The Cabinet Secretary for Finance, Employment and Sustainable Growth published the public sector pay remit guidance for 2012-13 yesterday at the same time as he outlined the government’s Spending Review.
Prospect is disappointed but not surprised that there will be a further pay freeze for the next financial year, apart from an increase of £250 for those earning under £21,000 a year.
Anne Douglas, National Secretary for Prospect in Scotland, said: “We are not surprised, although we are disappointed at confirmation of another year’s pay freeze. At a time when inflation is above 5% and expected to rise further, when members face paying more towards their pensions and have had their pay frozen this year, it’s going to be really tough.
“Mr Swinney has acknowledged the contribution that public sector workers make but seeing that contribution translated into something tangible would have been good rather than expecting workers to endure a further real-term reduction in wages.”
Prospect and other civil service unions have argued to ministers that any increase in pension contributions – proposed by the UK Government and vigorously opposed by the Scottish Government – could be offset by lifting the pay freeze. However, Prospect is relieved that progression arrangements will not be frozen, since progression is a contractual right that employers should honour.
Douglas cautiously welcomed the commitment to a further year of the No Compulsory Redundancy Guarantee. “It is conditional upon agreements on flexibility within bargaining units and we need to explore what this will mean in practice,” she said.
The spending review confirmed that yet again the public sector will be required to make cash savings. “Having exceeded the efficiency target of £1.6bn and been congratulated on saving £2.2bn, workers are being asked to do it all over again,” said Douglas.
“Any further efficiencies must impact on what work is carried out. With people leaving, albeit on a voluntary basis, we need to remember the people staying. People can work under significant pressure for a short time, but it is neither healthy nor sustainable to expect employees to deliver the same with significantly less resources over the long term. It’s time Government told us what it is they don’t want to carry on doing.”