HR Committee – 9^th January 2025

Pay Policy Statement

Purpose	For Review
Classification	Public
Executive Summary	The Localism Act 2011 requires the Council to prepare a pay policy statement for each financial year. The statement must be prepared and approved by the end of March each year.
Recommendation(s)	That HR Committee support the Pay Policy Statement 2024/25 and recommend it’s approval by Council.
Reasons for recommendation(s)	We are required to have a pay policy statement in place which sets out the authority’s policies for the financial year relating to: The remuneration of its chief officers, The remuneration of its lowest-paid employees, and The relationship between – (i) the remuneration of its chief officers, and (ii) the remuneration of its employees who are not chief officers.
Ward(s)	All
Portfolio Holder(s)	Councillor Jeremy Heron – Finance and Corporate
Strategic Director(s)	Alan Bethune – Strategic Director Corporate Resources, S151 and Transformation.
Officer Contact	Heleana Aylett Service Manager – Human Resources 023 80 285662 Heleana.aylett@nfdc.gov.uk

Introduction

1. The Localism Act 2011 requires the Council to prepare a pay policy statement for each financial year.  The statement must be prepared and approved by the end of March each year. A recommended statement for 2025/26 is included at Appendix 1.  The statement details the policies in place from 1 April 2025.

2. Appendix 2 reflects the nationally agreed Pay Award for 2024/25 for Chief Executives, Chief Officers and those covered by the ‘Green book’ (which covers NFDC employees).

Background

3. A pay policy statement must set out the authority’s policies for the financial year relating to:

The remuneration of its chief officers,

The remuneration of its lowest-paid employees, and

The relationship between –

(i) the remuneration of its chief officers, and

(ii) the remuneration of its employees who are not chief officers.

4.    The statement must state –

The definition of “lowest paid employees” adopted by the authority for the purposes of the statement, and

The authority’s reasons for adopting that definition

5.    The pay policy for 2025/26 has been set up on the basis of the organisational structure (the Strategic Director and Assistant Director model).

National pay award for 2024/25

6. The Pay Award for 2024/25 has now been agreed for Chief Executives, Chief Officers and Local Government Services (Green Book) employees.  As a result, all NFDC Spinal Column Points up to 47 have been increased by £1,290. Those above scp 47 had an increase of 2.5%. Chief Officer and Chief Executive pay increased by 2.5%.

7. As a result of the national pay award and the changes made to the Council’s pay spine in October 2022, the lowest pay point on the council’s pay structure is now £12.37 per hour. The updated pay structure is shown in Appendix 2.

HR Committee Comments

8. The HR Committee will consider the matter on 9 January 2025.  The Committee’s comments will be reported to the Council in due course.

Corporate plan priorities

9. The pay policy statement is in support of the council's ambition to be an Employer of Choice.

Options appraisal

10. Not applicable.

Consultation undertaken

11. None.

Financial and resource implications

12. None in respect of the Pay Policy Statement itself. The national pay award is accounted for within budgets.

Legal implications

13. The Localism Act 2011 requires the Council to prepare a pay policy statement for each financial year.

Risk assessment

14. Not required.

Environmental / Climate and nature implications

15. None.

Equalities implications

16. There are no equality implications arising from the report.

Crime and disorder implications

17. None.

Data protection / Information governance / ICT implications

18. None.

Appendices:	Background Papers:
Appendix 1 – Pay Policy Statement Appendix 2 – Pay Structure	None