Agenda item

Market Supplement Policy

Minutes:

The Chief Executive presented a report, the purpose of which, was to seek approval of the Market Supplement Policy.

 

He explained that currently, there was no provision within the Council for the payment of market supplements.  The implementation of the Council’s Single Status Job Evaluation Collective Agreement in September 2013, meant that all former market supplements ceased with the introduction of the new pay and grading structure.

 

The Chief Executive advised further, that the Pay Policy agreed by Council on 10 March 2021 confirmed this position.  It was, however, referenced that consideration would be given to the introduction of market supplements, in recognition of the challenges faced in recruiting and retaining staff in some professions on the current pay structure.

 

The introduction of the Market Supplement Policy would address the issue that the council’s job evaluation scheme and grading structure did not take into account, market factors such as market pay rates or fluctuating demand for skills in the market place.

 

The Chief Executive Officer referred to the Market Supplement Policy, at Appendix 1 to the report, which would enable the Council to respond to any established recruitment and retention issues, by temporarily increasing the pay awarded to a post, without altering the determined job evaluation grade. This will ensure that the principles within the job evaluation scheme in maintaining equal pay are preserved.

 

He emphasised, that Market Supplements would be used as an exception rather than the rule and must be considered through submission of a robust business case, comprising clear objective evidence on all the relevant factors in place.

 

The Chief Executive concluded the report, by stating that Trade Union representatives had been fully engaged with the report’s proposals and indeed had contributed to the development of this new policy. In the event that Council approves the policy, Trade Union partners have acknowledged that it will be necessary to agree an addendum to the council’s Single Status Job Evaluation Collective Agreement accordingly.

 

The Deputy Leader supported the report, given that it addressed an issue the Council had been experiencing for some time, and that the Policy would assist in filling key posts it had previously had difficulty recruiting to, which would in turn contribute to making our services more resilient.

 

A Member whilst not being against the Policy, enquired how the Authority intended putting steps in place to try and dissuade members of staff in key posts leaving the Council for another Authority with the same type of policy in place supporting a similar job only offering a better salary.

 

The Chief Executive advised that if other Authorities were paying a better salary than BCBC were for a similar job, there was always a risk of that employer leaving. However, the Policy was aiming at recruitment and retention of staff and this was one of a few tools the Authority was putting in place, including enhanced payments for some jobs where there had traditionally been problems experienced around recruitment and retention.

 

A Member noted from the Policy, that the Market Supplement would apply for 2 years and then be the subject of review following that period. She felt that after the 2 year period expired, the employer in post may start then to look for a similar job with a more attractive package elsewhere. She further asked if the number of employers affected by the provisions of the Policy, ie those having an increased salary etc, would be monitored for example through CMB.

 

The Chief Executive advised that within the terms of the Policy there was a requirement for a Business Case for each case that would be based on its individual merits and signed off accordingly by the appropriate Manager.

 

The Policy and the employers affected by it would be regularly monitored by  Corporate Management Board, he added.

 

The review period was included in the Policy in terms of salary as a temporary payment only, as otherwise this would have an impact on Equal Pay claims. There was scope to look at paying the market supplement for a longer period and/or other ways by which to look at retaining staff, if required. The Policy could be applied for jobs anywhere within the Authority he added, but in order for it to apply to any position, there had to be sufficient evidence base before doing so.      

 

RESOLVED:                                 That Council approved the Market Supplement Policy, at Appendix 1 to the report.

           

Supporting documents: