CONSORTIUM AND LOCALISED PAY

1 June 2012

UPDATE 14 July 2012
Twenty five Libdem MPs, including the three from Cornwall, have endorsed the paper Regional pay: an analysis of the evidence (published June 2012). The paper concludes: “regional pay is a policy which does not make economic sense and should be dropped”.

ORIGINAL POST 1 June 2012
The Western Morning News reports a move by sixteen health organisations in the southwest, including the Royal Cornwall Hospitals Trust (RCHT), to form a consortium on pay and working conditions. The newspaper says that a leaked document suggests that “the 16 trusts aim to move away from the nationally agreed pay and conditions framework”. The newspaper report indicates a wish to reduce labour costs, those being a huge part of NHS trusts’ spending. The Tory Libdem government has set the NHS a target of reducing its spending by £20 billion by 2015.

I think I know what all this means: a worsening in pay prospects and conditions. That will lead to a worsening of morale among staff and increase the difficulties in recruiting and retaining excellence. Additionally, lower pay tends to lower spending and that will impact adversely on the Cornwall economy.

In May the Tory Libdem government proposed to the School Teachers’ Review Body that teacher pay should be set at a local not national level.

Pay regionalised, localised, cornished.

There is also report from the BBC here.

Note

I have looked at the question of public/private pay, cornishing pay, and the NHS in these posts:

Cornishing pay 20 March 2012

Cutting Cornwall 1 December 2011

Localising benefits 31 July 2010

Tory-Libdems to localise NHS pay in Cornwall 19 July 2010

Vote Tory today, cry tomorrow 1 February 2010

Tories eye benefits and wages in Cornwall 6 September 2009

And see this (‘£7,000 pay gap for Westcountry workers’ in Western Morning News 16 December 2011)

This is the NHS employers organisation submission to the NHS pay review body on market facing pay, March 2012



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