Venue: The Olympic Room, Aylesbury Vale District Council, The Gateway, Gatehouse Road, Aylesbury, HP19 8FF
Contact: Bill Ashton; Email: email@example.com;
To approve as a correct record the Minutes of the meeting held on 20 November, 2017, copy attached as an appendix.
That the Minutes of 20 November, 2017, be approved as a correct record.
To consider the attached report.
Contact Officer: Gill Lay, firstname.lastname@example.org
The Localism Act, 2011required local authority pay policies to be openly approved annually by Members at a formal Council meeting. The first pay policy of this Council had been published in 2012. The associated guidance, “Openness and Accountability in Local Pay” set out the requirement for councils to publish their remuneration arrangements, including for chief officers, and approve large salary packages in an open session of Council.
Ministers had said in the 2013 Supplementary Guidance, that the pay vote ceiling should be set at £100,000. This included publicly justifying any big bonuses and above inflation annual pay rises. Authorities had to have an explicit policy in their pay statement on whether or not they permitted such practices.
At a time when the public were tightening their belts and all parts of the public sector were looking to make savings, Ministers were of the view that tax payers should have the opportunity to see whether value for money had been considered when setting pay policies. The guidance stated that tax payers should expect that their interests were being protected, including when senior staff moved posts within the public sector, particularly when those moves could be seen to have the effect of driving up average pay levels across the sector.
The guidance did not specify that a council must establish a pay ratio or pay multiple between the highest to lowest paid or highest to median salary. Even where it did so, the Hutton Review of Fair Pay, published in March, 2011, did not recommend a single ratio between highest and lowest paid, or highest and median salary, as there were too many differences in sizes and roles within public sector organisations, so a single ratio did not make sense. Hutton had recommended that authorities should be required to publish pay multiples between top pay and median pay and this was published annually, together with senior pay information as part of AVDC’s data transparency obligations. In 2016/17, the multiple between top pay and median pay had been 5.21.
The Pay Policy Statement had to include the Authority’s policies relating to:-
· The level and elements of remuneration for each chief officer.
· Remuneration of chief officers on recruitment.
· Increases and additions to remuneration for each chief officer.
· The use of performance related pay for chief officers.
· The use of bonuses for chief officers.
· The approach to the payment of chief officers on their ceasing to hold office under or to be employed by the Authority.
· The publication of and access to information relating to the remuneration of chief officers.
The term “remuneration” covered:-
· The chief officer’s salary, or in the case of a chief officer engaged by the Authority under a contract for services, payments made by the Authority to the chief officer for those services.
· Any bonuses payable by the Authority to the chief officer.
· Any charges, fees or allowances payable by the Authority to the chief officer.
· Any benefits in kind to which the chief officer was entitled as a result of ... view the full minutes text for item 2.
Date of the Next Meeting
That the next meeting be held at 2pm on 9 April, 2018 in the Olympic Room at The Gateway, Aylesbury.