Proposed by Councillor Joe Walsh

Seconded by Councillor Brian Kenny

Council notes:

·  The Chancellor of the Exchequer announced in the 2012 Budget the Government’s desire to introduce ‘more market facing’ public sector pay. This could mean regional or local public sector pay.

·  This recommendation has come in advance of the Pay Review Bodies reporting on the issue in July and September 2012.

·  There has been no independent assessment of the impact and consequences this policy could have for public services or the economies of low pay regions.

Council believes:

·  The Government’s case is based on the claim that public sector pay is ‘crowding out’ the private sector. This is not supported by evidence, particularly at a time of high unemployment. There are currently over 8 JSA claimants for every job vacancy in the Wirral.

·  This approach also ignores the real reasons for the differences between public and private sector pay. For instance, there are more high skilled workers in the public sector (such as teachers and nurses), and a smaller pay gap between top and bottom earners and a smaller gender pay gap.

·  Public sector employers already have some flexibility to adjust pay in response to local conditions, and higher rates are paid in London and the South East.

·  All other English regions and devolved nations stand to be affected by this, with the possibility of years of pay falling behind the cost of living.

·  Workers in the Wirral are paid £18 less per week than the national average.

·  65% of public sector workers are female.

·  Regional pay is likely to increase differential pay rates between regions and may make it more difficult for the North West to attract staff from other regions.

Council further believes:

·  Regional or local public sector pay would have a harmful effect on the Wirral.

·  It will make it harder for schools and other public services to recruit and retain good quality professionals who could earn more for doing the same job elsewhere.

·  There are 35,000 public sector workers across the Wirral and reducing their real terms pay each and every year will dramatically reduce spending power and have a negative impact on the private sector.

·  This policy will not improve the pay of private sector workers but instead could encourage further depression of wages in all sectors.

·  We do not want to be forever defined as a ‘low pay’ region.

·  This policy is therefore counter to our area’s vision and ambitions for the future.

Council resolves:

(1)  to write to the Chancellor of the Exchequer and Chief Secretary to the Treasury stating this council’s opposition to plans for regional and localised public sector pay;

(2)  to write to all local MPs within the next month outlining concerns about the impact that this policy would have on services and the local economy; and

(3)  to sign up to the Pay Fair campaign and raise awareness of the implications and risks of this policy locally, regionally and nationally.

Amendment submitted in accordance with Standing Order 7(2)

Proposed by Councillor Andrew Hodson

Seconded by Councillor Adam Sykes

Delete all and insert:

(1)  Council welcomes the Chancellor of the Exchequer’s position, as set out in the 2011 Autumn Statement, that there is a case for considering how public sector pay could better reflect local labour markets, providing a significant step towards creating a more balanced economy in the regions of our country that does not squeeze out the private sector;

(2)  the Government is asking the independent Pay Review Bodies to consider the case for greater local pay flexibility in the wider public sector and has asked them to report back by July this year. This is happening and it has always been the case that there will be no change unless there is evidence to support it. We should not pre-empt the pay review bodies;

(3)  Council welcomes the Government’s position that supporting private sector growth is at the heart of its economic and growth strategies and that strong, sustainable and balanced growth must be more evenly shared across the country; and

(4)  Council believes that genuinely competitive and local labour markets are a key element in achieving fairness between the public and private sectors, encouraging growth, job creation and prosperity and addressing the problems of high long-term unemployment and inactivity, often in areas which suffer from multiple disadvantages.

Amendment submitted in accordance with Standing Order 7(2)

Proposed by Councillor Tom Harney

Seconded by Councillor Phil Gilchrist

Add to title “AND BENEFITS”

At the end of the first bullet point under ‘Council notes’ add: “and localised benefits”

Insert additional bullets points under ‘Council notes’:

·  Council notes the opposition of Deputy PM Nick Clegg, BIS secretary Vince Cable and Chief Secretary Danny Alexander, on behalf of the Liberal Democrats, to the idea of regional pay, making the statement an issue of Conservative Party policy for the next parliament, rather than one for the current parliament.

·  Council also expresses its opposition to a localised benefits system, an idea supported by Shadow Work and Pensions Secretary Liam Byrne and many Labour members in the South of England.

In the final bullet point under ‘Council believes’, add after ‘Regional pay’: “and

localised benefits”

In the first bullet point under ‘Council further believes’, add after ‘Regional or local public sector pay’: “and benefits”

Add to the end of paragraph (1): “and benefits”

Add additional paragraph (4):

“This Council reaffirms its commitment to Living Wage required for a worker to

provide their family with the essentials of life and currently set at £7.20 per hour.”

Having applied the guillotine in accordance with Standing Order 7(8) the Council did not debate this matter.

The amendment proposed by Councillor Hodson was put and lost (19:41) (one abstention)

The amendment proposed by Councillor Harney was put and lost (7:53) (one abstention)

The motion was put and carried (41:19) (one abstention)

Resolved (41:19) (one abstention) –

Council notes:

·  The Chancellor of the Exchequer announced in the 2012 Budget the Government’s desire to introduce ‘more market facing’ public sector pay. This could mean regional or local public sector pay.

·  This recommendation has come in advance of the Pay Review Bodies reporting on the issue in July and September 2012.

·  There has been no independent assessment of the impact and consequences this policy could have for public services or the economies of low pay regions.

Council believes:

·  The Government’s case is based on the claim that public sector pay is ‘crowding out’ the private sector. This is not supported by evidence, particularly at a time of high unemployment. There are currently over 8 JSA claimants for every job vacancy in the Wirral.

·  This approach also ignores the real reasons for the differences between public and private sector pay. For instance, there are more high skilled workers in the public sector (such as teachers and nurses), and a smaller pay gap between top and bottom earners and a smaller gender pay gap.

·  Public sector employers already have some flexibility to adjust pay in response to local conditions, and higher rates are paid in London and the South East.

·  All other English regions and devolved nations stand to be affected by this, with the possibility of years of pay falling behind the cost of living.

·  Workers in the Wirral are paid £18 less per week than the national average.

·  65% of public sector workers are female.

·  Regional pay is likely to increase differential pay rates between regions and may make it more difficult for the North West to attract staff from other regions.

Council further believes:

·  Regional or local public sector pay would have a harmful effect on the Wirral.

·  It will make it harder for schools and other public services to recruit and retain good quality professionals who could earn more for doing the same job elsewhere.

·  There are 35,000 public sector workers across the Wirral and reducing their real terms pay each and every year will dramatically reduce spending power and have a negative impact on the private sector.

·  This policy will not improve the pay of private sector workers but instead could encourage further depression of wages in all sectors.

·  We do not want to be forever defined as a ‘low pay’ region.

·  This policy is therefore counter to our area’s vision and ambitions for the future.

Council resolves:

(1)  To write to the Chancellor of the Exchequer and Chief Secretary to the Treasury stating this council’s opposition to plans for regional and localised public sector pay;

(2)  To write to all local MPs within the next month outlining concerns about the impact that this policy would have on services and the local economy.

(3)  To sign up to the Pay Fair campaign and raise awareness of the implications and risks of this policy locally, regionally and nationally.