pay Policy for 2017/18

At this juncture, the Head of Legal, HR and Democratic Services explained he had received information that there could possibly be a question regarding the remuneration of the Chief Executive and, at this point, the Chief Executive left the Chamber.

The Lead Member for Finance, Performance and Strategic Assets, introduced the report (previously circulated).

The Localism Act 2011 required Local Authorities to prepare pay policy statements.  The Pay Policy Statements must be approved by the Council on an annual basis and published on the relevant website.

The Pay Policy had been updated in line with the national pay awards which had been agreed for 201718.

Chief Officers 1% increase in payment had been agreed for 2017/18 which had been included within the Policy.

Central Government were introducing a cap on public sector exit payments but at this time it was unclear how this may operate in Wales.  On receipt of clarification, all policies and severance payments in Denbighshire County Council would be reviewed as appropriate to accommodate any relevant changes in legislation.

Central Government were also introducing legislation to enable recovery of public sector exit payments.  This would apply to employees returning to the public sector or sub sector within 12 months of leaving who earn over £80,000 per annum.  Again, at this time it was unclear how this may operate in Wales. All policies and severance payments in Denbighshire County Council would be reviewed as appropriate to accommodate any relevant changes in legislation. 

Discussion took place and the following points were raised:

·       Performance related pay – it was confirmed that the only member of staff to receive performance related pay was the Chief Executive.  This had been applied as part of his contract and was assessed through an appraisal by a panel of independent Members.  The Panel assessed whether or not the Chief Executive had achieved his performance targets. 

·       It was suggested that the Council should pay the “real” living wage rather than the “national” living wage. This had in the past been estimated to mean an additional £1million to costs.  It was confirmed that nationally, the pay structure was to be assessed to increase lower level payments, and some draft options would be available at the end of the month. 

RESOLVED that Full Council agree to the changes to the Pay Policy for 2017/18