The Department for Work & Pensions Group have sent us the following information:Pay Review Triggered
PCS met management on the 15th of April under the terms of the review clause of the three year pay offer. The clause which was written by PCS was included to ensure that the award could be reviewed if any “significant external factors” were likely to have an effect on pay and would allow DWP to return to Treasury to seek authority to improve the offer.
The union used the meeting to set out our thoughts on the contents of management’s bid to Treasury, specifically we pointed to:
- RPI Inflation (as announced yesterday) still being 3.8% compared to 0% increases in DWP with food and fuel costs rocketing when the Treasury were predicting last year that by now it would be below 2.7%
- Other public sector deals were clearly breaking the 2% limit preferred by the government. Specifically the NHS with 2.75% (on top of progression costs) in the first year of a three year offer.
- Treasury guidance on civil service pay awards has increased the amount departments are allowed to spend from 4% to 4.5%. This means that if management had agreed a one year pay offer last year as we argued, we would be in a much better position now.
- The minimum wage in DWP in 2008 will be £12,850, compared to the national minimum wage which will be £12,514 in 2008 and the new minimum in the recent NHS offer of £14,785.
- The damning results of the staff survey and feedback of an increased turnover of staff particularly at AO level.
- Management cannot afford not to reward their most loyal and long serving staff to retain their experience and improve productivity.
- That low pay and the recent tax changes were forcing ever increasing numbers of members into claiming more benefits.
The union also pointed out that the 3.6% remit agreed by Treasury for DWP included progression and argued that DWP should press Treasury to decouple progression costs from the cost of living award.
Management's responseManagement agreed that under the terms of the review they would now return to Treasury to seek authority to improve the offer. Management were unable to outline what they would be asking Treasury to agree to as they were still formulating their views.
Management agreed to meet again when they have a response from Treasury. They were unable to confirm how much Treasury were likely to agree to or what the timescale would be for Treasury to respond.
Increase the pressure on Treasury nowEven at this late stage management have not offered an acceptable settlement to the pay dispute. Despite the union suggesting positive proposals on the offer and on managing attendance, PDS, flexi and job security, which would help us find a solution no revised offer has been made and no counter proposals put to the union.
It is clear that we need to keep the pressure up on DWP management and now HM Treasury to improve the below inflation offer. PCS has now issued the formal legal notification of the strike to take place on 24 April.
Support the 24 April strike
Over 100,000 PCS members from 10 departments and Agencies including DfT, Home Office and the Coastguards will strike on 24 April alongside Teachers and college lecturers against the government's public sector pay restraint.
Over 300,000 public sector workers will send a loud and clear message to the government that low pay and below inflation rises in the public sector will not be tolerated.
Management will have to come back to the unions following their approach to Treasury, maximise the pressure now to persuade them that we are will not be ignored and they must start talking seriously to us about settling this dispute.
Support the strike on 24 April. Together we will win.
