Job Evaluation Project Report by ywm31354

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									Item 5                                                                             Appendix A

                          BRIDGEND COUNTY BOROUGH COUNCIL

     CORPORATE RESOURCES AND IMPROVEMENT OVERVIEW AND SCRUTINY
                            COMMITTEE

                                    7 SEPTEMBER 2009

                     REPORT OF THE HEAD OF HUMAN RESOURCES


JOB EVALUATION & EQUAL PAY

1.       Purpose of Report

         The purpose of this report is to provide an update on the Job Evaluation Project and
         a position statement on Equal Pay litigation.

2.       Connection to Corporate Improvement Plan / Other Corporate Priority

         The aim of the Job Evaluation Project is to ensure the Council adheres to its
         obligations to carry out a review of its pay and grading structure and provides an
         opportunity to address the issue of equal pay. The Project will help secure a highly
         skilled and motivated workforce that can deliver its aims and objectives to better
         serve the communities of Bridgend.

3.       Background

         JOB EVALUATION
         Bridgend in partnership with trade unions, is using the Greater London Provincial
         Council (GLPC) Job Evaluation Scheme to evaluate posts to fairly and accurately
         determine the rank order of jobs across the council. Job evaluation seeks to
         objectively measure the different elements or parts of a job and provides a score.
         All jobs are scored in the same way, giving a comparison of jobs across the council.

         Not all job holders have taken part in completing a job questionnaire as many
         employees carry out almost identical jobs. Some jobs, with different job titles, are
         often very similar in terms of the actual duties performed. Almost 2,000 job
         questionnaires have been evaluated representing the diverse posts across service
         areas.

         FAIR PAY
         In addition to analysing job questionnaires, much work is being undertaken to
         ensure consistency and fairness. These processes are called ‘sore-thumbing’ and
         ‘validation’, and allow managers and trade union colleagues to sense-check any
         queries which ‘stand out like a sore thumb’.

4.       Current Situation / Proposal

         The following sub headings attempt to address relevant specific issues:



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Item 5                                                                              Appendix A
         PAY AND GRADING

         Developing a new pay and grading structure is the second phase of the Job
         Evaluation Project. A new Project Board involving senior managers and trade union
         representatives has taken over responsibility for delivering a new pay and grading
         structure. The aim is for the Council to agree and implement a new pay structure
         by April 2010.

         The Board will review the outcomes of the job evaluation process which are
         recorded on LINK, the software used to collate job scores. Options on a ‘palatable’
         pay structure, including consideration of whether to adopt a job family approach, will
         be reported to Cabinet and Council following negotiation with trade unions. The
         work on evaluating posts is still required if, at a later stage, a decision to adopt job
         families is made. No assurances can be provided at this stage on which model to
         follow until all data is analysed and a pay line applied and modelled.

         The ability to develop an agreed pay and grading structure is presently unknown as
         this will be the subject of a ballot of trade union membership following an
         independent equality impact assessment.

         EQUAL PAY, HISTORICAL PROTECTIONS, AND PART 3 TERMS & CONDITIONS

         As part of developing a new pay and grading structure other issues affecting
         employment contracts need to be considered.

               Equal Pay
                Conducting a job evaluation exercise can be a defence to potential
                challenges being made under the Equal Pay Act 1970. Equal pay is not part
                of job evaluation but inextricably linked.

               Historical Protections
                Certain elements of an individuals remuneration package may be subject to
                personal protection i.e., mileage allowance inherited through, for instance,
                local government reorganisation. These elements will need to be resolved
                outside of the job evaluation exercise.

               Part 3 Terms & Conditions
                Overtime allowance, sleep-in, call-out and standby payments are a few of
                what we call Part 3 provisions. In accepting a new pay structure, agreement
                will need to be reached on how these elements of pay can be factored-in to
                any new payment system.

         SIGNIFICANT MILESTONES
         Validation Panels (made up of managers and trade union representatives across
         service areas) are now in the process of signing-off job questionnaires with the
         intention of sharing the rank order of jobs with managers and trade unions in
         November. Pay Modelling will run parallel to this activity once sufficient meaningful
         data is gathered for analysis and a clear direction on pay policy is decided upon.
         Part 3 provisions detailed above will play a significant part in negotiations to agree a
         new pay structure.



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Item 5                                                                               Appendix A
         Due to delays in sore-thumbing and validation activities, the second phase of the
         project (pay and grading) is currently being scoped with milestone dates being
         considered by the Project Board and Programme Management Board (PMB) in
         September. Performance against agreed milestones is formally reviewed at
         monthly intervals by both Boards via a Highlight Report prepared by the Project
         Manager.

