Agenda item

To consider a report by the Head of Human Resources (copy enclosed) detailing the savings required to achieve the Workforce Efficiencies identified in the Budget and the process proposed for implementing those savings.

Councillor Barbara Smith, Lead Member for Modernising and Performance presented the report (previously circulated) detailing the savings required to achieve the workforce efficiencies identified in the Budget and the process proposed for implementing those savings in light of the Council being unable to reach voluntary agreement with the trade unions.  She had been advised that the trade unions intended to register a dispute over the process.

Councillor Hugh Evans acknowledged the difficult decision for members in view of the effect on staff and explained the reasoning behind the recommendations and measures to ensure the lower paid would have appropriate protection.  He highlighted that proposals to withdraw essential car user allowance were consistent with other Welsh authorities and had already been removed in 16 of those.  If a national dispute process was invoked he felt the Council should fully participate and there was no intention to abandon trade union negotiation in light of the recommendations.  In order for members to make a fully informed decision he requested clarity on the process to ensure it was clear, transparent and fair to staff.

The Chief Executive (CE) guided members through the report in detail and elaborated upon the current financial climate and requirement for workforce savings; the extensive consultation and negotiations which had taken place and the reasons behind the proposed course of action.  He also provided details of the final package proposed for workforce efficiencies which covered the following –

· removal of the essential car user status/remuneration

· changing mileage rates in line with the HMRC rates of 45p per mile

· disturbance mileage payable reduced from 4 years to 1 year

· pay protection period reduced from 3 year to 1 year

In detailing the next steps the CE was keen to emphasise that the proposals were reasonable in the current financial climate and he endorsed the recommendations detailed within the report.  He asked Council to make a decision advising of the cost implications arising from any delay.

Whilst accepting the need to make savings, Councillor Joan Butterfield stated that the Council’s most valuable asset was its staff who were also facing financially challenging times and had been demoralised and their worth undermined.  She did not agree with the proposed approach to implement the identified workforce efficiency savings and felt that more should be done to achieve acceptance collaboratively by amicable agreement.  She referred to her membership of the Local Joint Consultative Committee (LJCC) citing this forum as the most appropriate place for meaningful debate on the matter.  Consequently she proposed, seconded by Councillor Barry Mellor that the matter be referred to the LJCC for further debate and consultation at its meeting on 24 April and that there be a further report to Council on 7 May in order that a decision could be taken.

Much support was expressed for Councillor Butterfield’s proposition and members took the opportunity to voice their concerns regarding the impact on staff and their preference for a collaborative agreement on the proposed changes to achieve the required efficiency savings.  Further information was also sought on the approach taken by the other Welsh authorities where similar proposals had already been implemented which may inform debate and highlight best practice where collective agreement had been reached.  LJCC members voiced their concern that the final efficiency proposals had not been brought before that forum for consideration and neither had the alternative proposals suggested by the trade unions in order to achieve the savings required.  It was requested that this information also be included in the submission to LJCC in order to further inform debate.

In light of the questions raised over the clarity of process Councillor Hugh Evans agreed that the matter should be discussed at the LJCC before a final decision was recommended to Council and he queried the implications of deferring the decision to implement the proposals.  Councillor Butterfield suggested that money set aside to fund a staff increase in 2012/13 be used.  The Head of Finance and Assets explained that allocation had already been used to fund the cut in workforce efficiencies and pension auto-enrolement.

Councillor Win Mullen-James proposed a recorded vote on the motion put forward by Councillor Butterfield and following agreement of the requisite number of members a recorded vote was taken.  All members present voted in favour of the motion and it was –

RESOLVED that the matter be referred to the Local Joint Consultative Committee for further debate and consultation at its meeting on 24 April and that there be a further report to Council on 7 May in order that a decision could be taken.

At this juncture (11.50 a.m.) Council adjourned for a refreshment break.