         Details of recent activity are shown below in an extract from the latest Highlight
         Report submitted to PMB on 21st July:
Significant progress since last report
   The Pay & Grading Project Board is now a joint forum with trade union colleagues for
    consultation purposes. A revised terms of reference was drafted at the inaugural meeting
    held on 8th June. It is anticipated these will be agreed when the Board next meet.
   New Validation Panel members have been appointed and received 2 days training on the
    GLPC Scheme and their roles in validating.
    Increased levels of membership will create greater flexibility in allowing members to sit on a
    part time basis due to the inability of services to release individuals full time. Panels are
    currently being timetabled to provide as much notice as possible to facilitate the release of
    individuals. Preparatory work has already began on the workload to be divided to the three
    panels.
   A short communication has been issued on payslips announcing the new joint working
    arrangements. A communication strategy will be agreed in due course to inform on
    progress.
Significant progress to note for the coming period
 Providing individuals are released by services to participate in validation, progress will be
   achieved in reaching a rank order allowing pay modelling to commence in more meaningful
   way.
   The Pay & Grading part of the Project is now being scoped to allow progress to be plotted
    against key milestone events. The Centre of Excellence are currently working in liaison with
    the Project Manager to achieve this. New Milestones will appear on the next available
    Highlight Report following adoption by the Project Board.
   Equal Pay hearings continued to be heard at stage 1 and 2 for both GMB and Unison.
    Additionally, individual grievances are being heard predominantly for ex-employees who are
    unrepresented by a trade union.
    As reported previously, Case Management Discussions (CMDs) are scheduled to take place
    on 26th August 2009 and 12th October 2009 which Bridgend will be a party to. On an
    individual authority basis, Bridgend is subject to a combined Pre-Hearing Review/Equal
    Value Stage 1 Hearing at the Employment Tribunal in Cardiff on 21st October 2009.

         EQUAL PAY

         Equal Pay litigation is currently taking place with the Council having received in
         excess of 1,700 claims to date. Equal pay will remain a significant ongoing risk.

         EMPLOYEE AND INDUSTRIAL RELATIONS ISSUES

         Currently there is no evidence of an inability to recruit and retain staff (other than in
         certain ‘hotspot’ areas such as social work, where recruitment has always posed
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Item 5                                                                              Appendix A
         challenges). The Council is undergoing structural and cultural changes to deliver
         services more efficiently and effectively under its Transformation Agenda as a
         separate long term aim.
         The new governance arrangements for the pay and grading stage of the Job
         Evaluation Project has resulted in the development of a joint Project Board where
         senior officers, and regional and local trade union representatives formally meet.
         The detailed consultation and negotiation needed to secure an agreed pay structure
         will commence in earnest when rank order is shared and a pay line applied. Having
         experienced some delay due to the trade unions’ being able to provide resources to
         undertake sore thumbing activities, it is pleasing to report that relationships with the
         trade unions who actively participate on the Project Board (Unison and GMB) are
         healthy and positive.

         COMMUNICATION

         Within the next few months it will be necessary to communicate more regularly on
         progress to elected Members and employees as we move nearer to reviewing
         Bridgend’s pay structure. This will be in the form of a joint communication from the
         Pay & Grading Project Board representing both management and trade unions.

5.       Effect upon Policy Framework & Procedure Rules

         The implementation of a new pay and grading structure will assist Bridgend CBC in
         meeting the obligation placed on all local authorities and trade unions to undertake
         local pay reviews in accordance with the 1997 Single Status and 2005 National Pay
         Agreements.

6.       Legal Implications

         None in respect of this report, however, the outcomes in this report are likely to
         require specific legal advice.

7.       Financial Implications

         Budget provision has been made to progress the Job Evaluation Project but this will
         need to be reviewed when recommendation on the final conclusion is made. Equal
         Pay liability is a totally separate issue. The Council publishes details of financial
         provision within its annual accounts statement.


Contact Officer:       Linda Hutton, Transformation & Development Manager, HR
                       (Job Evaluation Project Manager)
Telephone:             (01656) 643639       E-mail: Linda.Hutton@bridgend.gov.uk
Postal Address         Human Resources
                       Civic Offices (Level 3)
                       Angel Street
                       Bridgend
4th August 2009

Background documents: Job Evaluation Project Plan; Highlight Report to PMB 21.07.09

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